The Basics of NENKIN

The basics of NENKIN

Under Japanese labour law, everyone over 20, Japanese or foreign, living and working in Japan must pay insurance to secure their retirement. This insurance payment is called NENKIN in Japanese.

What is nenkin?
Nenkin is pension insurance; paying it is an obligation for all residents over 20 living and working in Japan, including foreigners. Technical intern trainees, being foreigners who return home after a few years, cannot receive pension benefits in old age as Japanese people do.

If you are a foreigner who has lived and worked in Japan and paid NENKIN for more than 6 months, you are entitled to receive 80% of the NENKIN amount (called the 1st NENKIN refund) if you complete the lump-sum withdrawal procedure after leaving Japan, and you can then apply for the 2nd NENKIN refund, worth 20% of the 1st refund.

Important points when applying for your nenkin in Japan
To make applying for your Japanese nenkin refund smoother, keep the following important points in mind:
– You can only claim nenkin within 2 years of ceasing to live in Japan. So after returning to Vietnam you should apply for your nenkin right away.
– Workers with a re-entry permit can also claim their nenkin before leaving Japan by submitting a moving-out notice to the local government office.

See also:
10 Lucky Symbols of the Japanese
Experiences of Living and Working in Japan