Our bilateral social security agreement with Japan applies when there is double coverage – that is, if you or your employee would otherwise have to pay super bonuses (or equivalent contributions) for the same work of your employee in both countries. It applies to Australian super-homening and Japanese social security legislation. The table below outlines the different types of social security benefits to be paid under the U.S. and Japanese social security plans and briefly outlines the eligibility requirements normally applicable to each type of benefit. If you do not meet the normal conditions for these benefits, the agreement can help you qualify (see „How Benefits Can Be Paid“). Prior to the agreement, workers, employers and the self-employed may, in certain circumstances, be required to pay social security taxes in the United States and Japan for the same work. Although the U.S.-Japan agreement allows the Social Security Administration to count your Japanese loans to help you qualify for U.S. pension, disability or survival benefits, the agreement does not cover Medicare benefits. Therefore, we cannot count your credits in Japan to qualify for free Medicare insurance. The guarantee certificate you receive from one country indicates the effective date of your exemption from payment of social security contributions in the other country. In general, this is the date you started working in the other country, but not before the agreement came into force.
If you do not agree with the decision on your entitlement to benefits under the agreement, contact a U.S. or Japanese social security office. The people there can tell you what you need to do to appeal the decision. Permission to renew a coverage certificate is set on a case-by-case basis. We can only grant an extension with the mutual agreement of the relevant agency in Japan and in certain circumstances only. Kazuhiro was sent by his Australian employer to work for two years in Japan. Kazuhiro will continue to be covered by Australian super-guarantee laws, as well as by Japanese laws in the works in Japan, which has the effect of doubling the super-recovery. As a double super-coverage occurs, the agreement enters into force and frees Kazuhiro and his employer from the obligation to contribute under Japanese law. Kazuhiro`s employer will continue to pay super-guarantee premiums, as is requested in Australia. Note: In order to qualify for an Australian pension while outside Australia, a person must have actually resided in Australia during his working life (Australian residence is residence in Australia between the age of 16 and the age of old age) for at least 12 months.
To qualify for U.S. or Japanese benefits as part of the agreement, follow the instructions in the „Benefits Rights“ section. For Japan, the agreement covers social security taxes (including, in some cases, the share of health insurance in Japan) and social security benefits for pensions, disability and survivors. The National Pension Fund and the Workers` Pension Fund, which are professional pension funds, whose participation and contributions are optional, are not covered. The pension scheme for members of local assemblies, a supplementary pension scheme for local government workers, is also not subject to the agreement. The agreement also does not apply to the old age pension or other non-contributory Japanese allowances that are paid from general income.