The Civil Service Pension ( CSP ) program has played central role of the public pension in Korea. But the outlook for the CSP program indicates several problems. First the balance of the benefit among the pension recipients is not well maintained. Second, the program is running out of funds as benefit increases exceed the growth in revenues.
In this study, these problems are analyzed and the alternatives are presented. The first problem is analyzed by the break-even point analysis method and an additions of the age limit to the benefit eligibility is proposed as an alternative.
The deterministic simulation model is used for the forecasting the transition of the CSP fund and for the analysis of the second problem. The alternative is analyzed by the same model. It is resulted that the most reasonable alternative is a reconsideration of the government subsidy's level.
Finally, the L. P. model for the management of the CSP fund is presented. This model is expected to be applied to the more general case.