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Lump-Sum Withdrawal: The 60-Month Payment Cap

Japan refunds at most 60 months of your pension contributions when you leave. A decade of payments still buys only five years of refund, and every month past 60 survives solely as credit toward a future pension claim.12

Confirm current details with official sources

Procedures, fees, and requirements can change. Confirm current details at the Japan Pension Service site. This article is general information, not tax or pension advice; for your specific case, consult a licensed tax accountant or pension advisor.

Overview​

The ceiling is absolute: months 61 and beyond add nothing to the lump-sum payout, regardless of salary history or total tenure.312 A resident who contributed 10 years receives the same figure as one who contributed five.1

This article owns the withdrawal side of that math. The treaty-side question (whether unrefunded months can count toward a pension at 65 through totalization) belongs to the trade-off sibling and the totalization guides.

How the cap works​

Both pension tracks cap at 60 months, but they count up to it differently. Find your track below.

National Pension bands​

National Pension payouts step every 6 months from 6 to 60, with 60 months or more paid at the 60-month figure (as of 2026-04; confirm current figures with the Japan Pension Service).4 The FY2026 top band pays 537,600 yen; the FY2024 equivalent was 509,400 yen (as of 2024-04).54

Mid-band FY2024 rungs show the shape: 36 to 42 months 305,640 yen, 42 to 48 months 356,580 yen, 48 to 54 months 407,520 yen, and 54 to 60 months 458,460 yen (as of 2024-04).5 Each extra half year adds one fixed rung until the ceiling stops the ladder.

Employees Pension bands​

Employees Pension Insurance multiplies 平均標準報酬額 (heikin hyōjun hōshūgaku, "average standard remuneration") by the 支給率 (shikyū-ritsu, "payout rate") for your insured-period band and last-month cohort.1 For the September 2026 to August 2027 cohort, the 60-months-or-more rate is 5.10 (as of 2026-04; confirm current figures with the Japan Pension Service).1

Earlier rungs of the same cohort grid read 3.10 for 36 to 41 months, 4.10 for 48 to 53 months, and 4.60 for 54 to 59 months (as of 2026-04).1 Higher salaries scale the payout linearly, but tenure stops scaling at 60.

Track60-month figure or ratePre-cap rung shapeAs of
National Pension537,600 yen top bandFixed yen rungs every 6 months2026-044
Employees Pension5.10 rate on avg. remunerationRate grid rising with tenure2026-041

The table carries the currency signal for both rows. Recompute against the current band tables before departure, since the yen figures move with the fiscal year.

The 2021 extension from 36 to 60 months​

The April 2021 reform extended the ceiling from 36 months to 60 months.52 Four-to-five-year stayers gained the most: years four and five, previously lost entirely, became refundable.5

One cohort keeps the old ceiling. Insured periods ending March 2021 or earlier remain under the 36-month upper limit.1 Long-ago short stints therefore pay under rules a current departure outgrew.

An 8-year ceiling is proposed, not in force

A 2025 reform package would raise the ceiling from 5 to 8 years within 4 years of promulgation.6 Plan against the 60-month rule until implementing law lands.

What the cap costs long-tenure leavers​

After 5 years, each additional contribution year is recoverable only through an eventual pension claim, never through the lump sum.12 That makes the totalization decision more consequential with every extra year: the lump sum stays frozen while the forgone pension stream keeps growing.

At 10 years (120 months) the lump-sum door closes itself, since vested old-age rights disqualify the claim.7 The choice then is totalization toward a partial pension at 65 or nothing.

Good to know​

Ten years of contributions still buys only five years of refund​

The 60-month ceiling binds however long the tenure runs.12 Budget the departure payout on five years even when the contribution record shows ten.

Pre-April 2021 months use the old 36-month ceiling​

Periods ending March 2021 or earlier keep the 36-month upper limit.1 Mixed-era records blend two ceilings, so confirm which months fall under which rule at a pension office.

Past-60 months keep value only through a future pension claim​

Unrefunded months survive only as coverage toward a vested or totalized pension.8 Treaty-country residents hold more such paths than others, since 24 agreements were in force (as of 2026-03-02; confirm current status with the Japan Pension Service).8

See also​

References​

Footnotes​

  1. Private School Mutual Aid. To foreigners departing from Japan (English pamphlet, Employees Pension Insurance lump-sum withdrawal, as of April 2026). https://www.pmac.shigaku.go.jp/en/pension/pension_08/detail/njr8dv0000000u1l-att/k_d_nenkin_datsuichi_pamphlet_en_2026.pdf ↩ ↩2 ↩3 ↩4 ↩5 ↩6 ↩7 ↩8 ↩9 ↩10 ↩11

  2. Smiles. Lump-Sum Withdrawal Guide for Japan's Pension System. https://www.smileswallet.com/japan/how-to-claim-your-lump-sum-withdrawal-payment ↩ ↩2 ↩3 ↩4 ↩5

  3. Japan Pension Service. Lump-sum Withdrawal Payments (English). https://www.nenkin.go.jp/international/english/japanese-system/benefit/payment.html ↩

  4. MailMate. Japan's Pension Refund for Foreigners in 2026. https://mailmate.jp/blog/japan-pension-refund ↩ ↩2 ↩3

  5. Japan Association for Construction Human Resources (JAC). What is the lump sum withdrawal payment. https://jac-skill.or.jp/en/columns/hint/what-is-the-lump-sum-withdrawal-payment.php ↩ ↩2 ↩3 ↩4

  6. Ministry of Health, Labour and Welfare. Overview of Pension System Revision (2025 reform package). https://www.mhlw.go.jp/content/12500000/act_250926a.pdf ↩

  7. Consulate-General of Japan in Detroit. Do you have 10 years coverage period under the Japanese pension system? https://www.detroit.us.emb-japan.go.jp/files/000354672.pdf ↩

  8. Japan Pension Service. Status of Agreements in Force (last updated 2026-03-02). https://www.nenkin.go.jp/international/english/agreement/status.html ↩ ↩2