Japanese Pension

[Righty]

Hi

Just a few questions about the Japanese pension. I came to Japan in 2008 and worked for a few eikaiwa schools but never paid into it. Since 2021 I have been paying into in along with my employer. This is called shakai hoken. Is it possible to do back payments for the years I wasn't paying into? Also assuming I keep working and paying into until 2031 would I be eligible for a part pension? 10 years is the minimum I heard.

Thanks, Kevin

[Tkydon]

Hi

Just a few questions about the Japanese pension. I came to Japan in 2008 and worked for a few eikaiwa schools but never paid into it. Since 2021 I have been paying into in along with my employer. This is called shakai hoken. Is it possible to do back payments for the years I wasn't paying into?

There are two different, but complementary National Pension Systems:
1. National Basic Pension - Kokumin Kisou Nenkin
https://www.nenkin.go.jp/international/ ... nsion.html

and

2. National Employee Pension Insurance System - Kousei Nenkin
https://www.nenkin.go.jp/international/ ... loyee.html
or
Public Worker Pension
Private Education Sector Worker Pension - Shigaku Kyousai Nenkin
Seaman's Pension...

If your eikaiwa schools were not paying into 2. then you should have been paying into 1. If unemployed, you should also pay into 1.
It is possible to apply for certain exemptions for unemployed or student.... See 1. Doc.

If you are in employment and you are paying in, you will be paying in to 2., and your Employer will Contribute 9.15% of your Salary and you will contribute 9.15% of your Pre-Tax Salary.

If you were not paying into either 1.or 2. then it is possible to pay recent missed payments, but I think you have missed the opportunity and the window has closed on you. If you had applied for legitimate exemptions, then it would be possible to make full payments for up to 10 years after the exemption. You can inquire at your local Pension Office.
https://www.nenkin.go.jp/international/ ... fices.html

For 1., compulsory contributions will cease at age 60, but you can elect to pay Voluntary Contributions to age 65 (an additional 120 months' contributions...)

For 2. you and your employer will continue to pay contributions to retirement or to age 70, whichever is sooner.

Also assuming I keep working and paying into until 2031 would I be eligible for a part pension? 10 years is the minimum I heard.

Thanks, Kevin

Benefits will be a combination defined by the number of contributions to 1. and the number and amount of contributions to 2.
You need to have at least 120 months of qualifying contribution credits in order to get over the qualification line to receive any pension at all. That can be a combination of 1. and 2. above, and you can also count qualified Credits from Contributions in other Pension Treaty Countries to get over the line. The actual amount will still be based on the actual contributions made. See the Benefit sections of the docs above, and the Postcard you receive from the Pension Office every year.

If you have Pension or Social Security Credits in countries such as U.S., Philippines, etc., you can count those qualification credits to get over the line to qualify for Pension Benefits, even if you have less than 120 months' qualifying contributions and exemptions in Japan. (not U.K.), The actual amount will still be based on the actual contributions made.
https://www.nenkin.go.jp/international/ ... index.html

[Righty]

Thanks for the great information!

[RetireJapan]

Is it possible to do back payments for the years I wasn't paying into?

You are only allowed to backpay for two years at most. Best way to check would be to call the pension office phone line (with your nenkin number and details to hand) and asking them what your options are.

[adamu]

You need to have at least 120 months of qualifying contribution credits in order to get over the qualification line to receive any pension at all.

There is a big caveat to this for people who get PR or for Japanese (including nationalised) who lived abroad, as periods outside Japan can be counted towards eligibility. It doesn't increase the amount, but at least you would get something even if you paid in less than 10 years.

https://retirewiki.jp/wiki/Japanese_pen ... ion_period

[Wales4rugbyWC23]

Is it possible to do back payments for the years I wasn't paying into?

You are only allowed to backpay for two years at most. Best way to check would be to call the pension office phone line (with your nenkin number and details to hand) and asking them what your options are.

There was a period about 10 years ago when the penson office were offering about 10 years of state pension contributions for two million yen as a one off payment. I am not sure if somebody on this forum took advantage of this offer.

[Tkydon]

You need to have at least 120 months of qualifying contribution credits in order to get over the qualification line to receive any pension at all.

That can be a combination of 1. and 2. above, and you can also count qualified Credits from Contributions in other Pension Treaty Countries to get over the line. The actual amount will still be based on the actual contributions made. See the Benefit sections of the docs above, and the Postcard you receive from the Pension Office every year.

