OFW Resource Hub

Kung nagtatrabaho ka sa Japan, maaaring napapansin mo sa iyong payslip ang deduction na :

厚生年金（こうせいねんきん / Kōsei Nenkin） – Employees’ Pension Insurance

Para sa maraming OFWs, pension can be confusing. Bakit may deduction every month? Makukuha mo pa ba ito kung uuwi ka sa Pilipinas? At para lang ba ito sa retirement?

Japan’s public pension system covers foreign residents as well as Japanese nationals. In general, residents aged 20 to 59 must be covered by the National Pension system regardless of nationality.

Here’s a practical guide for Filipinos working in Japan.

1. What Is Japan's Pension System?

Japan's public pension system provides financial protection not only for retirement, but also in certain cases involving :

• Old age

• Disability

• Death of an insured person

So pension isn't simply “money for when you're old.” Depending on the conditions, disability and survivor benefits may also be available.

2. The Two Main Pension Systems

For most foreign workers, you'll commonly encounter :

国民年金（Kokumin Nenkin）

National Pension

and

厚生年金保険（Kōsei Nenkin Hoken）

Employees’ Pension Insurance

Which one applies depends mainly on your employment and insurance situation.

3. What Is National Pension?

国民年金（Kokumin Nenkin） is Japan's basic public pension system.

In general, all registered residents of Japan aged 20 to 59 must be covered, regardless of nationality.

This can include people such as :

• Self-employed workers

• Students

• Unemployed residents

• People who aren't covered by Employees’ Pension Insurance

There are some exceptions for certain residence statuses.

4. What Is Employees’ Pension Insurance?

If you're employed by a workplace covered by Japan's social insurance system and meet the applicable requirements, you may be enrolled in :

厚生年金保険（Kōsei Nenkin Hoken）

or Employees’ Pension Insurance (EPI).

Foreign workers are generally covered under the same rules regardless of nationality when working at covered workplaces.

5. Who Enrolls You?

If you're required to be covered by Employees’ Pension Insurance, your employer handles the enrollment procedure.

Once you're covered by Employees’ Pension Insurance, you're also covered under the National Pension framework, so you generally don't separately enroll and pay National Pension as a Category II insured person.

6. What About Part-Time Workers?

Being part-time doesn't automatically mean you're excluded.

Depending on your working conditions and employer, a part-time worker may also be required to join Employees’ Pension Insurance.

Japan Pension Service lists conditions that can apply to shorter-hours employees, including requirements relating to weekly working hours, expected employment period, monthly wages, student status, and employer size.

If you're unsure, ask your employer :

厚生年金に加入していますか？

Kōsei nenkin ni kanyū shite imasu ka?

Am I enrolled in Employees’ Pension Insurance?

7. Why Is Pension Deducted From My Salary?

If you're enrolled in Employees’ Pension Insurance, your pension contribution is generally deducted directly from your salary.

The contribution is based on your remuneration under the pension system.

Importantly, you don't shoulder the entire Employees’ Pension Insurance contribution yourself.

Your employer and you share the required contribution.

That's why you'll normally see your portion listed as a deduction on your payslip.

8. Where Can I See the Deduction?

Check your monthly :

給与明細（Kyūyo Meisai） – Payslip

Look for :

厚生年金保険料

Kōsei Nenkin Hokenryō

Employees’ Pension Insurance contribution

Other deductions nearby may include :

• Health insurance

• Employment insurance

• Income tax

• Resident tax

Don't confuse pension with health insurance—they're separate parts of Japan's social insurance system.

9. Is Pension Optional for Foreign Workers?

Generally, no.

If the law requires you to be enrolled, being a foreign national doesn't allow you or your employer to simply choose not to participate.

Japan Pension Service specifically explains that EPI coverage at applicable workplaces is compulsory and is not a contract that employees or employers can simply opt out of.

So saying :

“Foreigner naman ako at uuwi rin ako sa Pilipinas.”

doesn't automatically exempt you.

10. What Do You Get From Paying Pension?

Depending on your contribution history and circumstances, Japan's public pension system may provide :

Old-Age Pension

Financial support after reaching the qualifying retirement age.

