Stories and practices that are considered part of Korean folklore go back several thousand years. These tales derive from a variety of origins, including Korean Shamanism, Confucianism, Buddhism, and more recently Christianity.

Many folk traditions developed in rural areas such as villages. They often relate to households and farming, and reinforce family and communal bonds. The performance of folk tales reflects this, with performers often encouraging and eliciting audience involvement. Traditions and stories were passed down orally, although written examples appear beginning in the 5th century.

While many traditions have become less practiced or modernized, folklore remains deeply embedded in Korean society, continuing to influence fields such as religion, stories, art, and customs.

There are many types of folklore in Korean culture, including Imuldam (이물담), focused on supernatural beings such as monsters, goblins and ghosts. The most common beings are the Gwisin (귀신), which are similar to deities, divinities, spirits or ghosts, and the Dokkaebi (도깨비), which are legendary creatures sometimes considered "Korean goblins". However, this term differs from the European concept in that they do not possess an evil or demonic characteristic. Instead, they are creatures with powers that seek to bring people both delight and misery. These beings engage either in friendly or annoying behavior with humans. The presence of these beings is considered related to both difficulties and pleasures in life.

Today stories are derived from a variety of origins, including Shamanism, Confucianism, Buddhism and more recently Christianity. Korean folklore began to be organized after folklore lectures were started by Cho Chi-hun.

Korean folk religion (민속신앙) remains a part of the lives of modern Koreans. Korean folk religions are based on Korean shamanism and foreign religions such as Buddhism. Korean folk religions changed in nature and characteristics due to cultural infusion as foreign religions were introduced to Korea, and folk religions gradually developed as a mixture of foreign religions and indigenous beliefs. Korean folk religions are not individual beliefs, but are expressed through a community, having developed within local villages and homes. Korean shamans are involved in both the worship of household deities and rituals dedicated to village patron gods.

In Korean folklore, houses are sacred places filled with the traditions of family members and ancestors. It is believed that there is a guardian deity in every place in the house, and that they bring good fortune to the family. For example, there is a god in charge of the house that helps bring in wealth, and a goddess in the master bedroom who helps give birth to babies and protects offspring. Evil spirits outside the house cause anxiety and fear, discouraging others from entering the house. There is thus a custom to restrict the entry of evil spirits by hanging thorn trees on the gate or by setting up ritual strings to prevent evil spirits from entering the house. The gods of the house confront these evil spirits and act as guardians of the house.

The village cult is an extension of the worship of household gods. The village is an extension of the family and a place where relatives live, although villages can also contain people who are not involved in the worship of the patron gods. The gods of the village cults differ depending on the characteristics of the village. Village cults are generally limited to one village, but sometimes they are extended out of the village to perform farming rituals or communal rites between multiple villages. Most villages serve one main god, who is accompanied by Jangseung (장승, Korean totem pole) or other small subordinate gods.