Japan’s retirement income system comprises a flat-rate basic pension; an earnings-related pension; and voluntary supplementary pension plans.
The overall index value for the Japanese system could be increased by:
- raising the level of household saving
- increasing the level of pension coverage and hence the level of contributions and assets
- introducing a requirement that part of the retirement benefit must be taken as an income stream
- announcing a further increase in the state pension age as life expectancy continues to increase
- reducing government debt as a percentage of GDP
The Japanese index value fell slightly from 44.4 in 2014 to 44.1 in 2015 due to a number of small changes.