The article investigates how Korean companies decide on dividend payments. They studied 299 firms over 26 years and found that Korean firms tend to pay dividends based on the stock's face value, which is linked to interest rates. Most Korean firms smooth out their dividend payments, adjusting to a target payout ratio faster than in developed markets. Factors like company risk, size, and growth influence dividend smoothing behavior, with larger and older firms more likely to smooth dividends. Contrary to expectations, leverage and ownership structure have little impact on dividend smoothing. Overall, the study suggests that riskier firms in Korea tend to pay more smoothed dividends, showing differences in dividend behavior compared to US firms.