How to Retire in Japan As A Foreigner: A Comprehensive Guide

Dreaming of retiring in Japan? You're definitely not alone in that thought.

If retirement in the Land of the Rising Sun has been on your mind, it might be time to start exploring what it actually takes to make it happen. That's why we've put together this comprehensive guide to walk you through everything you need to know about retiring in Japan.

Essential facts at a glance

• No dedicated retirement visa - Must use long-term visa pathways

• Minimum preparation time: 2-5 years for most applicants

• Monthly costs: ¥150,000-400,000 ($1,000-2,700) depending on location and lifestyle

• Key requirement: Financial independence demonstration (typically $50,000+ annual income)

• Retirement age: 65 for Japanese pension benefits

• Tax status: Depends on residency duration and income sources

Is Japan a good place to retire?

According to TimeOut, Japan is ranked in the top 10 best countries to travel. While it's an amazing place to travel, it offers a different experience when living here, especially for retirement.

So, let's go over the pros and cons of retirement in Japan to consider.

Should you retire in Japan?

Japan ranks 14th globally for quality of life but #1 in Asia. However, retiring here differs vastly from vacationing.

So what's life like in Japan for retirees?

What follows is a simple overview of the pros and cons for retirement in Japan:

Pros

a) Excellent life quality

Japan is ranked 14th for overall quality of life worldwide and ranked the best Asian country for its quality of life, according to US News.

Additionally, Japan outranks other countries in safety, environmental quality, and education, making it a good choice if you want to raise a family here.

Furthermore, their healthcare system is a major plus. While free healthcare does exist in other countries, all major Japanese hospitals and clinics accept national health insurance, which covers 70% of the medical cost. Compared to the US healthcare system, Japanese healthcare is more affordable and thorough.

b) Unparalleled safety

While no place is completely free of risk, Japan offers a much safer living environment and significantly lower crime rate compared to the U.S.—a major draw for many retirees.

It’s a remarkable experience to walk around the city after dark and genuinely feel at ease. In fact, it’s common to see people leave their belongings unattended in busy cafés and restaurants without worry.

Even young children routinely use public transportation on their own, a testament to the country’s overall safety and efficiency.

Although Japan is prone to natural disasters like earthquakes and typhoons, there are regions—such as Hokkaido—where the risk is much lower, making them ideal for retirement.

c) Remarkable convenience

Japan excels at making daily life remarkably convenient, especially in urban areas. Convenience stores (konbini) seem to handle almost every need imaginable, while public transportation runs with legendary punctuality. You'll find excellent restaurants within walking distance of most locations, and the walkable neighborhoods make exploring easy. For longer trips to rural areas, rental cars are readily available, and bicycles offer a perfect solution for short-distance travel around the city.

The country maintains beautifully clean and well-kept parks throughout, though you might be surprised by how difficult it can be to find public trash cans. Japan's shopping culture is equally impressive, ranging from traditional covered shopping streets (shōtengai) that stretch for blocks to towering modern malls packed with restaurants, cafes, shops, and entertainment venues. Even the dollar stores (hyaku-en shops) are treasure troves where you can find virtually anything you need.

Beyond Japan's borders, the country's strategic location makes it an ideal base for exploring East and Southeast Asia. South Korea, China, the Philippines, Thailand, and Vietnam are all accessible for extended travel or weekend getaways.

Cons

While these drawbacks won't affect everyone equally, they can significantly impact your retirement experience in Japan.

a) Complex Japanese bureaucracy

Japanese bureaucracy is notoriously intricate and demanding. Anyone who has navigated the long-term visa process knows how exacting the administrative requirements can be—from registering your residency to enrolling in the healthcare system upon arrival. The process becomes even more challenging when you're trying to apply for visas from abroad, dealing with time zone differences and document requirements.

Even once you're in Japan, the bureaucratic maze continues. Many procedures require specific terminology and precise documentation, making what should be simple tasks surprisingly complicated.

b) High cost of living

While Japan's overall cost of living can be reasonable, housing costs tell a different story, particularly in urban areas. The country's limited space drives up real estate prices significantly, making it expensive to find suitable housing. This is especially true if you're looking for the spacious living arrangements that many retirees prefer.

The rent-versus-buy decision becomes more complex in Japan, where properties typically depreciate rather than appreciate over time, unlike many Western markets.

c) The language barrier

Although it's possible to live in Japan without speaking Japanese, retirement here becomes much smoother with at least conversational skills. While major cities offer English signage and some English-speaking services, daily life—from medical appointments to utility issues—often requires Japanese communication. This language gap can leave retirees feeling isolated or dependent on others for routine tasks.

