South Korean salary earners see rapid depletion of bank balances

An analysis of NH Nonghyup Bank's 'NH Trend+' data reveals that South Korean salary earners experience a rapid decline in bank account balances following payday. On average, only 57% of a salary remains in an account one day after receipt, dropping to 22% after ten days, and as little as 3% after one month.

The trend of funds quickly leaving accounts is most pronounced among younger demographics. For those in their 20s, the median salary is 3.03 million won, with 61.6% seeing their balance fall below 1 million won within ten days of payday. In contrast, individuals aged 60 and older maintain much higher liquidity, retaining approximately 90% of their balance one day after payday and 76% after one month.

Data also indicates significant generational differences in wealth retention. The median balance in checking accounts increases with age, from 750,000 won for those in their 20s to 3.56 million won for those aged 60 and older. The median salary across all surveyed customers was 3.71 million won, with the 50s age group reporting the highest median salary at 4.69 million won.