On June 9, the Ministry of Economy and Finance unveiled its "marriage-friendly policy reform plan" during the third Youth Policy Ministerial Meeting. Key initiatives include housing support, tax benefits, and asset formation assistance.
The income criteria for public rental housing will be eased for married young couples. Currently, the income requirements for newlyweds are stricter than those for single-person households, which could lead to denial of housing applications after marriage registration, even if the couple qualified beforehand. To expand access, the income threshold for newlyweds will be raised to double that of single young adults.
Additionally, unmarried young individuals living in public rental housing will be allowed to renew their contracts once, even if their income and asset levels exceed the limits after marriage. To alleviate loan burdens, newlyweds extending their jeonse loans will receive a 50% reduction in the additional interest rate, applying a rate of 0.15% regardless of combined income.
This month, a new special supply program will be introduced for families with newborns (children under two years old), regardless of the seven-year marriage requirement, allowing for a 10% allocation of private housing.
Tax benefits will also be expanded. Previously, homeowners without property could only receive a 40% income deduction on repayments for jeonse loans. However, since this support was limited to the head of the household, couples who registered their marriage would lose benefits previously available to each partner. The government is considering extending the income deduction to spouses in cases of weekend couples or relocations of public institutions.
Married couples owning two compact cars will be eligible for a fuel tax refund for one vehicle per household. A comprehensive evaluation of the compact car fuel tax refund system will determine whether to extend its expiration and make necessary adjustments.
To assist young people in asset formation, the government will introduce a "marriage incentive." The income threshold for joining the Youth Future Savings Plan will be significantly increased to double that of single-person households (up to 117.9 million won annually). Additionally, support for settling in agriculture and fisheries will be raised, and couples operating independent households will see expanded loan support for agricultural startups after marriage registration.
A ministry official stated, "We will promptly implement feasible measures in next year's budget, while those requiring coordination with other policies, such as real estate market conditions and household debt management, will be thoroughly reviewed as medium- to long-term projects."
* This article has been translated by AI.
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