Do I have to pay an employee pension? Understanding Lump-sum withdrawal payments

All residents of Japan, including foreigners, between the ages of 20 and 60 (for Employees' Pension Insurance, employees under the age of 70 are also subject to the obligation to participate in the Japanese public pension system) are obliged to participate in the system.
However, in order to avoid disadvantages for foreigners regarding pensions, such as paying double premiums with pensions in their own country, there are two systems: "Social Security Agreement" and "Lump-sum Withdrawal Payments".
This article explains "Lump-sum Withdrawal Payments". 

*Please refer to the article below for "Social Security Agreement"
https://yaaay.jp/yaaay-notes/understanding-Social-Security-Agreement

Lump-sum Withdrawal Payments is a system that allows foreigners who have enrolled in the Japanese Employees' Pension Plan or National Pension Plan to receive a certain amount of money if they return to their home country before receiving their pension benefits.

It is a system that is designed to avoid disadvantages to foreigners regarding pensions from a different standpoint than the Social Security Agreement. If you are not from a country that has not signed a Social Security Agreement with Japan, it would be a good idea to consider whether or not you will receive Lump-sum Withdrawal Payments when you return to your home country. However, the amount of money you will receive as a Lump-sum Withdrawal Payment is usually less than the premiums you have paid during your stay in Japan.

Foreign nationals from countries with social security agreements are also eligible for the Lump-Sum Withdrawal Payments if they meet the conditions. Please note, however, that if you receive the Lump-sum Withdrawal Payment, your period of participation in the Japanese pension system will no longer be counted as a period of participation in the Japanese pension system.
Foreigners from countries with social security agreements are also eligible for the Lump-Sum Withdrawal Payments if they meet the conditions. If you receive it, you are considered to have never participated in the Japanese pension system. Since that period is excluded from combined pension enrollment periods in Japan and your home country, you need to be careful not to make a disadvantageous choice.

Lump-sum withdrawal payments must be claimed within two years from the date you lose your insured status for the Employees' Pension and National Pension and discontinue having residency in Japan. Lump-sum withdrawal payments can be claimed when all of the following conditions are met

・You do not have Japanese nationality
・The period of payment for National Pension premiums or the period of enrollment in Employees' Pension Insurance is six months or more
・You do not have an address in Japan
・You were never eligible to receive a pension (including disability allowance)
・Worked in Japan for less than 10 years (eligibility period for old-age pension) at the time of request


For example, in the case of the Employees' Pension Plan, if you have been a member for 6 months or more and are not entitled to receive a disability pension or other benefits, you can claim a lump-sum withdrawal payment based on your period of membership and other factors when you return to your home country.

If you wish to claim the Lump-sum Withdrawal Payment, you must submit the necessary documents to the Japan Pension Service. Please refer to the following for the application form for Lump-sum Withdrawal Payments and required documents.
https://www.nenkin.go.jp/international/japanese-system/withdrawalpayment/payment.html

Japan's pension system provides ways to prevent foreigners from paying double premiums and from having their premiums disposed of. All foreigners working in Japan should fully understand the Social Security Agreement and the Lump-sum Withdrawal Payments to avoid losing out on premium payments and future pension benefits!