Are swim instructors and lifeguards filed differently for pay?
Swim instructors and lifeguards are filed as employment income if they work regularly, or as business income with 3.3% withholding if contracted per session. Facilities such as filtration equipment and hot-water boilers are classified as a depreciable asset once the per-unit purchase exceeds KRW 1 million and must be expensed over their useful life, while water-treatment chemical costs and heating/cooling electricity and gas bills, since they make up a large share of spending, are worth tracking closely so you can capture every receipt and record them as full expenses when incurred.
The Trickiest Part — High Facility Costs and Revenue Channel Segregation
This is a business where facility maintenance costs like water treatment and climate control run high, and revenue comes through varied channels
Don't Miss Any Water-Treatment or Electricity Expenses
Pools carry very significant costs for water-treatment chemicals, filtration-system upkeep, and the electricity and gas needed to run the hot-water boiler. You need to consistently track facility-management contracts and utility receipts to capture every expense without gaps.
Manage Lesson Revenue and Open-Swim Revenue Separately
Group and private lesson revenue and open-swim pass revenue have different rates and settlement structures, so tracking them separately makes instructor settlement and tax filing far easier.
Income Structure Features of Swimming Pools & Lessons
Key Expense Items
Must-Know for Swimming Pools & Lessons
Split Pool Facilities & Lesson Revenue by Category to Save on Taxes
From filtration equipment to lesson revenue channels, categorizing each item correctly is what cuts unnecessary tax
Long-Term Fixed Assets — Equipment Subject to Depreciation
Pool facilities: filtration equipment, hot-water boiler
Auxiliary facilities: lockers, shower facilities
Once a per-unit purchase exceeds KRW 1 million, it's classified as a depreciable asset and must be expensed over its useful life.
Facility Maintenance Costs — Immediate Expense
Water-treatment chemicals and heating/cooling electricity and gas bills are expensed in full at the time they're incurred. Given how much these costs run in this line of business, capture them all without exception.
Personal-Service Costs — Instructor and Lifeguard Pay
Swim instructors and lifeguards are filed as employment income if regularly employed, or as 3.3% withholding business income if contracted per session.
Lesson & Open-Swim Revenue Channels
Group and private lesson revenue is a different channel from open-swim pass revenue, so tracking them separately makes instructor settlement and filing easier.
| Category | Typical Examples | Tax Treatment |
|---|---|---|
| Long-term fixed assets | Filtration equipment, hot-water boiler, lockers | Depreciated once over KRW 1M |
| Facility maintenance | Water-treatment chemicals, electricity/gas | Fully expensed immediately at cost |
| Personal service | Swim instructors & lifeguards | Employment income or 3.3% withholding |
| Revenue channel management | Lesson revenue, open-swim pass revenue | Managed separately by channel |