Defined Contribution Pension Act

When calculating the period of a participant of an individual-type pension plan, the period is to be calculated on a monthly basis, and the period from the month in which the person acquired the status as a participant of an individual-type pension plan to the month preceding the month in which the person lost the status is to be included in that period.

With regard to a person who has lost the status as an participant of an individual-type pension plan, but has subsequently acquired that status again, the former and latter participant of an individual-type pension plan periods are to be totaled.

A person who loses the status as a participant of an individual-type pension plan due to coming to fall under any of the items of Article 62, paragraph (4) (excluding items (i) and (iv)) (limited to a person who has assets managed per individual under the individual-type pension plan) is to be an instructor of an individual-type pension plan investment.

In addition to the case under the provisions of the preceding paragraph, a person who was a participant of a corporate-type pension plan (limited to a person who has assets managed per individual in the corporate-type pension plan or the individual-type pension plan) or a participant of an individual-type pension plan (limited to a person who has assets managed per individual under the individual-type pension plan) may become an instructor of an individual-type pension plan investment by making a request to the Association.

The person prescribed in paragraph (1) acquires the status as an instructor of an individual-type pension plan investment on the day of losing the status as a participant of an individual-type pension plan, and the person who makes the request referred to in the preceding paragraph acquires the status as an instructor of an individual-type pension plan investment on the day on which the person makes the request.

An instructor of an individual-type pension plan investment loses the status as an instructor of an individual-type pension plan investment on the day following the day on which the person comes to fall under any of the following items (if the person comes to fall under item (iii), on the day of falling under that item):

when the person dies;

when the person no longer has assets managed per individual under the individual-type pension plan; or

when the person becomes a participant of an individual-type pension plan.

The provisions of Article 62, paragraph (5) (excluding the part pertaining to a person who has lost the status as a participant of an individual-type pension plan by coming to fall under item (viii) of paragraph (4) of that Article) apply mutatis mutandis to the status as an instructor of an individual-type pension plan investment, and the provisions of the preceding Article apply mutatis mutandis to the case of calculating the instructor of an individual-type pension plan investment period.

A participant or instructor of an individual-type pension plan is to designate or change the designation of the defined contribution pension plan operational management institution that is to provide operational management services relating to that person, pursuant to the provisions of Order of the Ministry of Health, Labour and Welfare.

A participant of an individual-type pension plan must make notification of particulars such as the name and address to the Association, pursuant to the provisions of Order of the Ministry of Health, Labour and Welfare.

The provisions of the preceding paragraph apply mutatis mutandis to an instructor of an individual-type pension plan investment.

When the notification referred to in paragraph (1) (including as applied mutatis mutandis pursuant to the preceding paragraph) has been made, the Association must promptly give notice of the particulars of which notification has been made to the defined contribution pension plan operational management institution which provides records-related services and which has been designated by the participant of an individual-type pension plan, etc. (hereinafter referred to as the "individual-type pension plan records-related operational management institution").

Pursuant to the provisions of Order of the Ministry of Health, Labour and Welfare the Association must keep a register of participants or instructors individual-type pension plan, record therein the names and addresses, the dates of acquisition and loss of the status, the amounts of assets managed per individual, and other particulars specified by Order of the Ministry of Health, Labour and Welfare with and keep such records.

Pursuant to the provisions of Order of the Ministry of Health, Labour and Welfare an individual-type pension plan records-related operational management institution must keep books on the participants or instructors individual-type pension plan, record therein the names and addresses, the dates of acquisition and loss of the status, the amounts of assets managed per individual, and other particulars specified by Order of the Ministry of Health, Labour and Welfare, and keep such books.

A person who is or was a participant of an individual-type pension plan (including a person who is eligible to receive a lump-sum death benefit) may make a request for inspection of the register referred to in paragraph (1) or the books referred to in the preceding paragraph or make an inquiry on the particulars recorded in that register or those books to the Association or the individual-type pension plan records-related operational management institution. In this case, the Association and the individual-type pension plan records-related operational management institution must not refuse the request for inspection or refuse to answer the inquiry, unless there are legitimate grounds to do so.

A participant of an individual-type pension plan periodically makes contributions at least once a year, pursuant to the provisions of Cabinet Order.

The amount of the participant of an individual-type pension plan's contribution is decided or changed in accordance with the participant of an individual-type pension plan pursuant to the provisions of the individual-type pension plan rules.

