Japan

If you’re living or working in Japan and have made the decision to retire in the country, you’ll need to find out what pension options are open to you. Japan has a sophisticated pension system consisting of state pension and workplace pension schemes to cover long-term residents. However, you’ll need to get familiar with the rules if you’re an expat, especially if you want to transfer entitlements from your home country. Here’s an overview of how things work. The Japanese Pension System Japan’s pension system consists of two pillars, both overseen by the Japan Pension Service. There is an employment-related pension scheme (category 2) for those in permanent employment in Japan and their dependents, as well as a basic state pension (category 1) available to all citizens and long-term residents not covered by a workplace pension. The pension age in Japan is 65, although it’s possible to retire from the age of 60 and draw a reduced pension. You can also carry on working beyond the established pension age and continue making contributions. Japan has social security agreements with over 20 countries enabling overseas nationals to transfer pension contributions made in their home country to their Japanese pension. If you…