If you have Pension or Social Security Credits in countries such as U.S., Philippines, etc., you can count those qualification credits to get over the line to qualify for Pension Benefits, even if you have less than 120 months' qualifying contributions and exemptions in Japan. (not U.K.), The actual amount will still be based on the actual contributions made.
https://www.nenkin.go.jp/international/ ... index.html

There is a big caveat to this for people who get PR or for Japanese (including nationalised) who lived abroad, as periods outside Japan can be counted towards eligibility. It doesn't increase the amount, but at least you would get something even if you paid in less than 10 years.

https://retirewiki.jp/wiki/Japanese_pen ... ion_period

(I think 1-(5) means not receiving permanent residence overseas in the country of temporary stay outside Japan, and only after having been granted Japanese Citizenship or Permanent Residence...)
(I don't think any of these apply to the OP who came to Japan in 2008...)
(Totalization Agreements would apply - see below)

English Translation.

"Combined period
Page ID: 170010010-846-326-832

Updated: March 6, 2020

printing
In order to receive the Basic Old-Age Pension, in principle, a total of 10 years of pension enrollment period is required, including the period during which premiums were paid and the period during which they were exempted. However, in the course of changes in the pension system, there are cases where people do not meet the 10-year requirement due to reasons such as not voluntarily enrolling in the National Pension or not being eligible as a National Pension insured person.
Therefore, to allow such people to receive a pension, there is a period that can be considered as a qualifying period, although it is not reflected in the pension amount. This period is called the "combined eligible period." If the combined period of the period during which premiums were paid and the period during which they were exempted is 10 years or more, the eligibility requirements for the Basic Old-Age Pension are met.
https://www.nenkin.go.jp/service/jukyu/ ... 21-05.html


Main period covered by the calculation

*Limited to the period between 20 and 60 years old.

1. Period from April 1, 1986 onwards
(1) The period during which a Japanese national was residing overseas and did not voluntarily enroll in the National Pension System*
(2) The period during which a student (excluding night school and correspondence schools, including various schools prescribed by the Pension Law) was a student up until March 1991 and did not voluntarily enroll in the National Pension System*
(3) The period during which a person was insured as a Category 2 insured person when they were under 20 years of age or over 60 years of age
(4) The period during which a person voluntarily enrolled in the National Pension System but did not pay insurance premiums*
(5) The period during which a person who acquired Japanese nationality or was granted permanent residence permission after May 1, 1961 lived overseas and was not granted permanent residence*

(I think 1-(5) means not receiving permanent residence overseas in the country of temporary stay outside Japan, and only after having been granted Japanese Citizenship or Permanent Residence...)
(I don't think any of these apply to the OP who came to Japan in 2008...)
(Totalization Agreements would apply - see below)

2. The period from April 1, 1961 to March 31, 1986
(1) The period during which the spouse of a subscriber to the Employees' Pension Insurance, Seamen's Insurance, or Mutual Aid Association did not voluntarily enroll in the National Pension System*
(2) The period during which recipients of old-age (retirement) pensions paid under the Employees' Pension System, etc. and their spouses, persons who have met the eligibility period for receiving old-age (retirement) pensions and their spouses, recipients of disability pensions and their spouses, and recipients of survivors' pensions did not voluntarily enroll in the National Pension System*
(3) The period during which a student (excluding night school, correspondence school, or miscellaneous school) did not voluntarily enroll in the National Pension System*
(4) The period during which a person was a Diet member or their spouse from April 1961 onwards (the period during which a person was not voluntarily enrolled in the National Pension System from April 1980 onwards)*
(5) The period during which a person was a local assembly member or their spouse from December 1962 onwards and did not voluntarily enroll in the National Pension System*
(6) The period during which a person who acquired Japanese nationality or was granted permanent residence permission on or after May 1, 1961, was excluded from enrolling in the National Pension System because of their foreign nationality, during which the person resided in Japan until December 1981*
(7) For those who acquired Japanese nationality or were granted permanent residence permission after May 1, 1961, the period of residence abroad prior to acquisition or permission*
(8) The period during which the person was a Japanese national and lived abroad*
(9) The period during which the person received withdrawal benefits from the Employees' Pension Insurance or Seamen's Insurance (only for those who have paid insurance premiums (including exemption periods) between April 1986 and the month before reaching age 65)
(10) The period during which the person was approved for voluntary withdrawal from the National Pension Insurance but did not become an insured person under the National Pension Insurance* (11) The period during which the person was an insured person under the Employees
' Pension Insurance or Seamen's Insurance, or a member of a mutual aid association, during which the person was under 20 years of age or over 60 years of age
(12) The period during which the person voluntarily joined the National Pension Insurance but did not pay insurance premiums*

