INI
iDeCo (Individual Defined Contribution Pension) - INI
iDeCo (Individual Defined Contribution Pension) is a private pension system available to public pension insured persons aged 20 and over. Participants contribute a minimum of 5,000 yen per month, invest in self-selected financial products such as investment trusts and time deposits, and receive benefits as either annuity or lump sum, generally after age 60. The system offers three-stage tax advantages: income deduction for contributions, tax-free investment returns, and deductions at the time of receipt, making it advantageous for retirement asset building. Following the 2025 reform, the eligible age for enrollment was raised from under 65 to under 70, and contribution limits were expanded.
iDeCo
defined contribution pension
retirement savings
asset building
tax benefits
pension
investment
Japan
[item.contribution-deduction]
code=01
slug=contribution-deduction
name=Contribution Income Deduction
description=iDeCo contributions are fully deductible from income, reducing income and residence taxes.
category=Tax Benefits
[item.tax-free-returns]
code=02
slug=tax-free-returns
name=Tax-Free Investment Returns
description=Investment gains that would normally be taxed at 20.315% are tax-free in iDeCo.
category=Tax Benefits
[item.receipt-deduction]
code=03
slug=receipt-deduction
name=Receipt Deduction
description=Retirement income deduction or public pension deduction applies to iDeCo benefits received.
category=Tax Benefits
[item.contribution-limits]
code=04
slug=contribution-limits
name=Contribution Limits
description=Monthly contributions can be set between 5,000 yen and 68,000 yen depending on occupation and enrollment status.
category=Contributions
[item.investment-products]
code=05
slug=investment-products
name=Investment Product Selection
description=Participants select and manage investments from products offered by financial institutions, including investment trusts, time deposits, and insurance products.
category=Investment
[item.eligibility]
code=06
slug=eligibility
name=Eligibility
description=Public pension insured persons aged 20 to under 70 can enroll (raised from under 65 in the 2025 reform).
category=Eligibility
[item.benefit-payment]
code=07
slug=benefit-payment
name=Benefit Payment
description=Benefits can be received as annuity or lump sum, generally after age 60 (can be deferred until 75 under the 2025 reform).
category=Benefits
[item.2025-reforms]
code=08
slug=2025-reforms
name=2025 System Reforms
description=Reforms include raised enrollment age, expanded contribution limits, and flexible benefit commencement age.
category=System Reforms