What is the Employees' Pension?

Employees' Pension covers company workers and civil servants in addition to the National Pension. Premiums are deducted directly from salary, and employers contribute the same amount.

How are premiums calculated?

Premiums are calculated using the standard monthly remuneration table and bonuses. The insurance rate is currently 18.3%, so the employee pays 9.15% and the company pays the other half.

Available pension benefits

Old-age employees' pension is added to the basic pension, so long-term employees can expect a significantly larger amount. There are also disability and survivors' pensions with higher payouts compared to the National Pension alone.

When can you start receiving it?

You can claim the old-age employees' pension between ages 60 and 70. Starting early reduces the amount permanently, while deferring after 65 increases it by 0.7% per month.

Things to keep in mind

Keeping a clean payment record ensures eligibility for lump-sum withdrawal payments when leaving Japan and allows spouses to receive dependent pension credits. Always verify your "Nenkin Teiki Bin" notice each year.