Overview

Annual procedure to simultaneously report confirmed premiums (確定保険料) for the prior year and estimated premiums (概算保険料) for the current year. The insurance year is always April 1 to March 31 regardless of the company's fiscal year. Installment payment in 3 parts is available when estimated premiums exceed ¥400,000.

Schedule

Applicability

• Applicable to: Kabushiki Kaisha (KK), Godo Kaisha (GK), Individual
• Requires paying salaries

All businesses employing even one worker are subject to labor insurance — both corporations and sole proprietors, with no minimum employee threshold (except certain optional-enrollment businesses in agriculture, forestry, and fisheries). The declaration form also includes the asbestos health damage relief contribution (石綿健康被害救済法一般拠出金) at a rate of 0.02/1000. Only estimated premiums (概算保険料) can be split into installments. Any shortfall on confirmed premiums (確定保険料) must be paid in full with the first installment by July 10. Using account transfer (口座振替) extends the effective payment deadline by approximately 2 months for each installment, at no charge.

Authority

Filing Methods

Additional Details

Labor insurance (労働保険) is the collective term for workers' compensation insurance (労災保険, formally 労働者災害補償保険) and employment insurance (雇用保険). The annual renewal involves two simultaneous calculations: (1) Confirmed premium (確定保険料): Calculated by multiplying the total wages actually paid during the prior insurance year (April 1 – March 31) by the applicable premium rate. The difference from the estimated premium paid the prior year is settled. (2) Estimated premium (概算保険料): Calculated by multiplying the projected wages for the current insurance year by the applicable rate, and paid in advance. Workers' compensation premiums are 100% employer-paid; employment insurance premiums are shared between employer and employee. Rates vary by industry. Most businesses file as a "one-element business" (一元適用事業) using a single combined form. Construction, agriculture, forestry, and fisheries businesses file as "two-element businesses" (二元適用事業) with separate forms for each insurance type. Installment payment (延納) in 3 parts is available when estimated premiums are ¥400,000 or more (¥200,000 for businesses with only one type of insurance): 1st installment by July 10, 2nd by October 31, 3rd by January 31. Pre-printed declaration forms are mailed from the Prefectural Labor Bureau (都道府県労働局) in a green envelope in late May. Large corporations (capital exceeding ¥100 million) are required to file electronically via e-Gov.

Penalties for Non-Compliance

Failure to file by the deadline (July 10) results in an administrative determination (認定決定) by the government (Art. 15(3), Art. 19(4)). When an administrative determination is made for confirmed premiums, a 10% surcharge (追徴金) is imposed on the amount due (Art. 21). The surcharge is waived in cases of natural disaster or other unavoidable reasons. No surcharge is imposed for administrative determinations on estimated premiums.

Legal Basis