3. Period before March 31, 1961
(1) Period of insured status under Employees' Pension Insurance or Seamen's Insurance (only if you have a period of public pension membership since April 1961)
(2) Period of membership in a mutual aid association (only if you have been a member since April 1961)"



Totalization Aggreements

https://www.nenkin.go.jp/international/ ... index.html

US
7. Coverage periods totalization for U.S. benefits
One Social Security credit in U.S. is considered as 3 months coverage period under the Japanese pension system. In order for you to receive U.S. Social Security benefits totalizing both countries' coverage periods, you must have earned at least 6 credits under the U.S. system.
...
11. Coverage periods totalization for Japanese benefits
Under the U.S. Social Security system, coverage period is measured in "Credits," which are provided in accordance with your income earned during each calendar year. On the other hand, Japanese coverage period is measured in month. Accordingly, one Social Security Credit in U.S. is considered as 3 months of Japanese coverage period when you totalize both countries' coverage periods.


Canada
7. Coverage periods totalization for Japanese benefits
You can consider your period under the CPP in order to meet the eligibility requirements for benefits under the Employees' Pension Insurance system and the National Pension system of Japan, if you do not have enough coverage period only under the Japanese systems. (For this purpose, your residence period in Canada under the OAS is not considered.) For the totalization, your coverage of one calendar year under the CPP is considered 12 months of Japanese coverage period. Please note that when part of your CPP coverage period is also covered by Japanese system, the specific CPP period of the dual coverage is not considered for totalization.

8. Coverage periods totalization for Canadian benefits
If you do not have enough OAS or CPP coverage period alone to qualify for benefits, your coverage period under the Japanese pension systems will be considered for Canadian benefits, as long as you have period of residence in Canada under the OAS or period of coverage under the CPP for one year or longer. Please note that when part of your Japanese coverage period is also covered by the OAS or CPP, the specific Japanese period of the dual coverage is not considered for totalization.
«Totalization rule under OAS "Coverage Link"»
In principle, while you reside in Canada, it is considered to be period of residence under the OAS. However, if you are covered by the Japanese pension system during your residence and work in Canada, it is no longer considered to be valid period under the OAS. (While, the period is still considered to be CPP period.) It is regardless of periods before or periods after the implementation of the Agreement.
Likewise, for your spouse or common-law partner who lives with you, their period of residence in Canada is not considered as residence period in Canada for the purposes of determining their OAS entitlement excluding their coverage period under the CPP or QPP through their own work as an employee or a self-employed.
«How to consider your Japanese period for CPP»
One calendar year including at least three months coverage period under the Japanese pension systems is considered as one year coverage period under the CPP. Incidentally, there is no minimum coverage period requirement for the CPP Retirement pension. Therefore you will become eligible for the benefit without totalization of periods of both countries. On the other hand, you need to meet each coverage period requirement for entitlement to the CPP Survivors' and Disability benefits. For these benefits, your Japanese coverage period can be taken into account to satisfy the requirements and you may be entitled to the benefit by the totalization.


Australia
7. Coverage periods totalization for Australian Age Pension
Australian Age Pension benefits are paid to those who have lived in Australia over a certain "residence period" (period of residence of those who are an Australia citizen or hold a permanent visa). If you do not meet the residence requirements, however, you can be eligible for Australian Age Pension benefits by considering the period covered by the Japanese pension system as long as they are not for the same period covered by the Australian pension system. You need to have lived in Australia for over 12 months including 6 or more months consecutively to totalize the Japanese and Australian period for the benefits if you live outside Australia.
...
9. Coverage periods totalization for Japanese benefits
Australian Age Pension benefits are paid based on the residence period. When your Japanese period alone does not meet the eligibility requirements, you can include the period you worked as an employee or self-employed person during your residence period in Australia (the "period of Australian working life residence" specified in the Agreement) as long as the Australian period is not also covered by the Japanese system.


Ireland
5. Coverage periods totalization for Irish pension benefits
If you do not have enough Irish coverage periods alone to qualify for benefits, your coverage period under the Japanese pension systems will be considered for Irish benefits, as long as you have coverage periods under the Irish system for 52 weeks or longer. When totalize both countries' coverage periods, a coverage period of one month under the Japanese system is considered to be a coverage period of 4.33 weeks under the Irish system. Nevertheless, the total coverage period in any calendar year cannot exceed 52 weeks.
...
9. Coverage periods totalization for Japanese benefits
A coverage period of 4.33 weeks under Irish system is considered as one month of Japanese coverage period when your coverage periods of both countries are totalized.
The total number of months cannot exceed 12 in one year.


