Currency (원화): The People on the Banknotes & How Money Works

The first time you hand over a 50,000-won note in Korea, you might not notice whose face is on it. Once you do, the bill becomes more interesting: it's 신사임당 (Shin Saimdang) — a 16th-century artist, poet, and mother, widely considered Korea's greatest female historical figure. She is not a queen, not a politician, not a general. Her presence on Korea's highest-denomination note tells you something specific about what Korean culture chose to honor.

The won is straightforward to use. Understanding what it represents takes a moment longer.

한국 지폐 (Korean Banknotes)

Korea's paper currency comes in four denominations, each featuring a specific historical figure on the front and a culturally significant image on the back.

인물 선택의 의미 (What the choices mean):
세종대왕 (King Sejong) on the ₩10,000 note is unsurprising — creator of 한글, Korea's greatest monarch by most measures. The two Confucian scholars on the ₩1,000 and ₩5,000 notes reflect the Joseon Dynasty's deep 유교 (Confucian) tradition, in which intellectual achievement was the highest form of distinction. 신사임당 on the ₩50,000 note — the highest denomination — represents a deliberate choice to honor a woman's cultural contribution in a society that historically subordinated women's roles.

Tip — 신사임당과 율곡 이이 (Shin Saimdang and Yi I): 신사임당 is the mother of 율곡 이이 — meaning the woman on the ₩50,000 note and the man on the ₩5,000 note are mother and son. This is the only parent-child pair on any country's currency in regular circulation.

동전 (Coins)

Korean coins come in six denominations:

실용적 참고 (Practical note): ₩1 and ₩5 coins are technically legal tender but practically unused — most prices are rounded to the nearest ₩10. The ₩100 coin features 이순신 (Admiral Yi Sun-sin) — the same figure on the ₩100 coin is also on the massive statue at 광화문광장 (Gwanghwamun Square). The ₩100 coin is therefore Korea's most-handled object bearing his face.

원화의 규모 (The Scale of the Won)

The won's large nominal numbers — where ₩10,000 is approximately $7.50 — reflect a historical decision not to redenominate after the Korean War. Most everyday transactions involve four- and five-digit numbers, which is initially disorienting for foreigners.

환율 참고 (Exchange rate reference, approximate 2024):

• ₩1,000 ≈ $0.75 USD

• ₩10,000 ≈ $7.50 USD

• ₩100,000 ≈ $75 USD

• ₩1,000,000 ≈ $750 USD

The actual rate fluctuates — sometimes significantly. The won's behavior against the dollar is covered in the exchange rate article.

결제 방법 (Payment Methods)

카드 결제 (Card payments): Korea is one of the world's most cashless societies. Credit and debit cards are accepted virtually everywhere — from street food stalls to taxis to traditional markets. Card acceptance exceeds 95% of retail transactions in urban areas.

모바일 결제 (Mobile payments):

• 카카오페이 (Kakao Pay): Dominant; linked to KakaoTalk; approximately 40 million users

• 삼성페이 (Samsung Pay): Works on Samsung devices via NFC and MST

• 네이버페이 (Naver Pay): Dominant in online shopping

• 애플페이 (Apple Pay): Launched in Korea in 2023 — growing rapidly

현금 (Cash): Still useful for traditional markets (전통시장), small neighborhood restaurants, and older establishments. ATMs are ubiquitous — convenience stores, subway stations, and bank branches. Most Korean ATMs accept foreign cards (Visa, Mastercard, Union Pay) with a transaction fee of approximately ₩1,000–₩2,000.

세금계산서와 영수증 (Tax Invoices and Receipts)

Korea has a 10% VAT (부가가치세) built into most consumer prices — unlike the US, prices in Korea are displayed as the total including VAT. When you see ₩9,000 on a menu, that is what you pay.

현금영수증 (Cash receipt system): Korea operates a 현금영수증 (hyeongeum yeongsujeung, cash receipt) system — when paying cash, you can request a cash receipt by providing your phone number. This creates a tax record that allows you to claim a small income deduction at year-end settlement. The system was designed to prevent tax evasion in cash transactions and has been remarkably effective — contributing to Korea's high tax compliance rate.

Key Facts

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