If a participant of an individual-type pension plan who is a category I EPI insured person (excluding the persons set forth in the items of Article 62, paragraph (2); hereinafter the same applies in this paragraph) whom a small and medium-sized employer employs make contributions pursuant to the provisions of paragraph (1) of the preceding Article (limited to the case where they make payments through the small and medium-sized employer pursuant to the provisions of Article 70, paragraph (2)), the small and medium-sized employer may periodically make contributions at least once a year, pursuant to the provisions of Cabinet Order, by obtaining the consent of a labor union consisting of the majority of the category I EPI insured person, if there is any such labor union, or the consent of the person representative of the majority of the category I EPI insured person, if there is no labor union consisting of the majority of the category I EPI insured person.

If a small and medium-sized employer makes contributions under the provisions of the preceding paragraph (hereinafter referred to as "small and medium-sized employer's contributions"), they may specify certain qualifications to be fulfilled for persons to be subject to the small and medium-sized employer's contributions. In this case, the small and medium-sized employer must obtain the consent referred to in that paragraph.

If a small and medium-sized employer specifies the qualifications referred to in the preceding paragraph, those qualifications must not be unreasonably discriminatory against specific persons.

The amount of the small and medium-sized employer's contribution is decided or changed by the small and medium-sized employer pursuant to the provisions of the individual-type pension plan rules.

When a small and medium-sized employer decides or changes the amount of the small and medium-sized employer's contribution pursuant to the provisions of the preceding paragraph, or when it ceases to make small and medium-sized employer's contributions, the small and medium-sized employer must give notice to the persons subject to the small and medium-sized employer's contributions, pursuant to the provisions of Order of the Ministry of Health, Labour and Welfare.

When a small and medium-sized employer makes small and medium-sized employer's contributions, the employer must make notification of the employer's name, address, and other matters specified by Order of the Ministry of Health, Labour and Welfare to the Association in advance, pursuant to the provisions of Order of the Ministry of Health, Labour and Welfare. In this case, upon receiving the notification, the Association must send a copy of the documents pertaining to the notification to the Minister of Health, Labour and Welfare.

If a small and medium-sized employer has made notification under the provisions of the preceding paragraph and if there has been a change to any matter of which notification was made, or if the employer ceases to make small and medium-sized employer's contributions, or in other cases specified by Order of the Ministry of Health, Labour and Welfare, the employer must make notification to that effect to the Association without delay, pursuant to the provisions of Order of the Ministry of Health, Labour and Welfare. In this case, upon receiving the notification, the Association must send a copy of the documents pertaining to the notification to the Minister of Health, Labour and Welfare.

The total annual amount of the participant of an individual-type pension plan's contributions (if the small and medium-sized employer makes small and medium-sized employer's contributions, the sum of the amount of the participant of an individual-type pension plan's contributions and the amount of the small and medium-sized employer's contributions; hereinafter the same applies in this Article) must not exceed the maximum contribution amount (meaning the amount specified by Cabinet Order as the maximum total amount of the participant of an individual-type pension plan's contributions that may be made per year, taking into account the category of the participant of an individual-type pension plan (meaning the distinction between a category I participant (meaning a participant of an individual-type pension plan who is the person set forth in Article 62, paragraph (1), item (i)), a category II participant (meaning a participant of an individual-type pension plan who is the person set forth in item (ii) of that paragraph; the same applies hereinafter), a category III participant (meaning a participant of an individual-type pension plan who is the person set forth in item (iii) of that paragraph), a category IV participant (meaning a participant of an individual-type pension plan who is the person set forth in item (iv) of that paragraph), or a category V participant), the amount of contribution for a national pension fund, whether the participant of an individual-type pension plan has the status as a participant of a corporate-type pension plan or a defined benefit corporate pension plan, the amount of the employer's contribution, and other factors).

A participant of an individual-type pension plan is to pay the participant of an individual-type pension plan's contribution to the Association pursuant to the provisions of the individual-type pension plan rules.

A category II participant, and a category V participant who is an insured person covered by the employees' pension insurance, may make the payment referred to in the preceding paragraph through the employer with an EPI-applicable place of business that employs the participant, pursuant to the provisions of Order of the Ministry of Health, Labour and Welfare.

In the case referred to in the preceding paragraph, the employer with an EPI-applicable place of business must not refuse that process without legitimate grounds.

When the Association receives the payments referred to in paragraphs (1) and (2), it must give notice of the amount of the participant of an individual-type pension plan's contribution relating to each participant of an individual-type pension plan to the individual-type pension plan records-related operational management institution, pursuant to the provisions of Order of the Ministry of Health, Labour and Welfare.