India
6. Coverage periods totalization for Indian benefits
The old-age pension of the EPS is payable when you have at least 10 years of coverage under the EPS. When your EPS coverage period is less than 10 years, you can totalize your Japanese coverage period, insofar as the coverage period in India and Japan do not overlap, in order to meet the qualification requirement (minimum coverage period) for the pension.
If your totalized period is still less than 10 years, the withdrawal benefit of EPS, which is calculated with a specified multiplying rate is payable.

7. Coverage periods totalization for Japanese benefits
If you do not have enough coverage periods under Japanese pension systems, i.e., the Employees' Pension Insurance or the National Pension, to qualify for Japanese benefits, you can totalize your EPS coverage period to meet the qualification requirement (minimum coverage period) for the benefits. Please note, however, when you received the withdrawal benefit of EPS (see 6.above), you cannot totalize your EPS coverage period which has already been utilized to pay out as a benefit.
In addition, the EPF is not subject to the totalization for pension benefits; the EPF is a system to pay lump-sum benefits at the time of retirement.


Philippines
3. Coverage periods totalization for the Philippine benefits
If you do not have enough Philippine coverage periods alone to qualify for the Philippine benefits (Social Security System(SSS)), your coverage periods under the Japanese pension systems will be considered for the Philippine benefits as long as the coverage periods of both countries do not overlap and you can totalize your Japanese coverage periods. If you meet the qualification requirements, you may receive the Philippine benefits which correspond to the length of your coverage periods in the Philippines.
For this purpose, however, your Philippine coverage periods need to be one year or more.
You can receive the Philippine retirement pension when you reach age 65 (60 if you are retired) with at least 10 years of coverage period.

4. Coverage periods totalization for Japanese benefits
If you do not have enough Japanese coverage periods alone to qualify for Japanese benefits, your coverage periods under the Philippine social security systems will be considered for Japanese benefits as long as the coverage periods of both countries do not overlap and you can totalize your Philippine coverage periods. If you meet the qualification requirements, you may receive Japanese benefits which correspond to the length of the coverage periods in Japan.


and so on.

Unfortunately, Not for the UK, which does not a Full Totalization Aggrement with Japan.

[adamu]

[...] only after having been granted Japanese Citizenship or Permanent Residence...

Yes, I'm pointing out that it's an option for eligibility, as you said contributing/totalization agreements are the only options, which is not the case. Point 1 also covers those born Japanese who lived abroad.

[Tkydon]

[...] only after having been granted Japanese Citizenship or Permanent Residence...

Yes, I'm pointing out that it's an option for eligibility, as you said contributing/totalization agreements are the only options, which is not the case. Point 1 also covers those born Japanese who lived abroad.

I assumed the OP was neither a Japanese Citizen nor Permanent Resident, and was not Permanent Resident before coming to Japan in 2008. My assumptions may be wrong.

Yes, Japanese Citizens who live abroad, and Permanent Residents who live abroad after gaining their Japanese Citizenship or Permanent Residency can count periods abroad to the 120 months, but will only get anything if they have paid anything in...

Japanese Citizens who live abroad, and German Citizens who leave Japan after having lived here for some years and having paid into the Japanese Pension System, are entitled to pay Voluntary Contibutions to the Japanese National Basic Pension System from abroad to increase their benefits in retirement.

https://www.nenkin.go.jp/service/scenebetsu/kaigai.html

https://www.nenkin.go.jp/international/ ... dures.html

https://www.nenkin.go.jp/international/ ... rmany.html

[adamu]

[...] only after having been granted Japanese Citizenship or Permanent Residence...

Yes, I'm pointing out that it's an option for eligibility, as you said contributing/totalization agreements are the only options, which is not the case. Point 1 also covers those born Japanese who lived abroad.

I assumed the OP was neither a Japanese Citizen nor Permanent Resident, and was not Permanent Resident before coming to Japan in 2008.

Even if so, OP could get PR or naturalise, in which case those periods abroad would count towards elegibility.

Permanent Residents who live abroad after gaining their Japanese Citizenship or Permanent Residency can count periods abroad to the 120 months,

And before, I believe.

OP is also not the only person reading the thread, so I try to point out the general case too, for the benefit of other readers.