Defined contribution pension (individual type)

The National Pension Fund Association creates pension rules that define the details of the system and receive approval from the Minister of Health, Labour and Welfare.
Self-employed persons who want to participate in individual-type pensions apply to the National Pension Fund Association and contribute payments.
The National Pension Fund Association executes a contract with trust banks and other administrative financial institutions and can subcontract operations such as management and investment of reserves.
The asset management institution provides members with information about the investment method and investment products, and members provide investment instructions to the asset management institution based on that information.
The asset management institution compiles investment instructions from the members, provides investment instructions to trust banks and other administrative financial institutions, and holds records concerning the members.
Trust banks and other administrative financial institutions manage and invest the pension assets in accordance with the contract mentioned in item 3 and the investment instructions mentioned in item 5.
The National Pension Fund Association makes payments to the beneficiaries.

Defined contribution pension (corporate type) | Defined contribution pension (individual type)