When workers decide to return to their home country (leave Japan), they should promptly complete procedures to claim their retirement allowance and receive their allowance at a financial institution within Japan.
You can receive a retirement allowance if your employer is subscribed to Kentaikyo!
What is Kentaikyo?
The Kentaikyo System is a retirement allowance scheme* established by the Japanese government for construction site workers and covers the entire construction industry.
Employers pay installments according to the number of days worked and when a worker leaves the construction industry, a retirement allowance is then paid by Kentaikyo.
*The retirement allowance scheme is a system under which an employer makes a payout separate from a worker’s salary when a worker resigns or retires.
Working at a
Kentaikyo Employer
Key Points of
Reassurance
National System
Your retirement allowance is safe and secure as it is calculated and paid according to standards set by the government.
Anyone
Subscription is open to all construction industry workers regardless of nationality and occupation, including carpenters, plasterers, scaffolders, electricians, rebar workers, plumbers and painters, as well as specified skilled worker and technical intern trainees.
*Link: Japan Association for Construction Human Resources
（https://jac-skill.or.jp/system/）
Carries Over
Even if you change companies, the retirement allowance is carried over as long as the employer is subscribed to Kentaikyo.
*You can check companies subscribed to the system on the Kentaikyo website.
Zero Out-of-Pocket
As contributions are entirely paid by employers,
no out-of-pocket expense is required.
Receiving Your Retirement Allowance
The retirement allowance is paid to the worker when installments made by employers total 12 months or more (21 days is converted to 1 month) and the worker no longer works in the construction industry.
■Kentaikyo Retirement Allowance with Daily Installment of 320 yen
| Years（Months） | Retirement Allowance |
|---|---|
| 2 Years（24 Months） | ¥161,280 |
| 3 Years（36 Months） | ¥241,920 |
| 5 Years（60 Months） | ¥414,087 |
*As the daily installment of 320 yen is paid by the employer, no out-of-pocket expense is required of the worker.
*According to current forecast interest rates and daily installments of 320 yen, the retirement allowance amount is calculated based on retirement allowance points and mutual aid certification stamps with 21 days counted as 1 month.
*The retirement allowance amount for people whose installments were paid prior to the daily rate change to 320 yen will be calculated differently according to forecast interest rates.
*The retirement allowance is subject to change according to revisions to forecast interest rates and daily installment amounts based on expenses, profits, economic conditions and other factors.
Ask your employer if they’re subscribed to Kentaikyo!