Paying social insurance etc... when overseas for several months

[Hedgehog]

Quick question to those with more experience:

I'm a permanent resident with a full-time job in Japan. At some point this year I may go back to the UK for several months. I would take paid leave for part of that period, and unpaid leave for the rest (my employer is understanding and benevolent). I have read elsewhere on the forum that I would need to continue to pay National Pension and National Health Insurance, and also kaigo hoken, for the period of unpaid leave while I am away. Is that correct? Anything else I should consider ahead of making plans?

I've had a quick look on the forum and can't find a similar topic, but if there is one I'd be grateful if someone could point me in the right direction.

[adamu]

This has come up a couple of times recently. Some things to consider here:
https://retirewiki.jp/wiki/Residency_fo ... from_Japan

[Tkydon]

As the amounts do not change from month to month (set on an annual basis) you could ask your employer's payroll department to continue to pay those payments for you and maybe pay up front from your last paycheck before you leave, or pay in arrears from your first paycheck when you get back.

[ClearAsMud]

So your employer isn't paying any social-insurance premiums for you? This is important because you remain an employee even if given an unpaid leave of absence. If your employer is a company and you are paying into kosei nenkin, Tkydon's comment is pertinent (and don't forget about unemployment insurance, which may not be necessary to pay for if on unpaid leave). Companies should already have procedures in place to deal with matters like this, but if not, you need to reach an agreement about how payments will be handled, preferably in writing (the company remains obligated to pay its share of pension and health insurance in any case).

The municipal office, pension office, and Hello Work are places to go for information not available from your employer, if that becomes necessary. Otherwise, double-check the expiration dates on your passport, zairyu card, and driver's license. Early renewal is possible, at least in the case of the latter two.

[Hedgehog]

So your employer isn't paying any social-insurance premiums for you? This is important because you remain an employee even if given an unpaid leave of absence. If your employer is a company and you are paying into kosei nenkin, Tkydon's comment is pertinent (and don't forget about unemployment insurance, which may not be necessary to pay for if on unpaid leave). Companies should already have procedures in place to deal with matters like this, but if not, you need to reach an agreement about how payments will be handled, preferably in writing (the company remains obligated to pay its share of pension and health insurance in any case).

The municipal office, pension office, and Hello Work are places to go for information not available from your employer, if that becomes necessary. Otherwise, double-check the expiration dates on your passport, zairyu card, and driver's license. Early renewal is possible, at least in the case of the latter two.

Many thanks for this. My employer is paying social insurance premiums for me, but I have been told that these are not covered in the case of unpaid leave, and that I would need to cover the full entitlement for the entire period of unpaid leave. I am paying into kosei nenkin.

[ClearAsMud]

Do the company(?) regulations touch on the subject? It may well be that your employer is simply trying to find a way to accommodate you without incurring the extra expense of paying already assessed premiums without being able to withhold them from your salary. That seems reasonable enough. Your employer isn't suggesting that you pay above and beyond the amounts normally withheld from your salary, are they? (I haven't done much searching on that kind of situation, which would be beyond my level of competence.) If it's only a matter of continuing the same level of payments, the problem becomes the practical one, broached by Tkydon, of how to get the money to your employer in a mutually agreed fashion before, during, or after your period of unpaid leave. For a period of just a couple of months, that doesn't sound like it would be a major obstacle.

[Tkydon]

Technically speaking, you pay them out of your salary. The company just withholds them from payroll and transfers the money on your behalf.
If, say, you were planning to be away for 4 months; 2 months paid leave and 2 months leave without pay, then maybe you can ask them to withhold double from each of the 2 months paid leave to cover the payments for the 2 months leave without pay ???

And you still need to pay your monthly Residents' Taxes, which are due on last year's income payable in arrears.

[Hedgehog]

Do the company(?) regulations touch on the subject? It may well be that your employer is simply trying to find a way to accommodate you without incurring the extra expense of paying already assessed premiums without being able to withhold them from your salary. That seems reasonable enough. Your employer isn't suggesting that you pay above and beyond the amounts normally withheld from your salary, are they? (I haven't done much searching on that kind of situation, which would be beyond my level of competence.) If it's only a matter of continuing the same level of payments, the problem becomes the practical one, broached by Tkydon, of how to get the money to your employer in a mutually agreed fashion before, during, or after your period of unpaid leave. For a period of just a couple of months, that doesn't sound like it would be a major obstacle.

Thanks again for this. Have had another chat with the admin staff at my workplace and all is clear now. It is, as you say, just a case of continuing the same level of payments as before. I am not being asked to pay anything extra, and the money will be taken out of my first pay packet once I'm back at work.

[Hedgehog]

Technically speaking, you pay them out of your salary. The company just withholds them from payroll and transfers the money on your behalf.
If, say, you were planning to be away for 4 months; 2 months paid leave and 2 months leave without pay, then maybe you can ask them to withhold double from each of the 2 months paid leave to cover the payments for the 2 months leave without pay ???

And you still need to pay your monthly Residents' Taxes, which are due on last year's income payable in arrears.

Yes, everything seems to be okay now. There are rules and regulations at my workplace, but nobody has actually done what I am intending to do, or at least not for a very long time, so there was misunderstanding all round.

[beanhead]

Technically speaking, you pay them out of your salary. The company just withholds them from payroll and transfers the money on your behalf.

Not 100% correct. The company also makes a contribution for the pension portion.
See this Jetro link which explains it:
https://www.jetro.go.jp/en/invest/setti ... on4/page9/