"Is Retirement Fully Covered with a '20% Interest' Savings Windfall?... What is Eunyi Song's Return After 33 Years of Pension Savings?"

Joined in 1993 When Monthly Salary Was 200,000 Won
Interest Rate Was in the 20% Range at the Time...Maintained for 33 Years
Cumulative Return Approaches 30%

As interest in preparing for retirement grows, attention to pension savings products is also increasing. In this context, entertainer Eun-yi Song has revealed that the cumulative rate of return on her pension savings, which she has maintained for 33 years since 1993, is in the 30% range, drawing public attention.

Reference photo to aid in understanding the article. Getty Images Bank

On September 9, a video titled "Full Disclosure of Song & Sook's Investment Returns. Where Do Securities Firm Employees Invest?" was released through the YouTube channel "Vivo TV." In the video, entertainers Eun-yi Song and Sook Kim candidly share their investment status and rates of return.

During the broadcast, Sook Kim, before a phone call with a securities firm employee, lamented, "There’s more than one or two things to complain about in the stock market. My ETF returns are -37%," expressing her losses from the recent market downturn. Eun-yi Song, expressing sympathy by saying, "A lot of people are in the same boat these days," then mentioned the status of her pension savings.

Eun-yi Song stated that the cumulative rate of return on her pension savings is 30%, emphasizing, "There’s a difference between cumulative and short-term returns." When Sook Kim retorted playfully, "I'm at -37%—are you bragging?" Eun-yi Song replied, "It's because it's cumulative, cumulative."

Maintained for 33 Years Despite Bank’s Recommendation to Cancel..."Consistency Is Key, Even If With Small Amounts"

Previously, Eun-yi Song had become a topic of discussion after revealing on several broadcasts that she has maintained the financial product she signed up for as a rookie in 1993 without canceling it to the present. She shared, "Back in 1993 when I was earning a monthly salary of 200,000 won, I joined a bank pension savings plan. At that time, the interest rate was in the 20% range. The bank recommended I cancel it several times, but I have maintained it to this day." She added, "Just looking at the interest rate makes me happy."

However, through this broadcast, Eun-yi Song made it clear that the product has not made her a wealthy asset holder. She explained, "Savings accounts tend to have little direct connection with high returns or with fully preparing for retirement." She continued, "I started it to receive tax benefits and a pension, not because it was a large amount. While the interest rate was in the 20% range when I joined, it’s now around the 10% range."

Broadcaster Eunyi Song. Photo by Yonhap News

She went on to say, "It may seem like I’m fully prepared for retirement because of it, but that's not the case. Above all, the amount isn’t large." She emphasized, "Practicing good financial habits, like saving even small amounts through installments, is never insignificant. That kind of habit is what's important when it comes to personal finance."

Pension Savings Balance Approaches 198 Trillion Won

Recently, as individuals grow weary of volatility in the stock market, they are turning their attention to saving, and interest in pension savings is also rising. According to the "2025 Korea Pension Savings Investment White Paper" published by the Financial Services Commission and Financial Supervisory Service, as of the end of last year, pension savings balances stood at 198.2 trillion won, an increase of 10.8% compared to the previous year. The annual rate of return for all pension savings products last year was 10.6%.

By product, pension savings funds and ETFs recorded the highest annual return last year at 29.3%, followed by pension savings trusts at 4.0%, and pension savings insurance at 0.8%. The number of pension savings holders also reached 8.403 million last year, up 10.0% from the previous year.

Notably, pension savings fund balances climbed to 61.3 trillion won, marking a 50.7% increase in just one year. The share of pension savings funds within the total pension savings balance also expanded—from 17.6% in 2023, to 22.7% in 2024, and to 30.9% last year.

However, since pension savings are a long-term product, it is important to consider the tax burden that may arise from early withdrawals. If you withdraw the principal (on which you have received tax deductions) and investment returns in a way other than as a pension, other income tax may be imposed. Therefore, it is necessary to fully understand the tax structure of these products before managing them.

This content was produced with the assistance of AI translation services.