The deeming of the previous standard monthly remuneration during the childcare period is a system aimed at dispelling concerns about balancing childcare and work and expanding support for raising the next generation .
Of course, if you choose to work shorter hours to raise children, your salary will also be reduced. Many people may feel uneasy because if their salary decreases, the standard monthly remuneration used to calculate their future pension amount will also decrease.
If this measure is applied, even if your salary decreases while raising children, your future pension amount will not be affected.
Employers should inform employees who are raising children about the previous standard monthly remuneration during the child-rearing period and suggest that they actively utilize it.
In this article, we will introduce an overview of the previous standard monthly remuneration measures during the child rearing period, procedures, and points to note. If you are a business owner or someone in charge of labor affairs who has employees who are raising children, please use this as a reference.
Table of contents [ not indicated ]
- 1. What is the “previous standard monthly remuneration deemed measure” during the parenting period?
- 2. Subject to deeming measures for previous standard monthly remuneration during the parenting period
- 3. Procedures for deeming the previous standard monthly remuneration during the parenting period
- 4. Necessary documents for deeming the previous standard monthly remuneration during the parenting period
- 5. Two points to note regarding the deeming of the previous standard monthly remuneration during the parenting period
- 6. Appropriately inform employees about the previous standard monthly remuneration measures.
1. What is the “previous standard monthly remuneration deemed measure” during the parenting period?
The “previous standard monthly remuneration measure” for the child-rearing period is a system that allows you to receive a pension amount calculated based on the standard monthly remuneration before raising your child .
Many employees choose to work shorter hours after childcare leave, and their standard monthly compensation tends to decrease. The amount of employee pension you will receive in the future is determined by your standard monthly remuneration, so if the standard remuneration decreases, the pension amount you will receive will also decrease.
The purpose of this measure is to allow employees to raise their children with peace of mind without reducing their future pension amount even if their standard monthly remuneration decreases due to childcare.
Employers are not obligated to make an announcement to employees, but they should proactively approach insured employees who are returning from childcare leave.
2. Subject to deeming measures for previous standard monthly remuneration during the parenting period
The previous standard monthly remuneration deeming measure during the child-rearing period applies to insured persons who are raising children up to the age of three . This applies not only to biological children but also adopted children up to the age of three .
Even if you quit your job before raising your child, you can still receive this measure if you re-employ the child before he or she turns 3 years old.
However, please note that if you have not been covered by the Employees’ Pension within one year from the month before you start raising your child, you will not be covered.
There are no restrictions on the gender of the insured person, so both men and women can apply.
Example of subject to deeming measures for previous standard monthly remuneration during child rearing period
- Those who choose to work shorter hours after childcare leave
- Those who have not taken childcare leave but whose standard monthly remuneration has decreased due to short working hours
- Those who quit their job due to childbirth but started a new job (limited to those who were insured within one year)
- If both husband and wife work, each person (not only the child’s mother but also the child’s father)
| Example of subject to deeming measures for previous standard monthly remuneration during child rearing period | |
| ・Those who choose to work shorter hours after childcare leave
・Those who have not taken childcare leave but whose standard monthly remuneration has decreased due to short-time work ・Those who quit their job due to childbirth but started a new job (limited to those who were insured within the past year) ・If both husband and wife work, each person (not only the child’s mother but also the child’s father) |
3. Procedures for deeming the previous standard monthly remuneration during the parenting period
In order to receive the application of the previous standard monthly remuneration measure during the childcare period, the employer must complete the necessary procedures.
Employers who receive a request from an employee must submit the necessary documents to the pension office. If you are not insured at the time of filing due to retirement, etc., you will have to submit it directly.
Applications should be submitted to the administrative center operated by the Japan Pension Service or the relevant pension office, and can be submitted by bringing the application in person at the counter, electronically, or by mail.
| Procedures for deeming the previous standard monthly remuneration during the parenting period | |
| When to submit | When an insured person makes a request |
| person submitting | Employer (or himself if retired) |
| propose first | ・Administration center
・Jurisdictional pension office |
| Suggest a way | ・Bring to the counter (only available at the pension office)
・Electronic application (available 24 hours a day) |
If you choose to bring your application to the counter, you can only submit it to the pension office, which is the pension office that has jurisdiction over the location of your business. Please check the Japan Pension Service’s official website for the jurisdiction of the pension office.
