If you've worked in Japan and paid into the pension system (nenkin), you can claim ¥200,000 to ¥1,000,000 or more back after you leave. This is the most comprehensive English-language guide to the lump-sum withdrawal payment (脱退一時金) — covering eligibility, the exact application process, tax recovery, and special considerations for Specified Skilled Workers.
Published March 2026 · Based on Japan Pension Service official guidelines and National Tax Agency regulations
You qualify for the lump-sum withdrawal if you meet all five conditions:
Important: If you have paid for 10+ years (120 months), you may qualify for a regular pension (monthly payments from age 65). This is usually worth far more than the lump-sum withdrawal. Check if Japan has a social security agreement with your country — 23 countries currently have one, allowing you to combine pension years across countries.
Your refund depends on your average monthly salary and how many months you contributed. Here are typical examples:
| Scenario | Salary | Duration | Est. Refund |
|---|---|---|---|
| English teacher (ALT) | ¥250,000/month | 12 months | ¥150,000-200,000 |
| IT engineer | ¥350,000/month | 36 months | ¥550,000-700,000 |
| Factory worker (SSW) | ¥200,000/month | 60 months | ¥500,000-650,000 |
| Working holiday (WHV) | ¥180,000/month | 12 months | ¥100,000-150,000 |
| Finance professional | ¥500,000/month | 24 months | ¥400,000-550,000 |
These are estimates before the 20.42% tax withholding. With a tax representative, you can recover the full amount.
Check that you have paid into the pension system for at least 6 months (kokumin nenkin or kosei nenkin). Your pension handbook (年金手帳) or Nenkin Net account shows your payment history. If you are unsure, visit your local pension office (年金事務所) with your residence card.
1-3 months before departureThis is critical for recovering the 20.42% tax withheld from your refund. Your tax representative can be a friend, former colleague, or a professional service (¥10,000-30,000 fee). Submit the tax representative notification form (納税管理人届出書) to your local tax office before leaving Japan.
Before departureGo to your city/ward office and submit a moving-out notification. This officially records your departure from Japan and is required for the pension refund application. Keep the certificate they issue — you may need it.
1-2 weeks before departureYour departure is recorded by immigration at the airport. The pension refund cannot be processed until you have physically left Japan and your residence registration is cancelled.
Departure dayDownload form 脱退一時金裁定請求書 from the Japan Pension Service website or use the form included with your pension handbook. Attach: passport copy (ID page + departure stamp), pension handbook, bank account details (SWIFT code for overseas transfer). Mail to: Japan Pension Service, 3-5-24 Takaido-nishi, Suginami-ku, Tokyo 168-8505.
After leaving Japan, within 2 yearsProcessing takes 3-6 months. The refund is transferred to your overseas bank account via international wire. A 20.42% income tax is automatically withheld. You will receive a payment notification (支給決定通知書) by mail.
3-6 months after applicationAfter receiving the payment notification, your tax representative in Japan files a tax return (確定申告) to reclaim the 20.42% withholding. This is done at the tax office where you appointed the representative. The refund is deposited into the representative's Japanese bank account, who then transfers it to you.
After receiving payment notificationJapan automatically withholds 20.42% income tax from all lump-sum withdrawal payments. On a ¥500,000 refund, that means ¥102,100 is withheld. But this money is recoverable.
Before leaving Japan, appoint a tax representative (納税管理人). After you receive your pension refund, the representative files a tax return to reclaim the 20.42%. You receive 100% of your refund. Cost of a professional representative service: ¥10,000-30,000 — easily worth it on refunds over ¥100,000.
You receive only 79.58% of your refund. The 20.42% is permanently forfeited. On a ¥500,000 refund, you lose ¥102,100. On a ¥1,000,000 refund, you lose ¥204,200.
Pro tip: Appoint your tax representative BEFORE leaving Japan. While it is technically possible to do it from overseas, it is significantly more complicated and some tax offices may not accept it.
Specified Skilled Workers (SSW) often have the largest pension refunds due to working full-time for 3-5 years. Here are SSW-specific considerations:
You are eligible if you meet ALL of these conditions: (1) You are not a Japanese citizen, (2) You have paid into the Japanese pension system (kosei nenkin or kokumin nenkin) for 6 or more months, (3) You do not have an address registered in Japan (you have left Japan), (4) You have never received a Japanese pension payment, (5) You apply within 2 years of leaving Japan. Note: if you have paid for 10+ years, you may be eligible for a regular pension instead — which could be more valuable than the lump-sum withdrawal.
The refund amount depends on your salary and months of contribution. For kosei nenkin (employee pension), the formula is based on your average monthly salary multiplied by a rate for each month of contribution, capped at 60 months. A typical English teacher earning ¥250,000/month for 12 months receives approximately ¥150,000-200,000. An IT engineer earning ¥350,000/month for 36 months receives approximately ¥550,000-700,000. Use our calculator for a personalized estimate.
Japan withholds 20.42% income tax from all lump-sum withdrawal payments. On a ¥500,000 refund, that means ¥102,100 is withheld. You CAN get this tax back by appointing a tax representative (納税管理人) in Japan before you leave. After receiving your refund, the representative files a tax return to reclaim the withholding. Without a tax representative, the tax is gone permanently — this is why appointing one before departure is essential.
Yes — in fact, you MUST be outside Japan to apply. The application can only be submitted after you have left Japan and your address registration is cancelled. Mail the completed form and supporting documents to the Japan Pension Service from your home country. Processing takes 3-6 months, and the refund is wired to your overseas bank account.
The lump-sum withdrawal is available for both pension types. Kokumin nenkin contributions are fixed (¥16,980/month in 2026 for full payment) regardless of income, so the refund amount is the same for all applicants with the same number of months. For 12 months of kokumin nenkin, the refund is approximately ¥50,000-60,000. For 36 months, approximately ¥150,000-180,000. Kosei nenkin refunds are typically larger because contributions are salary-based.
If you have paid into the Japanese pension system for 10 or more years (120 months), you qualify for a regular old-age pension payment — monthly payments starting at age 65. For most foreign workers, this is significantly more valuable than the lump-sum withdrawal. Japan has social security agreements with 23 countries that allow combining pension periods. If your home country has an agreement with Japan, your Japan pension years can count toward your home country's pension eligibility, and vice versa.