Japan intends to extend the starting age of pension to 75 years old and increase the amount of pension

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 Japan intends to extend the starting age of pension to 75 years old and increase the amount of pension


BEIJING, Oct. 11, according to Kyodo News Agency of Japan, the Ministry of Health, Welfare and Labor of Japan will present its plan at the panel meeting of the Social Security Review Conference on Oct. 18, proposing to expand the optional starting age of pension from 60 to 70 years old to 75 years old. If the starting age is delayed, the amount of money received will increase. The Japanese government regards it as a part of the policy of expanding employment for the elderly, hoping to keep healthy people working for a long time and provide support for the pension system.

The starting age for receiving public pension is basically 65 years old, which can be freely chosen between 60 and 70 years old. The amount received throughout the year increases and decreases with the start time. If you start collecting it before age 65, it will be reduced by 0.5% every month in advance. Compared with 65 years old, it will be reduced by 30% at 60 years old. On the other hand, if you choose to start collecting from the age of 66 to 70, the increase will be 0.7% for every month delayed. If the starting age is 70, the amount received will increase by 42%.

Reported that under the current system, only about 1% of all elderly people are delayed to start receiving. Even at 75, its hard to predict how many more people will actually choose. According to this plan, based on the latest average residual life and other data, this paper will discuss how to set the increment range after the enlargement of the optional interval.

In August, Honorary Labor Province released the results of the financial verification to verify the sustainability of the pension system. Among them, estimates show that if the starting age for continuing to work and delaying pension payment reaches 75 years old, the maximum amount will increase by about 70% compared with the starting age for pension payment at 65 years old.

The Japanese government is also discussing changes to the system to promote employment for the elderly and to accumulate assets for retirement. All of the above will be submitted to the regular Congress next year with amendments to the relevant laws.

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