Yayoi Kyuyo Next Complies with Legal Amendments for the "Child and Childcare Support Fund System"

Yayoi Co., Ltd. (Headquarters: Chiyoda-ku, Tokyo, Representative Director, President and CEO: Kenichiro Muto, hereinafter "Yayoi") announces that it has updated its cloud payroll service "Yayoi Kyuyo Next" with functions that comply with the legal amendments for the "Child and Childcare Support Fund System," which will begin collection from the insurance premiums for April 2026. This update enables businesses using "Yayoi Kyuyo Next" to automatically calculate and withhold support funds in accordance with the new system, allowing for secure and accurate payroll calculations that comply with legal requirements. ■ Background of Provision The "Child and Childcare Support Fund System," which will begin collection from the insurance premiums for April 2026, is a new system established based on the "Child Future Strategy" decided by the cabinet on December 22, Reiwa 5 (2023). Aimed at supporting childcare and child-rearing for the entire society as a measure against the declining birthrate, it is a system where all generations, including the elderly, and corporations broadly bear the burden, and is legally stipulated to be collected along with medical insurance premiums. On the other hand, as this system represents a new burden for all generations and all businesses, various challenges are anticipated in practical operations before its commencement. For businesses, there is the challenge of the system's content and scope being difficult to understand, making it hard to decide how to reflect it in payroll calculations. Furthermore, since the response methods differ depending on the insurance system joined, such as the Association of Medical Insurers or health insurance societies, the complexity of setting up and confirming details can also contribute to an increased operational burden. Additionally, while displaying it on pay stubs is not legally mandatory, it is recommended in materials for employers. This leads to many cases where employers are unsure about "how far they should go" or "how to display it." For employees, it can be difficult to understand how much of the increase in health insurance premiums is due to the "Child and Childcare Support Fund," potentially leading to anxiety and questions like "It's hard to understand why premiums have increased." In this context, businesses are required to correctly understand the system, comply with laws and regulations, and reflect it in payroll calculations with as little burden as possible. "Yayoi Kyuyo Next" provides payroll calculation functions that support the Child and Childcare Support Fund System to resolve the anxieties and operational challenges for both businesses and employees accompanying these system changes. Automatic calculation and simple settings enable smooth adaptation to the new system, allowing for secure progress in payroll calculation operations. URL: https://www.cfa.go.jp/policies/kodomokosodateshienkinseido ■ Main Update Contents 1. Support for Automatic Calculation and Withholding of Child and Childcare Support Funds For payroll calculations from April 2026 onwards, premiums based on the "Child and Childcare Support Fund System" will be automatically calculated and reflected in withholding. For the Association of Medical Insurers, rates will be automatically set, and for Health Insurance Societies, it is possible to respond by entering the necessary rates. 2. Support for Display on Pay Stubs (Optional) While not legally mandatory, for the "Child and Childcare Support Fund," which is recommended for display in employer-向け materials, a system is provided that allows for response simply by choosing whether or not to display it on the pay stub. This enables clear communication to employees about the breakdown of the support fund. URL: https://www.yayoi-kk.co.jp/lawinfo/detail.20260220-2/ ■ About "Yayoi Kyuyo Next" "Yayoi Kyuyo Next" is a cloud payroll service that achieves "Digitalization of Payroll, Attendance, and Labor Management, All at Once." It broadly supports monthly attendance management, payroll calculation, year-end adjustments, and labor management such as onboarding and insurance procedures. Since the series of tasks are not fragmented but completed within a single service, it leads to improved operational efficiency. URL: https://www.yayoi-kk.co.jp/kyuyo/ ■ About Yayoi Co., Ltd. Yayoi is a company that develops, sells, and supports the "Yayoi Series" of software to assist with back-office operations, under the mission of "Creating a virtuous cycle in Japan by energizing small and medium-sized enterprises." The "Yayoi Series" has over 3.5 million registered users and is utilized by many customers. By combining Yayoi's strengths – its customer network, accumulated vast data, industry-largest customer service center, and partner relationships – with technologies such as AI, we will support SMEs in achieving their desired futures. Representative: Kenichiro Muto, Director, President & CEO Founded: 1978 Number of Employees: 801 (as of September 2025) Business Description: Development, sales, and support of business software and related services. Headquarters Location: Akihabara UDX 21F, 4-14-1 Sotokanda, Chiyoda-ku, Tokyo URL: https://www.yayoi-kk.co.jp