Korea’s middle class sharply reduced donations to charity in 2011, squeezed by increasing debts and education costs.

Despite the economic slowdown, Koreans across all income strata gave back to society more than in previous years ― with the exception of the middle-income bracket, said the Seoul Welfare Foundation, a group affiliated with the city government.

According to its analysis of data from the Beautiful Foundation, a private charity, the middle-class participation rate increased from 54.2 percent in 2003 to 58 percent in 2009, but plunged to 51 percent in 2011.

Their annual income-to-donation ratio also stood at 0.09 percent in 2003, 0.3 percent in 2006 and 0.24 percent in 2011.

In contrast, all the other income groups including those earning the least showed a steady growth in both terms, the agency said.

“Comparatively speaking, the middle class is hit hard by the continuing economic slowdown and stagnant housing market,” the foundation said in its report.

“Because of growing household debt and expenditure on children’s private education, disposable income of the middle class has dropped significantly.”

Between 2000 and 2010, the proportion of debt repayment and private education spending to their income swelled from 13.6 percent to 27.5 percent and from 4.4 percent to 6 percent, respectively.

Their earnings also failed to keep up with increasing prices, causing a drop in purchasing power, the data suggested.

According to a separate study, the average middle-class income in 2012 was 2.8 million won ($2,600) a month and the average spending, excluding investment and savings, was 85.1 percent of income.

By Kwon Bum-joon (bjkwon@heraldcorp.com)