How much money to bring, how to budget for shopping, and how to use Korea's tax refund system to get more out of every won you spend.
Korea is one of Asia's most popular travel destinations — and for good reason. The food is incredible, the culture is rich, and the shopping is world-class. But unlike many travel destinations, Korea has a built-in financial perk for tourists: the VAT tax refund system. Every eligible purchase you make at a registered store comes with a 6–9% rebate that you collect before leaving the country.
For travelers who plan ahead, this means your effective shopping budget is actually larger than what you bring. If you spend ₩500,000 on shopping, you can expect roughly ₩35,000–₩42,000 back. On a ₩2,000,000 shopping trip, that's ₩140,000–₩170,000 in refunds — enough to cover a nice dinner or two in Seoul. This guide helps you plan your budget with these savings built in from the start.
per day (excl. shopping)
per day (excl. shopping)
per day (excl. shopping)
The table below shows realistic shopping budgets for different traveler types and the estimated tax refunds you can expect to receive back. Use this to plan your actual spending money needed.
| Traveler Type | Shopping Budget | Est. Refund (7.5% avg) | Effective Cost After Refund |
|---|---|---|---|
| Light shopper | ₩150,000 | ₩11,250 | ₩138,750 |
| K-beauty focused | ₩300,000 | ₩22,500 | ₩277,500 |
| Fashion + beauty | ₩600,000 | ₩45,000 | ₩555,000 |
| Serious shopper | ₩1,000,000 | ₩75,000 | ₩925,000 |
| Luxury shopper | ₩3,000,000 | ₩225,000 | ₩2,775,000 |
| Total saved on ₩1M shopping trip | ₩75,000+ |
When you see an item priced at ₩100,000, mentally adjust to ₩92,500 (after ~7.5% refund). This helps you make more accurate purchase decisions and avoid post-trip sticker shock.
You can get cash refunds at Myeongdong kiosks the same day you shop. Getting cash early means you can use that money for more shopping or food during your trip — not just at departure.
Seoul's subway system is extensive and incredibly affordable — most rides cost ₩1,500–₩2,500. A T-money card also works on buses. Compared to taxis, using public transport can save ₩10,000–₩30,000 per day.
Olive Young runs major sales events (particularly in June and November/December) where popular items are discounted 20–40% BEFORE the tax refund. Combining a sale purchase with a tax refund gives you exceptional value.
A full meal at a local Korean restaurant (kimbap, bibimbap, jjigae) typically costs ₩7,000–₩12,000. The same meal at a restaurant adjacent to popular tourist spots can cost 2–3x more. Walk one or two streets away to find the local price.
The basement food halls of Lotte and Shinsegae department stores markdown prepared foods in the last 1–2 hours before closing. High-quality Korean food at significant discounts — and you're already in the building for your shopping.
The same K-beauty products can vary in price between districts. Myeongdong is convenient but often slightly more expensive for cosmetics than Hongdae. Check prices before committing to large purchases.
The Korean won fluctuates against major currencies. If the won is weak against your home currency, your effective buying power in Korea is higher — meaning your purchases and refunds are worth more when converted home.
Group your shopping trips by area: Myeongdong for K-beauty, Hongdae for fashion and gifts, Gangnam for luxury, Dongdaemun for late-night fashion. Crisscrossing the city wastes time and transportation money.
Many credit cards charge 1.5–3% on foreign transactions. On a ₩500,000 shopping trip, that's ₩7,500–₩15,000 in fees — potentially wiping out a chunk of your tax refund. Use a no-fee card or pay cash for large purchases.
| Category | Budget Trip | Standard Trip | Comfort Trip |
|---|---|---|---|
| Accommodation (5 nights) | ₩200,000 | ₩500,000 | ₩1,500,000 |
| Food & dining | ₩150,000 | ₩300,000 | ₩600,000 |
| Transport (subway + airport) | ₩50,000 | ₩80,000 | ₩150,000 |
| Activities & entrance fees | ₩30,000 | ₩100,000 | ₩200,000 |
| Shopping budget | ₩200,000 | ₩600,000 | ₩2,000,000 |
| Tax refund received back | −₩15,000 | −₩45,000 | −₩150,000 |
| Net Total | ₩615,000 | ₩1,535,000 | ₩4,300,000 |
Related Articles
Use our free calculator to see how much you'll get back on your Korea shopping budget.