'Nenkin Navi' Releases 'Break-Even Point Simulator' for Early/Deferred Pension Receipt - Graphs the Age at Which Cumulative Receipts Reverse for Each Start Age from 60 to 75
Nenkin Navi launched a free simulator that visualizes the break-even point for early or deferred pension receipt. Users can compare cumulative amounts via graphs based on when they start receiving pensions between 60 and 75.
📋 Article Processing Timeline
- 📰 Published: April 3, 2026 at 22:00
- 🔍 Collected: April 3, 2026 at 18:04
- 🤖 AI Analyzed: April 21, 2026 at 03:34 (417h 30m after Collected)
On the pension information service 'Nenkin Navi' (https://nenkin.xyz), we have released a 'Break-even Point Simulator' that allows you to visually grasp the break-even point for early and deferred receipt of pensions.
Tool URL: https://nenkin.xyz/tools/breakeven-simulator
### The Changed Rules for Early/Deferred Receipt
Japan's public pension generally begins at age 65, but if desired, you can receive it earlier starting at 60, or defer it to receive it later up to age 75.
Due to the pension system revision in April 2022, the maximum age for deferred receipt was raised from 70 to 75 (Source: Ministry of Health, Labour and Welfare, '2020 Pension System Revision').
The increase rate when deferred to age 75 reaches 84%, meaning mathematically, you can receive about 1.84 times the monthly pension amount at age 65 for the rest of your life.
On the other hand, early receipt applies a 0.4% reduction per month (for those turning 60 after April 2022), so if you receive it from age 60, it is reduced to 76% of the original amount. This reduction applies for a lifetime.
### You Can Judge 'How Long You Must Live to Profit' by the Break-even Point
If you move it up, the monthly receipt amount is smaller, but you receive it earlier. If you defer it, the monthly receipt amount is larger, but the start is delayed.
Which is 'profitable' ultimately depends on 'until what age you continue to receive it,' that is, your lifespan.
The concept of the 'break-even point' helps this judgment.
If you compare the cumulative amount if you start receiving at age 65 with the cumulative amount if you start at age 70 by age, there is a point where the cumulative amounts reverse at a certain age.
The calculation is that if you live longer than that point, deferring is advantageous, and if you pass away before that, starting at age 65 is advantageous.
Even if you understand the theory, when you actually try to calculate it with your own pension amount, the rules for applying increase/reduction rates are complex, making manual calculation difficult.
This tool instantly performs this calculation via AI and displays the results in a graph.
### How the Simulator Works
**Input Items**
- Estimated pension amount (annual) at age 65
- If you have information from Nenkin Teikibin, enter that; approximate entry is also possible
- Combinations of receipt start ages you want to simulate (up to 5 patterns can be compared simultaneously)
**Output Contents**
1. **Cumulative Receipt Amount Trend Graph**
Displays the cumulative receipt amount from age 60 to 100 as a line graph for each selected receipt start age. The point where the lines intersect is the break-even point.
2. **List of Break-even Ages**
Displays the break-even age for each combination numerically, such as '65 vs 70', '65 vs 75', and '60 vs 65'.
3. **Comparison with the Average Life Expectancy of Japanese People**
Refers to the 'Abridged Life Table' data published by the Ministry of Health, Labour and Welfare to display the average life expectancy according to your current age (Source: Ministry of Health, Labour and Welfare, '2023 Abridged Life Table'). Looking at the difference between average life expectancy and the break-even age provides material for statistically judging which is advantageous.
4. **Monthly Receipt Amount Comparison Table**
Displays the monthly receipt amounts at each receipt start age side by side. You can intuitively grasp 'how much the monthly difference is'.
### What You Need to Know Before Choosing Deferred Receipt
While deferred receipt has the advantage of increasing the receipt amount, there are also easily overlooked disadvantages. This tool displays the following caveats alongside the simulation results.
**Possibility of Not Receiving Additional Pension**
During the period you are deferring the old-age employees' pension, payment of the additional pension (such as spouse additional pension) is suspended. Since the annual amount of the additional pension is a maximum of about 400,000 yen, the longer the deferral period, the larger the total amount of additional pension you cannot receive.
**Increase in Taxes and Social Insurance Premiums**
When the pension amount increases due to deferral, the burden of income tax, resident tax, national health insurance premium, and nursing care insurance premium also increases. Because the nominal increase rate and the take-home increase rate do not match, this tool also displays an estimated after-tax amount as a reference value.
