Shakai Hoken
社会保険 (Shakai Hoken)
Shakai Hoken is Japan's employee social insurance system — a bundle of health insurance, pension, unemployment insurance, and workers' compensation. Both you and your employer pay roughly equal shares. It provides better coverage than Kokuho and includes sick leave pay, which Kokuho does not.
"Shakai Hoken is like a shared umbrella your company holds over you. You each grip one side of the handle — you pay half the cost, your employer pays the other half. If you get sick, hurt, or lose your job, the umbrella covers you. The bigger your income, the bigger the umbrella (and the higher the cost)."
The '50/50 split' is the core mechanic. For health and pension premiums, the total rate is split equally. This means your employer is paying a significant amount on top of your listed income that you never see — your total cost to the company is considerably more than your gross income.
| Component | Total Rate | Employee Pays | Employer Pays | What It Covers |
|---|---|---|---|---|
| Health Insurance (健康保険) | ~10% | ~5% | ~5% | Medical care (30% copay), sick leave pay, maternity allowance |
| Employee Pension (厚生年金) | 18.3% | 9.15% | 9.15% | Old age pension (much higher than national pension) |
| Unemployment Insurance (雇用保険) | 1.6% | 0.6% | 1.0% | Job-seeker allowance if you lose your job |
| Workers' Compensation (労災保険) | 0.3–0.88% | 0% | 100% | Work injury and occupational disease — employer pays all |
| Long-term Care (介護保険) | 1.82% | 0.91% | 0.91% | Only ages 40–64. Care for elderly/disabled (age 65+ pay via Kokuho) |
All companies (with even 1 regular employee) are legally required to enrol employees in Shakai Hoken. This applies to:
• Regular full-time employees — always required, from day one
• Part-time / short-hour workers — required if they work ≥ 3/4 of regular hours (typically ≥ 30h/week)
Since October 2024, the 106-hour rule (106時間ルール) expanded mandatory enrollment further:
• If you work ≥ 20 hours/week, earn ≥ ¥88,000/month, have been (or expect to be) employed for ≥ 2 months, and the employer has ≥ 51 employees — you must be enrolled
• From October 2024: companies with ≥ 51 employees are covered (down from 101)
• From October 2026: companies with ≥ 21 employees will be covered
If you are too sick to work for more than 3 consecutive days, Shakai Hoken pays you 2/3 of your standard daily wage from day 4 onwards, for up to 18 months. Kokuho provides no equivalent.
During maternity leave, you receive 2/3 of your standard daily wage for 14 weeks (98 days) around the birth. This is on top of the ¥500,000 childbirth lump sum also available through insurance.
If you lose your job involuntarily, you receive 50–80% of your daily wage for 90–360 days depending on age and contribution history. Apply at Hello Work (ハローワーク) within 1 year of leaving your job.
Employee pension (厚生年金) builds on top of the basic national pension. The more you earn, the more pension points you accumulate. Retirees on employee pension receive significantly more than those on national pension only.
Illegally avoiding Shakai Hoken enrollment is a crime under the Health Insurance Act and Employees' Pension Insurance Act. Employers who fail to enrol qualifying employees face:
• Retroactive premium collection for up to 2 years (the company pays both shares)
• Fines of up to ¥500,000 per violation
• Criminal prosecution in severe cases
| Agency | What They Handle | Contact |
|---|---|---|
| Japan Pension Service (日本年金機構) | Health insurance + pension non-enrollment | 0570-003-004 |
| Hello Work (ハローワーク) | Unemployment insurance non-enrollment | Local office — search nenkin.go.jp |
| Labour Standards Inspection Office (労基署) | Overall labour law violations | 0570-085-240 (General Labour Consultation) |
| Total Labour Consultation Corner (総合労働相談コーナー) | Free mediation and advice | Each prefecture — mhlw.go.jp |
| Social Insurance Labour Consultant (社労士) | Specialist legal advice | sr-center.or.jp |
Your Shakai Hoken coverage ends the day after your last day of employment. You have a 14-day window to enrol in either Kokuho or the next employer's Shakai Hoken. Visit your city hall with your 離職票 (employment separation certificate) and 健康保険資格喪失証明書 (certificate of loss of insurance).
You can continue your Shakai Hoken health coverage for up to 2 years after leaving a job, but you must now pay both shares (employee + employer portion — roughly double what you paid before). Apply within 20 days of leaving.