Farmland Pension Subscription Conditions and Reasons for Payment Suspension
Farmland Pension Subscription Conditions
It is a system for farmers who manage business using farmland, which is land used for farming. It is an annuity that guarantees elderly farmers to live a stable life in their old age.
What is Farmland Pension?
It is a system in which elderly farmers aged 60 or older receive monthly pension payments as a pension to stabilize their old-age life by securing farmland owned by them as collateral. Nowadays, in the age of 100, there are many people who work even if they are over 60 years old. Even if you are receiving a farmland pension, you can continue farming with the farmland secured as collateral and create profits. 농지연금 가입조건
Advantages of Farmland Pension 좋은뉴스
Even if the farmer who receives the farmland pension dies, his/her spouse can take over and the pension can be paid for life until death. Your spouse is over 60 years old and you must choose pension succession.
As mentioned above, additional income other than pension, which is income from directly cultivating secured farmland and rental income from leasing, is possible. The farmland pension is stable because it is supported by the government budget.
When the pension debt is repaid, it is repaid through the disposal of collateral farmland, and any remaining amount is returned to the heir, and no further claims are made even if there is a shortage. This part is similar to the housing pension.
Reduces property taxes. Farmland worth 600 million won or less is fully exempted, and farmland worth more than 600 million won is exempted up to 600 million won.
Farmland Pension Subscription Conditions
1. Because farmland is secured, the farmland owner must be over 60 years of age. (As of the end of the application year)
(In case of 2022, born before 1962.12.31)
2. Must have farming experience. The applicant must have more than 5 years of farming experience.
From the date of application for Farmland Pension, at least 5 years of farming experience must be met.
Farming experience does not have to be continuous, and at least 5 years in total during the entire farming period
3. Collateralized farmland subject to farmland pension must satisfy all of the following requirements.
Among the farmland under the Farmland Act, farmland that is owned by the project target and is actually used for farming as land, paddy field, orchard designated for government purposes
Farmland owned by the project recipient for more than 2 years
Place the address (based on the address on the resident registration) of the subject of the project within the city, county, or district where the collateral farmland is located and the city, county, or district adjacent to it;
Farmland located in an area within 30 km of the straight-line distance between the address and the mortgaged farmland *1 and 2 requirements apply from newly acquired farmland on or after January 1, 2020
Farmland for which no restricted real rights such as mortgages have been established
However, farmland where the maximum amount of senior bonds is less than 15/100 of the price of collateral farmland is eligible for subscription.
Farmland that is not subject to seizure, provisional seizure, provisional disposition, etc.
Land with illegal structures installed, land with a confirmed development plan, land acquired through auction or public sale, if the co-owner of the farmland is other than the applicant and the spouse, are excluded from the farmland pension.
Reasons for suspension of farmland pension payment
When a farmland pension subscriber dies and there is no spouse
If the farmland pension subscriber dies and has a spouse, if the spouse refuses or fails to complete the registration of transfer of ownership of all collateral farmland and the assumption of farmland pension liabilities to the spouse within 6 months after death
If the spouse who has completed the registration of transfer of ownership of collateral farmland and the takeover of farmland pension liabilities within 6 months from the date of death of the farmland pension subscriber dies
In case of loss of ownership of collateral farmland
Where farmland annuity claims are expected to exceed the maximum amount of mortgage claims
If a restricted real right is established in the collateral farmland or a collateral real right such as a mortgage is established without the consent of the corporation
Where the secured farmland can no longer be used as farmland due to diversion, etc.
Please note that in the case of the above reasons, the payment of farmland pension is suspended, and the farmland pension recipient or heir must repay the farmland pension debt.
For those who do not have farmland, there is also a pension system through housing, so please refer to it.
Find out about your mortgage! Subscription conditions and payment method
There are many ways to prepare for old age. In particular, generations like me, who are having a hard time buying a house like now, may not be applicable, but our adults or those who own a house know.