Simple Q&A - NISA

[RetireJapan]

My wife and I live in the US now. She is a Japanese citizen, but a resident of the US.

We would like to retire in Japan, and we're interested in opening a tsumitate NISA. It looks like it's open to current Japan residents only, though.

It seems unlikely Rakuten would ask a lot of questions about residency if a Japanese citizen with a current mailing address showed up to open the account. Are there risks I'm missing here? Might opening a NISA raise flags with the pension system? Ward tax? We certainly don't want to do it if there is any prospect of it causing trouble or expense in the future.

Your wife will need to submit her My Number information as part of the application process. That may be a problem.

Assuming your wife has a green card, she'll run into all the same IRS problems that US citizens do.

Also it's never a great idea to lie on application forms.

[Bikkuri_Gaijin]

Thanks. That makes sense.

[pfdsa]

Quick question...
Let's suppose that I max out my tsumitate NISA next year, and that I have some money left every month. If I open a taxable account (for example, on rakuten securities) and buy a mutual fund that doesn't pay dividends (ex: emaxis slim all country), do I need to fill my taxes myself on nenmatsu chosei?
On the other hand, If I buy a fund that pays dividends, do I have to fill the taxes myself?

[zeroshiki]

If you use a tokutei account, you don't need to do anything. Rakuten will withhold and pay whatever you owe for you when you sell out how many years down the line. Even if its a fund that pays dividends. You will only need to file taxes if you use an ippan account.

[pfdsa]

If you use a tokutei account, you don't need to do anything. Rakuten will withhold and pay whatever you owe for you when you sell out how many years down the line. Even if its a fund that pays dividends. You will only need to file taxes if you use an ippan account.

That's good to know. Thanks for the answer!

[pfdsa]

Sorry for the double post...
In 2021 invested 150,000 yen and looks like I can't make more contribuitions, so I would like to make a bonus payment of 300,000 yen in January on my tsumitate NISA (rakuten securities).

Went to the settings, set up a 300,000 yen bonus payment for january (day 24), and then played with the monthly payment, and looks like the highest payment I can choose is 6,060 yen per month. However, If I multiply 6,060 yen per 12 months and then add the bonus, it only adds up to 372,720 yen. Since the limit is 400,000 yen per year, why can't I invest the remaining 27,280 yen?
Maybe I'm doing something wrong...Any ideas?

[EmaxisSlim Cultist]

X is the 40 man yearly allowance
Y is your bonus payment
Z is the remaining allowance after the bonus is subtracted

X-Y=Z

Just make sure Z is divisible by 12 and you are fine.

4000 - 2560 = 1440

1440 / 12 = 120.

Bonus of 2560. Monthly payment of 120.

That is just an example...

[pfdsa]

X is the 40 man yearly allowance
Y is your bonus payment
Z is the remaining allowance after the bonus is subtracted

X-Y=Z

Just make sure Z is divisible by 12 and you are fine.

4000 - 2560 = 1440

1440 / 12 = 120.

Bonus of 2560. Monthly payment of 120.

That is just an example...

Ah! Now it makes sense
Thank you!

[pfdsa]

Sorry for the double post...
In 2021 invested 150,000 yen and looks like I can't make more contribuitions, so I would like to make a bonus payment of 300,000 yen in January on my tsumitate NISA (rakuten securities).

Went to the settings, set up a 300,000 yen bonus payment for january (day 24), and then played with the monthly payment, and looks like the highest payment I can choose is 6,060 yen per month. However, If I multiply 6,060 yen per 12 months and then add the bonus, it only adds up to 372,720 yen. Since the limit is 400,000 yen per year, why can't I invest the remaining 27,280 yen?
Maybe I'm doing something wrong...Any ideas?

Figured out what was the problem.
Even though we are still in 2021, my tsumitate for December (33,333 yen) is being included in the allowance of 2022 (bank transfer is in the 14th of December and the purchase on Rakuten is on the 24th of December). Therefore, subtracted 33,333 yen (December of 2021 tsumitate) from the 2022 allowance, subtracted the bonus from January, then divided the rest by 11 months.
Maybe due to the holidays December tsumitate is being included in the 2022 allowance?

[EmaxisSlim Cultist]

Sorry for the double post...
In 2021 invested 150,000 yen and looks like I can't make more contribuitions, so I would like to make a bonus payment of 300,000 yen in January on my tsumitate NISA (rakuten securities).

Went to the settings, set up a 300,000 yen bonus payment for january (day 24), and then played with the monthly payment, and looks like the highest payment I can choose is 6,060 yen per month. However, If I multiply 6,060 yen per 12 months and then add the bonus, it only adds up to 372,720 yen. Since the limit is 400,000 yen per year, why can't I invest the remaining 27,280 yen?
Maybe I'm doing something wrong...Any ideas?

Figured out what was the problem.
Even though we are still in 2021, my tsumitate for December (33,333 yen) is being included in the allowance of 2022 (bank transfer is in the 14th of December and the purchase on Rakuten is on the 24th of December). Therefore, subtracted 33,333 yen (December of 2021 tsumitate) from the 2022 allowance, subtracted the bonus from January, then divided the rest by 11 months.
Maybe due to the holidays December tsumitate is being included in the 2022 allowance?

When I set up my Rakuten Tsumiate mid-year last year, I only had to divide it by the remaining months of the year I believe.

So if you are setting up a December 2021 Tsumitate it will be a bit tricky. You cannot do credit card or sweep, as there is not enough time.

It sounds like you have set up a 2022 Nisa to me....

The 2021 Nisa ENDs in the last week or so of December, and the next years begins. It does not start on January 1st 2021. Consfusing, I know.