**Relationship with Working Old-age Pension**
If you continue to work while enrolled in the employees' pension after age 65, and the sum of your wages and pension exceeds a certain amount (500,000 yen per month for FY2024), a part of your pension payment will be suspended. Because the suspended portion is not subject to the deferral increase, the increase effect may be limited even if deferred while working.
### Hints for Utilization
**Case 1: Late 50s Approaching Retirement
Tool URL: https://nenkin.xyz/tools/breakeven-simulator
### The Changed Rules for Early/Deferred Receipt
Japan's public pension generally begins at age 65, but if desired, you can receive it earlier starting at 60, or defer it to receive it later up to age 75.
Due to the pension system revision in April 2022, the maximum age for deferred receipt was raised from 70 to 75 (Source: Ministry of Health, Labour and Welfare, '2020 Pension System Revision').
The increase rate when deferred to age 75 reaches 84%, meaning mathematically, you can receive about 1.84 times the monthly pension amount at age 65 for the rest of your life.
On the other hand, early receipt applies a 0.4% reduction per month (for those turning 60 after April 2022), so if you receive it from age 60, it is reduced to 76% of the original amount. This reduction applies for a lifetime.
### You Can Judge 'How Long You Must Live to Profit' by the Break-even Point
If you move it up, the monthly receipt amount is smaller, but you receive it earlier. If you defer it, the monthly receipt amount is larger, but the start is delayed.
Which is 'profitable' ultimately depends on 'until what age you continue to receive it,' that is, your lifespan.
The concept of the 'break-even point' helps this judgment.
If you compare the cumulative amount if you start receiving at age 65 with the cumulative amount if you start at age 70 by age, there is a point where the cumulative amounts reverse at a certain age.
The calculation is that if you live longer than that point, deferring is advantageous, and if you pass away before that, starting at age 65 is advantageous.
Even if you understand the theory, when you actually try to calculate it with your own pension amount, the rules for applying increase/reduction rates are complex, making manual calculation difficult.
This tool instantly performs this calculation via AI and displays the results in a graph.
### How the Simulator Works
**Input Items**
- Estimated pension amount (annual) at age 65
- If you have information from Nenkin Teikibin, enter that; approximate entry is also possible
- Combinations of receipt start ages you want to simulate (up to 5 patterns can be compared simultaneously)
**Output Contents**
1. **Cumulative Receipt Amount Trend Graph**
Displays the cumulative receipt amount from age 60 to 100 as a line graph for each selected receipt start age. The point where the lines intersect is the break-even point.
2. **List of Break-even Ages**
Displays the break-even age for each combination numerically, such as '65 vs 70', '65 vs 75', and '60 vs 65'.
3. **Comparison with the Average Life Expectancy of Japanese People**
Refers to the 'Abridged Life Table' data published by the Ministry of Health, Labour and Welfare to display the average life expectancy according to your current age (Source: Ministry of Health, Labour and Welfare, '2023 Abridged Life Table'). Looking at the difference between average life expectancy and the break-even age provides material for statistically judging which is advantageous.
4. **Monthly Receipt Amount Comparison Table**
Displays the monthly receipt amounts at each receipt start age side by side. You can intuitively grasp 'how much the monthly difference is'.
### What You Need to Know Before Choosing Deferred Receipt
While deferred receipt has the advantage of increasing the receipt amount, there are also easily overlooked disadvantages. This tool displays the following caveats alongside the simulation results.
**Possibility of Not Receiving Additional Pension**
During the period you are deferring the old-age employees' pension, payment of the additional pension (such as spouse additional pension) is suspended. Since the annual amount of the additional pension is a maximum of about 400,000 yen, the longer the deferral period, the larger the total amount of additional pension you cannot receive.
**Increase in Taxes and Social Insurance Premiums**
When the pension amount increases due to deferral, the burden of income tax, resident tax, national health insurance premium, and nursing care insurance premium also increases. Because the nominal increase rate and the take-home increase rate do not match, this tool also displays an estimated after-tax amount as a reference value.
**Relationship with Working Old-age Pension**
If you continue to work while enrolled in the employees' pension after age 65, and the sum of your wages and pension exceeds a certain amount (500,000 yen per month for FY2024), a part of your pension payment will be suspended. Because the suspended portion is not subject to the deferral increase, the increase effect may be limited even if deferred while working.
### Hints for Utilization
**Case 1: Late 50s Approaching Retirement