Investment

Anxiety in retirement that doesn't go away … Can we still trust the pension?

◆ Is it really wasteful to pay a pension?
It seems that pension distrust has been growing louder due to the shock of "Shortage of 20 million yen in retirement."

Speaking of that, 30 years ago when I was a student, pension distrust was persistent, and at that time, "When we reach old age, we can not get any pensions or sparrows are tears, so it is useless to pay. There are many people who have the perception that it is wasteful because they are unlikely to be removed.

I recently wrote a column that says “If you have a pension, you are lucky.” However, I do not recommend that you do not pay pension insurance. Rather, it is my opinion that you should pay.

In the case of company employees, they are deducted as social insurance premiums, so there is no principle of nonpayment, but there are 1.57 million nonpayments for students and self-employed persons who are eligible for the national pension [2017].

In this year, 66,270 reminder letters were sent out and 14,344 property foreclosures were reported, so it seems that there are more intentional people than financially unable to pay.

◆ "I can get a lifetime" is still encouraging
Aside from being rich enough to replace savings, it's probably not a good idea not to pay a pension.

For example, the average life expectancy of Japanese in 2017 is 87.26 for women [the second largest in Hong Kong after 87.66 in Hong Kong] and 81.09 for males [three in the world after 81.70 in Hong Kong and 81.5 in Switzerland]. Is also the highest ever. It has been pointed out that the service life may be extended in the future.

Regardless of private insurance or defined contribution pensions, you only get what you pay for what you paid. So one day it will run out.

However, you can get a public pension for a lifetime. If you subtract the amount you can get from the amount you paid, such as raising the age of payment start, reducing the amount of benefits, it may certainly be impossible to recover, but “ There is a source of income that you can receive while you are alive '' Even if the amount is insignificant, it is still one of the safe materials.

In addition, in the event that a disability remains due to illness or injury, it can also serve as a nursing care insurance, such as receiving a disability pension from a public pension. Abandoning such insurance would be a waste.

◆ Please check your subscription status
Note, however, that the national pension [basic retirement pension] does not allow you to receive any pension if the period of enrollment [the period during which the insurance premium is paid] is less than 10 years. In addition, a full payment will be made at the end of the 40-year payment from the age of 20 to 60 years old, and if it is less than that, it will be eligible for a reduction.

It will not be zero, but will be reduced from full amount depending on the length of time you have not subscribed. Therefore, not only self-employed people, but also if you did not pay without exemption application when you were a student, or if there was a blank period when you changed jobs, you need to check your enrollment status.

You can check the status of your pension enrollment with the “Nenkin Regular Service” sent every year during your birthday. However, if you are not over 50, you do not know how much you will receive in the future. In addition, the schedule shows only the payment status of the last one year, so even if you inadvertently forget to pay before that, this document will not tell you.

Therefore, it is recommended that you apply from the Japan Pension Service website and obtain a special ID and password. That way, you can always see your pension records on the web.

You can check all the information about your pension, including calculating the amount of pension you can receive in the future and seeing how long you have not paid your premium in the past.

◆ Even if you are over 60, you can make up for any unpaid payments
If there is a non-payment period, you can make up for the non-payment using the voluntary subscription system. Usually, the pension is paid until the age of 60, but if you are between 60 and 65 years old, you can join voluntarily and pay insurance premiums to make up for the nonpayment period.

For example, if you did not pay your insurance premiums during your two years as a student, paying your insurance premiums up to the age of 62 will cover the full 40 years.

For those who say, "Is it subtle when I was a student," "I have changed jobs," or "I'm self-employed," I recommend you to check it.

Sentence = Tokio Kodo [money guide]
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