The system for distributing subsidies begins with 50% of the total amount of subsidies available equally divided to political parties with a negotiation body in the National Assembly comprised of party members. Next, parties with between five and 20 seats receive 5% of the total funds each. 

After distributing based on the aforementioned criteria, half of the remaining subsidies are distributed to political parties represented in the National Assembly according to the number of seats each party has. The other half of the remaining subsidies are distributed based on the number of votes obtained by political parties in the most recent National Assembly election.  

The total amount of subsidies available is calculated by multiplying the number of registered voters in the most recent National Assembly election held due to the termination of office by the subsidy unit price. This is then divided equally into quarters to be paid during the year and distributed on the 15th day of February, May, August and November (if those days are either Saturdays or public holidays, then they will be paid the day before).

The unit price of current national subsidies for 2017 is 1,001 won ($0.87 USD). This was calculated by applying the 2015 inflation rate of the National Consumer Price Index (0.7%), calculated and announced by the Commissioner of Statistics Korea, to the 2016 national subsidy unit price (994 won) 

In addition, the election subsidies for the presidential election will be given to parties that nominate candidates on the basis of the same calculation and distribution method of these current national subsidies. This distribution will take place within the two days after the candidate registration deadline.

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