In a move aimed at making public transportation more affordable, South Korea is rolling out a new fare system that effectively places a cap on how much commuters pay each month—automatically refunding any spending beyond a set amount.
The program, called “Everyone’s Card,” builds on the country’s existing transit discount scheme and is designed to ensure that frequent riders never exceed a fixed monthly out-of-pocket cost. It shifts away from percentage-based discounts toward a hard ceiling on spending, reflecting a growing policy push in some countries to treat public transit as an essential service with predictable costs.
Under the current system, riders who use buses or subways at least 15 times a month receive a partial refund—usually around 20% of their total monthly fare. The new model instead sets a spending cap: once a commuter’s transit expenses pass a certain threshold, all additional costs are fully refunded.
For example, in regional cities like Busan, the cap for standard local transit—such as city buses and subways—is set at about $37 per month. If a rider spends $74 in a month, the system would automatically refund $37, effectively limiting their actual payment to the cap amount.
A higher threshold—around $64 per month—applies to riders who also use more expensive services like intercity or express buses. The system calculates which benefit provides the larger refund and applies it automatically; no new card or registration is required.
Commuters will continue using existing transit cards, and the refunds will be processed without any additional paperwork. A mobile app will allow users to track their monthly spending and see estimated refunds in real time.
The policy is part of a broader effort by Korean authorities to reduce the daily cost burden on workers and students who rely heavily on public transit. By guaranteeing a maximum monthly transport cost, the government aims to provide financial predictability and relief in a country where many urban residents commute long distances for work or school.
Similar fare-cap systems have been introduced in cities such as London and New York, though Korea’s approach is notable for being applied nationally and integrated seamlessly into the existing payment infrastructure.
The “Everyone’s Card” system is set to launch in the coming months, offering a model of how targeted transit subsidies can make affordable transportation even more accessible to everyday commuters.
