PMAC? (Private and Mutual Aid Corporation for Private Schools in Japan)

[solo7100]

Anyone here involved or connected to this system?

https://www.pmac.shigaku.go.jp/en/about ... index.html

They offer these types of services when you are enrolled in their system:
Installment Savings Account
Mutual Aid Term Insurance
Healthcare Services
Load Services
Accumulated Fund Mutual Aid Annuity

I'm wondering how it stacks up compared to these types of services in the normal Japanese landscape (i.e. loans, medical services, savings accounts, investing, etc).

I am enrolled in it as par the course for me being employed by my school. So before I start using any of the PMAC services, I wondered how it compares to an equivalent product(s) in Japan.

Thoughts? Thanks,

[TokyoBoglehead]

Anyone here involved or connected to this system?

https://www.pmac.shigaku.go.jp/en/about ... index.html

They offer these types of services when you are enrolled in their system:
Installment Savings Account
Mutual Aid Term Insurance
Healthcare Services
Load Services
Accumulated Fund Mutual Aid Annuity

I'm wondering how it stacks up compared to these types of services in the normal Japanese landscape (i.e. loans, medical services, savings accounts, investing, etc).

I am enrolled in it as par the course for me being employed by my school. So before I start using any of the PMAC services, I wondered how it compares to an equivalent product(s) in Japan.

Thoughts? Thanks,

Check out their term insurance rates and coverage, these societies can often have pretty darn good rates.

They might also have mortgage support and preferential financing.

Would you need the other services though?

[captainspoke]

I suppose this might be the first time I've seen it referred to as PMAC. It's always been shigaku-kyosai in my common parlance. (And should there be an S in there? PSMAA--private school mutual aid association)

I was a member for 29yrs. I had some extra health insurance for the family, and then their term life insurance for myself--both very simple to sign up for each November, just tick the right boxes and it's done (and maybe a small death benefit for family members?).

I borrowed ~¥2million a time or two (can't remember how that limit/amount was set). It was simple. Talk to 人事課, and about two months later the money was deposited in my bank account--and be aware of that delay, it cannot be rushed, and it could be a little sooner/longer since there's a monthly cutoff date, and if you just make that, then faster, if you miss it then longer.

One fellow at my school borrowed more than that (part of a house purchase), but I don't know the details or what paperwork was involved. In his case and mine, I think the interest rate was good, but it's been years, so I don't remember.

I stayed at their hotels a few times, just a reasonable deal but nothing to write home about. Some of them are a little on the old side.

I never tried their savings plans. I could've deferred some tax on salary the last few years by opting in and leaving it as cash--not invested--but did not do that. I'm american and don't want to deal with anything that might be a PFIC.

Oh, and they're paying me the majority of my pension now.

[solo7100]

Thanks all,

captain, so is this shigaku kyousai in addition to the national pension, or is it the national pension under a different name? I have a feeling it's the same, but not sure.

Trying to figure out my options as an American when it comes to retirement / investing / savings (basically everything talked about here at RetireJapan), but just literally found out last year about all these things and how uncool it is to be an American in Japan when learning about all these things.

Not sure if my PMAC/national pension will be enough by the time I hit the 'ol A-G-E limit of 65 (I'm not too far off).

Thanks,

[beanhead]

Trying to figure out my options as an American when it comes to retirement / investing / savings (basically everything talked about here at RetireJapan), but just literally found out last year about all these things and how uncool it is to be an American in Japan when learning about all these things.

Not sure if my PMAC/national pension will be enough by the time I hit the 'ol A-G-E limit of 65 (I'm not too far off).

Thanks,

The Captain and a few others on here are Americans, so there are people who have been through it all already.
In general, if you can get a brokerage account outside of Japan, that seems to be best.
In Japan, if you have a Japanese spouse it is usually possible for them to invest normally, despite the disadvantage of being married to you
Even if you can't utilize iDeCo, NISA, it is still better to be investing than not, even if you have to pay a bit of tax eventually.

Or, the nuclear option is to become Japanese

[Nancy]

Once you retire, you will get a retirement allowance from the National pension and one also from PMAC. At the moment the fees are taken out of your pay each month and since health insurance is also included, it seems quite like a lot, but since your school is matching your contribution to PMAC, you will see the benefit later. (but depending on the number of years that you actually pay into PMAC, it may not be enough to live on by itself.) I think that US social security may actually pay better, which you may quality for, or you can maybe pay more into now, if you don't have enough quarters.

[captainspoke]

...
captain, so is this shigaku kyousai in addition to the national pension, or is it the national pension under a different name? I have a feeling it's the same, but not sure. ...

As Nancy said, they're paid separately. And note that the ongoing amount for 介護保険 will be deducted from the national pension.

*
Will it be enough? While it might be survivable, given that your home is paid off and you live somewhere otherwise cheap, your budget will pretty tight--e.g., an international trip would probably be out of the question, even maintaining/using a car could be hard.

In the news a couple years ago was the govt estimate that people needed about 20 million in savings for a comfortable retirement, which was discussed a lot here and other places. If you can achieve it, some multiple of that number would be much better.

*
Yes, if you don't already have a US brokerage account, getting one now is near impossible. Barring that, you can still save in any bank here, and if you're a regular employee at your school (uni?), you maybe getting some severance--退職金--something for you to ask about at work.

[solo7100]

Good stuff here, y'all have given me a lot to think (and plan) about.

Thank you!

[TJKansai]

Anyone here involved or connected to this system?

https://www.pmac.shigaku.go.jp/en/about ... index.html

They offer these types of services when you are enrolled in their system:
Installment Savings Account
Mutual Aid Term Insurance
Healthcare Services
Load Services
Accumulated Fund Mutual Aid Annuity

I'm wondering how it stacks up compared to these types of services in the normal Japanese landscape (i.e. loans, medical services, savings accounts, investing, etc).

I am enrolled in it as par the course for me being employed by my school. So before I start using any of the PMAC services, I wondered how it compares to an equivalent product(s) in Japan.

Thoughts? Thanks,

I've been in for decades.
I was never very impressed with the savings plans (Double normals rate: .02% wow!).
I did sign up for the group health 'cancer' supplement. Pretty cheap.
The Garden hotels are 1970s/19980s relics now. I used to be pissed off they had so few non-smoking rooms.
Many better choices out there for the same price.
The ryokan style ones are nicer though.

We took advantage of some of the discount memberships in the past, but most of the benefits have been reduced or cut.
They had some luxury penthouse apts on Oahu that went for 30,000/night, when normal rates would have been 80,000-100,000.
Emerald Green club was another good deal, staying for 3,000/night per person at onsens and ski resorts. Now gone.

These days I get a detailed statement telling me how much I'll get in pension once I retire.

The loan system is probably worthwhile if you need cash at a good rate. Less hassle than a bank I bet.

[SLW]

Some of the schools (well, one at least) that participate in the PMAC offer an actual US based 401k account with employer contributions and optional employee contributions. It would seem either that or saving in a taxable brokerage account (IBSJ would be one option) would be a minimum requirement to save sufficiently for retirement as Americans have trouble accessing the Japanese tax advantaged savings vehicles.