Disability Pension

Potential benefits if you develop a qualifying disability while meeting the required conditions.

Survivors' Pension

Potential benefits for qualifying family members if an insured person dies.

Each benefit has its own eligibility requirements.

11. When Can You Receive Old-Age Pension?

The standard Old-age Basic Pension is generally payable from age 65.

To qualify, you generally need a total qualifying coverage period of at least :

10 years

Qualifying periods can include contribution-paid periods and certain exempted periods.

If you were also insured under Employees’ Pension Insurance, you may qualify for an Employees’ Pension component in addition to the basic pension, subject to the applicable requirements.

12. What If You Don't Stay in Japan Until Retirement?

This is especially important for OFWs.

If you're a non-Japanese national who contributed to Japan's pension system for a relatively short period and then permanently leaves Japan, you may be eligible for :

脱退一時金（Dattai Ichijikin）

Lump-sum Withdrawal Payment

This allows certain eligible foreign nationals to claim a lump-sum payment after leaving Japan.

13. Who Can Apply for a Lump-Sum Withdrawal Payment?

Eligibility depends on several conditions, so don't assume that every foreign worker automatically qualifies.

Japan Pension Service states that this system is intended for non-Japanese people leaving Japan after short periods of coverage under National Pension or Employees’ Pension Insurance.

Before applying, check the latest requirements based on your individual pension record.

14. When Should You Apply?

Timing matters.

Japan Pension Service states that eligible applicants must file for the Lump-sum Withdrawal Payment within two years after leaving Japan and after they are no longer covered by the Japanese pension systems.

So if you're permanently returning to the Philippines, don't forget about your Japanese pension record.

15. Don't Automatically Assume the Lump Sum Is Your Best Choice

This is an important financial decision.

Taking the Lump-sum Withdrawal Payment can affect how your previous Japanese pension coverage is treated.

If you're likely to :

• Return to Japan

• Work in Japan again

• Stay long enough to qualify for pension benefits

• Have pension coverage that may be relevant under an international social security arrangement

you should understand the long-term effect before applying.

In some situations, preserving pension coverage may be more valuable than immediately claiming a lump sum.

16. Japan's Social Security Agreements

Japan has social security agreements with a number of countries.

Depending on the agreement, periods of pension coverage in two countries may sometimes be totalized to help satisfy benefit eligibility requirements.

These agreements differ by country, so always check whether an agreement applies to your situation rather than assuming the rules are the same everywhere.

17. What Happens If You Change Jobs?

When changing employers, your pension coverage needs to be handled correctly.

Your new employer generally handles your Employees’ Pension enrollment when you're covered by the system.

Keep your pension-related information and make sure your records remain connected to you even when you change employers.

18. What Happens If You Lose Your Job?

If you leave a company and are no longer covered by Employees’ Pension Insurance, you may need to change to:

国民年金（Kokumin Nenkin） – National Pension

if you remain a resident of Japan and meet the applicable requirements.

For Category I National Pension coverage, Japan Pension Service states that the enrollment procedure generally needs to be completed at your municipal office within 14 days after becoming subject to that category.

Don't assume that pension obligations disappear simply because you're temporarily unemployed.

19. What If You Can't Afford National Pension Contributions?

If you're struggling financially, don't simply ignore pension bills.

Japan has systems for eligible people who have difficulty paying National Pension contributions, including :

• Contribution exemption

• Payment postponement

• Special payment arrangements for eligible students

Japan Pension Service provides applications and guidance for these systems.

It's better to apply properly than simply stop paying.

20. Why Your Pension Record Matters

Keep track of your pension history.

Mistakes or missing records can become difficult to resolve years later.

Useful information to keep includes :

• Pension number

• Employment history

• Payslips

• Pension notices

• Previous employer information

• Dates you entered and left jobs

You can also check your pension information through services provided by Japan Pension Service.

21. Don't Share Your Pension Information Carelessly

Treat pension-related personal information carefully.

Be cautious if someone contacts you unexpectedly claiming they can :

• Get your pension refund immediately

• Guarantee a larger refund

• Access your pension account

• Process everything if you provide passwords or sensitive banking details

Use official Japan Pension Service information or a trustworthy professional when you need help.

