退職等年金掛金

[hoshimo]

My wife works for a private school, but will be quitting in a year. She was told that when she quits, she will longer be able to continue 退職等年金掛金, that she will be able to receive what she paid into it, but won't get to know "how much it would have become." It's my first time hearing about 退職等年金掛金 but it sounds like a retirement pension plan? Are they basically saying that she only has the option of taking the lump sum when she quits? She's 31 and has been working there for 8 years. Would taking the lump sum be so bad?

[RetireJapan]

It's called 'retirement bonus' in English. You accrue it for years worked, and it pays out a lump sum when you leave the company or retire. At least in my case, there is a document that shows how much you get per year worked (normally a multiple of base salary).

It is taxed preferentially (as retirement bonus).