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Standard Monthly Salary and Standard Bonus


Standard monthly salary and standard bonus are determined based on the monthly salary and bonus that a member receives. It is used by the Mutual Aid Association as a basis for the calculation of premiums and benefits.


1 Standard Monthly Salary

The amount of the standard monthly salary is calculated by using the table of Grades and Monthly Amounts of Standard Monthly Salary, and is based on the salary (the total amount of salary excluding bonuses, performance allowances, special bonuses, limited-term researcher’s achievement allowances, and special limited-term researcher’s achievement allowances) that the member receives. The standard monthly salary is determined upon certain events (on qualification of membership, at scheduled determination, and at ad hoc revisions) to be applied for a certain length of time.

(1)How the Standard Monthly Salary Is Determined

1On Qualification of Membership

When the employee acquires membership as a new hire or by transfer, his/her standard monthly salary is determined based on the monthly salary as of the day of qualification. This standard monthly salary continues until the next scheduled determination (August 31).

2Scheduled determination

Once every year, the standard monthly salary is determined based on the average salary that the employee received during three months between April and June of that year. This standard monthly salary is used from September 1 of the same year until August 31 of the following year.

3Ad Hoc Revisions

The monthly standard salary defined at a scheduled determination generally applies until the next scheduled determination. However, it may be revised as needed if the fixed monthly amounts of salary (amounts other than those paid based on actual work hours, e.g., overtime pay) change significantly (when a change of two or more grades listed in the table on Grades and Monthly Amounts of Standard Monthly Salary continues for three months) due to pay increase and other reasons. The standard monthly salary modified at an ad hoc revision applies until the next scheduled determination.

4Revision of the Standard Monthly Salary at the End of a Childbirth Leave

If the mother continues to nurse the child for whom she took a childbirth leave as of the last day of the childbirth leave, the standard monthly salary is revised based on the average amount of the salaries received during the month to which the day after the last day of the childbirth leave belongs, and the two following months, provided that an application is filed. The standard monthly salary revised at the end of a childbirth leave will be applied until the next scheduled adjustment.
However, this revision does not apply to cases where the mother starts a childcare leave on the day following the last day of a childbirth leave.

If, after the completion of a childbirth leave, there is a decrease in the standard monthly salary of a member who nurses a child less than three years old, the member's previous standard monthly salary is considered to be the monthly standard salary for the applicable period, and is used in the calculation of the premium for the pension, provided that an application is filed.
However, this provision ends when exemption from premium payment starts for a childcare leave for the applicable child or a childbirth leave for a child other than the applicable child.

5Revision upon the Completion of Childcare Leave

If the child for whom the member took a child care leave is younger than three years old on the last day of the childcare leave, and if an application is made to that effect, the standard monthly salary is revised based on the average salary that the member received during three months starting the month that includes the day after the completion of the childcare leave. The standard monthly salary modified by a revision at the completion of a childcare leave applies till the next scheduled determination.
However, members who start a childbirth leave on the day after the last day of a childcare leave are excepted from this provision.
Note: If the standard monthly salary of a member who is raising a child younger than three years old decreases, and if an application is made to that effect, the standard monthly salary prior to the leave is also used in the calculation of the pension amount during the leave.
    However, this rule ends when exemption from premium payment starts for a childbirth leave.

(2)Standard Monthly Salary for Exceptional Cases

1Standard Monthly Salary for Voluntarily-Continuing Insurance Members

The lower of the resulting amounts of the following two calculation methods applies.
i. The standard monthly salary at the time of retirement.
  ii. The average standard monthly salary of all members (as of September 30 of the previous year).
Example current for Grade 25: 470,000 yen

2Standard Monthly Salary for Continuing Long-Term Insurance Members

Upon receipt of the notice of determination of the standard salary in accordance with the provisions of the Health Insurance Act from employers such as government-affiliated financial corporation or similar institutions, the standard salary for Continuing Long-Term Insurance Members is determined after taking into consideration such reported standard salary.
If a continuing long-term insurance member comes back to his/her former employer from a government-affiliated financial corporation or similar institution, the standard salary is determined as if he/she became qualified as a new member.



2 Standard Bonus

The amount of standard bonus is determined based on the amounts of bonuses and other allowances that the member receives, e.g., bonuses, performance allowances, special bonuses, limited-term researcher’s achievement allowances, and special limited-term researcher’s achievement allowances.
Up to 1,500,000 yen of standard bonus can be paid out at a time for long-term benefits, and up to 5,730,000 yen can be paid annually for Short-Term benefits.


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