Electronic applications can be applied 24 hours a day in an internet environment, reducing time and costs . It would be a good idea to make active use of it.
4. Necessary documents for deeming the previous standard monthly remuneration during the parenting period
We will introduce the necessary documents in order to qualify for the previous standard monthly remuneration for the childcare period.
Please make sure you have all the documents before submitting to avoid any omissions.
4-1. Required documents
The documents to be submitted are the ” Application form for special monthly standard remuneration for child rearing period/Notification of termination “.
You can download the “Application Form/Notification of Special Monthly Monthly Exception for Parenting Period” from the Japan Pension Service website. There are sample entries, so be sure to check to make sure there are no omissions or mistakes.
4-2. Attached documents
You will need to prepare several supporting documents in conjunction with the “Application Form/Notification of Special Monthly Remuneration for Childcare Period Standard Remuneration”.
Please note that the documents to be attached will differ depending on the circumstances and conditions of the insured person .
| common to all | ・Copy of family register (excerpt from family register) or certificate of matters listed in family register
・Copy of resident record |
| When submitting without going through the employer, and when submitting by writing your personal number | [In case of counter submission]
・Show your My Number Card at the counter ・If you do not have a My Number card, present (A) + (B) below. [If submitting by mail] Copies of both the front and back of your My Number card or the following (A) + (B) (A) Documents that can confirm my number ・Copy of residence card showing individual number ・Notification card (limited to cases where name, address, etc. match what is written on the resident record) (B) Identification documents ·driver’s license ·passport ・Residence card, etc. |
| At the time of special adoption | Case pending certificate + copy of resident card |
| When a child in need of protection is entrusted to an adopted foster parent | Notice of action decision |
A case pending certificate is a document issued by the family court, and a notice of action decision is a document issued by an automatic counseling center.
All attached documents will take time to reach you. Documents issued by government offices are valid if issued within 90 days, so we encourage you to obtain them early.
When an employer carries out the procedures, it will be smoother if the employer not only provides an overview but also explains the required documents and attached documents to the employees.
5. Two points to note regarding the deeming of the previous standard monthly remuneration during the parenting period
There are two points to keep in mind when considering the previous standard monthly remuneration during the childcare period:
- If you have multiple workplaces, submit a tax return for each workplace.
- When the parenting period ends, submit a “Notification of Termination”
Employers should thoroughly understand each and explain them appropriately to their employees.
5-1. If you have multiple workplaces, submit a tax return for each workplace.
If you worked at multiple workplaces during the period this measure applies, you will need to submit an application form for each insured period at each workplace.
Even if you fail to apply, you can apply retroactively for two years. If you notice that an application has been omitted, suggest that the employee complete the procedure as soon as possible.
5-2. When the parenting period ends, submit a “termination notification”
If the parenting period ends for certain reasons, you will need to submit a “Notification of Special Termination of Standard Monthly Remuneration for the Parenting Period”. Please check the following for the necessary procedures.
| Is there any procedure to be followed when the parenting period ends? | |
| Cases that require submission | ・When parental authority is lost due to divorce etc.
・When you put your child up for adoption ・When a child dies |
| Cases where submission is not required | ・When the child turns 3 years old ・When you are no longer insured due to retirement ・When receiving special measures for a child other than the child who has declared the declaration. ・When the person making the declaration begins maternity leave before and after giving birth. ・When the person making the declaration starts childcare leave |
Even in the case of terminating this measure, the employer who receives the request from the insured person basically submits the request to the pension office.
6. Appropriately inform employees about the previous standard monthly remuneration measures.
The deeming of the previous standard monthly remuneration during the child-rearing period is a system that has benefits for those raising children.
In Japan, women are more likely to take childcare leave, so there are fewer requests from men. Informing employees who have given birth to a child about this measure, regardless of whether they are male or female, will help prevent failure to report.
When reporting this measure, it is necessary to attach documents issued by the government office. Please have your employer or labor affairs representative explain not only the outline of the system but also the required documents and request them to obtain them as soon as possible.
Let’s support employees in balancing work and child-rearing by providing appropriate guidance regarding the previous standard monthly remuneration during the child-rearing period .
