Understanding the Korean Trash System

It's a system I've yet to understand fully, but I'm doing my best. This system is a result of a huge population being crammed onto a tiny little land mass, so understandably, something's got to be done and it's important that it's done right.

So here's what I know about Korea's trash system. Please correct me if I'm wrong..

Three bags.

One is recyclables, including glass, plastics, cardboard, paper. This can be any clear bag and sometimes you can sort it out at the curb, depending on your trash pick up location. Last night, Ethan sorted out our recyclables and brought back the bag to reuse.

Another bag is for general trash. This is a specific bag that you can purchase many places, like the convenience store on the corner or at the grocery store. These bags are expensive. Why do I need to pay ~$2.50 for a large plastic bag? Because this is how you pay the city to pick up your trash.
Oooh.
The outrageous price makes sense now. This also encourages you to do it right and recycle what needs to be recycled, because you can buy cheap clear plastic bags for recycling and reuse the bags like we did. The less trash in the expensive bags, the less bags you have to use.

The last bag. Food waste. This one is a small orange bag that you must put your food waste in. I am told it's used as feed. For what? Still not sure. I don't know if that's a rumor or truth, but I'm told you shouldn't include shells or bones, so it could quite possibly be true. Things like vegetables, meats, etc. can be included. No hard pits. Side note: You don't want to leave this bag out in your kitchen because it will start to smell. Bad. So what do you do? Stick it in the freezer. Problem solved. The bacteria stops growing and there isn't a smell. Once it's full, take it out with the trash. But only when it's the right time of day.

Did I mention that you can only take trash out during certain times of the day? Between 8pm and 4am is when trash should be taken out. And not on Saturdays because there's no pick up on Sunday.

Once you get it down, it's not so confusing. Now I'm on the hunt for a trash can and a recycling bin. For now, the food waste will occupy a shelf in my almost empty freezer.

Am I doing this right? Please feel free to comment below. I'd like to avoid the 1,000,000 W penalty.

We're just a couple of humble Americans trying to make our way in a new country. No big deal.