22. Before Leaving Japan

If you're permanently returning to the Philippines, add pension to your departure checklist.

Before leaving :

• Check your pension contribution record.

• Keep your pension number and related documents.

• Confirm whether you're eligible for a Lump-sum Withdrawal Payment.

• Understand how claiming it affects your pension record.

• Check the application deadline.

• Prepare the required documents.

• Keep your Japanese employment records.

Japan Pension Service provides dedicated multilingual information—including Filipino/Tagalog materials—for foreign residents and people applying for lump-sum withdrawal payments.

Useful Japanese Words

年金（Nenkin） – Pension

国民年金（Kokumin Nenkin） – National Pension

厚生年金（Kōsei Nenkin） – Employees’ Pension

厚生年金保険料（Kōsei Nenkin Hokenryō） – Employees’ Pension Insurance contribution

日本年金機構（Nihon Nenkin Kikō） – Japan Pension Service

年金事務所（Nenkin Jimusho） – Pension office

脱退一時金（Dattai Ichijikin） – Lump-sum Withdrawal Payment

老齢年金（Rōrei Nenkin） – Old-age pension

障害年金（Shōgai Nenkin） – Disability pension

遺族年金（Izoku Nenkin） – Survivors' pension

給与明細（Kyūyo Meisai） – Payslip

Useful Japanese Phrases

年金について相談したいです。

Nenkin ni tsuite sōdan shitai desu.

I'd like to ask about my pension.

厚生年金に加入していますか？

Kōsei nenkin ni kanyū shite imasu ka?

Am I enrolled in Employees’ Pension Insurance?

年金記録を確認したいです。

Nenkin kiroku o kakunin shitai desu.

I'd like to check my pension record.

脱退一時金について教えてください。

Dattai ichijikin ni tsuite oshiete kudasai.

Please tell me about the Lump-sum Withdrawal Payment.

Pension Checklist for Foreign Workers

•  Check whether you're enrolled in National Pension or Employees’ Pension.

•  Review your pension deduction on your payslip.

•  Keep your pension number and records safe.

•  Check your pension status whenever you change jobs.

•  Complete National Pension procedures if you stop being covered by your employer and remain eligible.

•  Don't simply ignore pension bills if you're unemployed.

•  Ask about exemptions or postponement if you're struggling to pay.

•  Before leaving Japan, check whether you qualify for a Lump-sum Withdrawal Payment.

•  Understand the consequences before claiming a lump sum.

•  Keep copies of your Japanese employment and pension documents.

Tips for Filipinos in Japan

•  Don't think of pension as just another salary deduction—it can provide old-age, disability, and survivor protection.

•  Check your payslip regularly to understand how much is being deducted.

•  If you change employers, make sure your pension records remain accurate.

•  If you lose your job, check your National Pension responsibilities promptly.

•  If you're returning permanently to the Philippines, research the Lump-sum Withdrawal Payment before leaving Japan, so you know what documents you'll need.

•  Don't rush to claim a pension refund without understanding how it could affect future pension rights.

•  For questions about your individual record, consult Japan Pension Service or a pension office rather than relying only on advice from friends or social media.

Japan's pension system may seem complicated at first, especially when you see 厚生年金 being deducted from your salary every month.

But understanding where that money goes is important.

For foreign workers, the key things to remember are :

Know which pension system you're enrolled in, keep your records, understand your benefits, handle changes properly when you change or lose a job, and check your options carefully before permanently leaving Japan.

Pension isn't only about retirement. Depending on the conditions, Japan's public pension system can also provide protection in cases of disability or death.

Sa PhilMoney, nais naming suportahan ang mga Pilipino sa Japan hindi lamang sa mabilis at ligtas na remittance, kundi pati na rin sa pagbibigay ng practical financial guides para mas maintindihan ninyo ang inyong salary deductions, benefits, at financial responsibilities habang nagtatrabaho sa Japan.

(Pension eligibility and benefit amounts depend on your individual contribution and employment history. For decisions involving your pension, always confirm your personal record and the latest requirements with the Japan Pension Service.)

Note : This article is intended for general information only. Regulations and procedures in Japan and the Philippines may change. Please verify the latest information with the appropriate government agency or official institution before taking action.