Higher threshold for suspension of the In-Work Old-Age Pension — 650,000 yen a month from April 2026
Source material is a Japanese government announcement (in Japanese); this page is a summary.
The threshold for suspension of the In-Work Old-Age Pension (在職老齢年金) rises to 650,000 yen a month from April 2026.
Key facts
| Date in force | April 2026 |
|---|---|
| Suspension threshold | 500,000 yen a month (fiscal 2024) → 620,000 yen (when the law passed in June 2025) → 650,000 yen (April 2026) |
| Who it covers | Older people who work while drawing a pension |
| How suspension works | If wages plus the Employees' Pension exceed the threshold, half of the excess is suspended |
| Example | Wages of 450,000 yen + Employees' Pension of 100,000 yen = 550,000 yen → 25,000 yen suspended under the current rules, paid after the revision |
| Legal basis | Act partially amending the National Pension Act and other laws (submitted 16 May 2025, passed on 13 June after amendment in the House of Representatives) |
| Responsible ministry | Ministry of Health, Labour and Welfare (厚生労働省) |
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The In-Work Old-Age Pension adjusts pension payments for older people who work while drawing a pension and whose remuneration is above a set level. If wages plus the Employees' Pension exceed the threshold, half of the excess is suspended. The suspension threshold rises from 500,000 yen a month in fiscal 2024, through 620,000 yen at the time the law was passed (June 2025), to 650,000 yen a month from April 2026. As a result, more people will receive amounts that were previously suspended.
Background — why this change
The In-Work Old-Age Pension adjusts pension payments for older workers whose remuneration is above a set level, on the view that they are now helping to support the pension system rather than being supported by it. This revision raises the suspension threshold, so amounts that were suspended under the previous arrangement will now be paid.
Summaries below are factual notes based on government announcements and primary sources — not evaluations or opinions.
Summaries reflect national-level programs. Municipal (city/ward/town) programs may differ — confirm with the official desk before applying.
FAQ
If I go over the threshold, do I lose my whole pension?
No. If wages plus the Employees' Pension exceed the threshold, only half of the excess is suspended. For example, with wages of 450,000 yen + an Employees' Pension of 100,000 yen = 550,000 yen, 25,000 yen — half of the 50,000 yen excess — was previously suspended, but after the revision that 25,000 yen is paid as well.
Why is the threshold 650,000 yen rather than 620,000 yen?
620,000 yen was the figure at the time the law was passed (June 2025); at the point it takes effect in April 2026 it becomes 650,000 yen.