US Welfare System Overview (as of 2026; subject to change)

The US welfare and social security system is structured very differently from Korea or Europe. It runs on a three-layered model: federal, state, and employer, and many key benefits are delivered through the employer rather than the government. Health, retirement, unemployment, and leave each have a different administering body, and even within the same program, eligibility and amounts can vary widely by state.

The big picture: who is responsible for what

• Federal government: Social Security (retirement), Medicare (health for 65+), Medicaid (low-income health, jointly with states), SNAP (food), Section 8 (housing vouchers), tax credits (CTC, EITC).
• State government: unemployment insurance, Medicaid administration, K–12 public education, in-state tuition at state universities, paid family/medical leave (PFML) in some states.
• Employer: health insurance (about half the population), 401(k) retirement, group life insurance, paid parental leave at some companies.
• Individual: IRA, HSA, private health insurance via the ACA marketplace, private student loans.

Because of this multi-layer structure, losing your job often means losing your health coverage at the same time (COBRA can extend it temporarily but is very expensive).

Eligibility tiers (from a Korean perspective)

| Status | Main rights | Main limits | | --- | --- | --- | | F-1 student | On-campus work, OPT/CPT | Mostly excluded from Medicaid/SNAP/Section 8; school health insurance required | | H-1B/L-1 etc. | Employer health insurance, 401(k), pays into Social Security | Can claim unemployment but visa expires 60 days after job loss; Medicaid limited | | Permanent resident (Green Card) | Most federal benefits available (subject to a 5-year wait) | Some states waive the wait; some restrictions vs. citizens | | Citizen | Full eligibility, but worldwide income is taxed | Korean nationality renunciation or dual-citizenship issues separate |

Key US–Korea agreements

• US–Korea Totalization Agreement: combines work periods in both countries to satisfy Social Security eligibility (40 credits, about 10 years). Avoids double contributions for those on assignment.
• US–Korea tax treaty: prevents double taxation. Citizens and green-card holders must file US taxes even while living in Korea, and Korean taxes paid count toward the Foreign Tax Credit.
• Korean National Health Insurance is usually suspended while you live in the US (voluntary continuation possible). Short-term Korean visitors should buy travel insurance separately.

Common points of confusion

• "Free healthcare" doesn't exist. Even Medicare beneficiaries (65+) pay Part B and D premiums.
• ERs cannot turn away the uninsured (EMTALA), but the bill arrives later all the same — USD 5,000 to 50,000 surprises are common.
• Unemployment can be denied for voluntary quits or fault-based dismissals, and visa-based statuses make it effectively unusable.
• There is no federal paid parental leave. FMLA is 12 weeks unpaid.

Major federal agencies and websites

• ssa.gov — Social Security (retirement, disability, survivors)
• healthcare.gov — ACA marketplace health insurance
• medicaid.gov / medicare.gov — low-income and senior health
• irs.gov — taxes, FBAR/FATCA
• hud.gov — housing assistance, Section 8
• dol.gov — labor, FMLA, unemployment
• studentaid.gov — FAFSA student aid

For details on each area, see health/pension/unemployment/family/tax/housing/education/parental.md.