The “Henley Private Wealth Migration Report 2024,” published by Henley & Partners, a British investment migration consultancy, reveals that South Korea is expected to lose 1,200 millionaires to emigration by the end of this year. This ranks the country fourth globally in terms of millionaire outflow. The figure marks a significant 50% increase from the 800 millionaires who left in 2023, indicating a sharp rise in the rate of departures.
China is forecasted to see the largest exodus of millionaires this year, with 15,200 expected to leave. The UK follows with 9,500, and India is third with 4,300. The report defines a millionaire as someone with at least $1 million in assets, excluding real estate.
This growing trend of wealthy individuals leaving South Korea, often called “Fleeing Korea” or “Tal-Joseon” in Korean, is primarily attributed to the country’s high inheritance and gift taxes. Choi Yeo-kyung, CEO of Selena Emigration, a leading investment migration consultancy in South Korea, identifies these taxes as the main driving force behind this trend.
South Korea’s maximum inheritance tax rate is 50%, the second-highest among OECD countries after Japan’s 55%, and double the OECD average of 25%. In comparison, the U.S. offers a substantial unified credit for inheritance and gift taxes, allowing a couple to receive a deduction equivalent to approximately $26.22 million (35 billion won). This makes the U.S. an attractive destination for those looking to minimize their tax burdens.
“In Korea, you can lose half of the wealth you intend to pass on through taxes,” Choi explains. “By obtaining a U.S. Green Card, people can significantly reduce this tax burden, making it a very appealing option. The cost of investment migration—around $800,000—will mostly be recovered within five years. If it shouldn’t, it’s still minimal compared to the taxes they would pay in Korea. This is why many are eager to pursue investment migration.”
Retirement migration is also on the rise. Choi notes that many parents urgently seek permanent residency in the U.S. to support their children who have studied there in securing jobs or pursuing further education.
Additionally, recently retired middle-aged individuals are increasingly open to the idea of relocating abroad, given their extensive international experience and minimal hesitation. Choi adds, “Many older individuals have long dreamed of living overseas at least once, which reduces their fear of leaving behind their established lives in Korea.”