How does retirement in Japan work?

To understand how retirement works in Japan, you'll need to know how the Japanese pension works.

What is the retirement age in Japan?

The retirement age in Japan is typically 65 years old, where individuals can start receiving their public pension benefits from the Japanese government.

An overview of the Japanese pension system

The Japanese pension system, known as nenkin 年金, provides retirement support managed by the Japanese government, with the retirement age at 65.

It operates similarly to social security systems in various Western countries in that you need to contribute to the Japanese pension system for a number of years to gain benefits.

In general, the two main pension types in Japan are the following:

• Employee Pension Insurance (kosei nenkin) for Japanese company employees.

• National Pension (kokumin nenkin) for self-employed individuals and others not covered by the other.

Pension payments once you reach retirement age depend on different factors such as the number of years contributed and the average income during the contribution period when retiring in Japan.

Pension Type	Monthly Contribution	Benefits Start	Average Monthly Benefit	Eligibility
National Pension	¥16,590	Age 65	¥64,816	All residents 20-59
Employee Pension	~18% of salary	Age 65	¥147,927	Company employees
iDeCo (Additional)	Up to ¥68,000	Age 60-70	Varies	Anyone with income

Additional retirement savings options in Japan

The government has been encouraging its citizens to prepare additional retirement investment or some other source of retirement income to help supplement the national pension plan.

While not classified as a traditional pension like the Employee Pension Insurance (kosei nenkin) or National Pension (kokumin nenkin), foreign residents can look into having a NISA, Tsumitate NISA, or iDeCo account.

These additional investing accounts will offer greater flexibility and control over your retirement planning vs only relying on the traditional pension system.

Does Japan offer a retirement visa?

Unfortunately, Japan does not offer a retirement visa. So foreigners need to consider various long-term visas to retire in Japan.

Japan retirement visa options

Visa Type	Duration	Work Rights	Path to PR	Key Requirements
Tourist	90 days	No	No	Valid passport only
Spousal	1-5 years	Yes	Yes	Marriage certificate
Highly Skilled Professional	1-5 years	Yes	Yes (fast)	Points system, income proof
Long-term Resident	Varies	Yes	Yes	Special circumstances
Student	1-2 years	Limited	Yes	School enrollment

a) Short-term tourist visas.

Japan doesn't offer a dedicated retirement visa, but many countries' citizens can visit for up to 90 days without a visa, depending on their passport. This tourist status allows retirees to experience living in Japan temporarily, though with significant limitations.

Under this arrangement, you won't be eligible for Japanese pension benefits, can't obtain a residence card, and must pay full price for any healthcare services—which can be quite expensive. These 90-day stays essentially function as extended vacations rather than true retirement, and you'll need to leave the country when your tourist period expires.

While this approach lets you test the waters of retirement life in Japan, it's more of a temporary solution than a sustainable long-term retirement strategy.

b) Turn a long-term visa into a permanent residency in Japan.

Most long-term visas, such as work or highly skilled professional visas, have a set amount of years where your residence card will need to be renewed each time.

If you stay in Japan long enough, you can apply for a permanent residency visa to live in Japan indefinitely, which allows retirement to be an option.

c) Obtain a spousal visa.

If you're married to a Japanese citizen or permanent resident, the spousal visa offers one of the most straightforward paths to retirement in Japan. This visa allows you to live and work in the country legally, giving you the flexibility to either continue working or transition into retirement.

The spousal visa provides the legal foundation for establishing long-term residence, making it much easier to access healthcare, open bank accounts, and handle other aspects of daily life that temporary visitors cannot. This stability makes it a viable option for those seeking to retire in Japan through family connections.

What are the requirements for retirement in Japan?

Regardless of which visa pathway you choose, foreign retirees must meet several key requirements to live in Japan long-term:

Financial independence: You must demonstrate sufficient income or savings to support yourself and any dependents throughout your stay. This typically requires bank statements, pension documentation, or proof of other reliable income sources that meet Japan's financial thresholds.

Valid health insurance: You'll need comprehensive health coverage, either through international insurance when arriving from abroad or by enrolling in Japan's National Health Insurance system once you establish residency.

Clean criminal record: A criminal background check from your home country is required, along with official translations into Japanese. This document must be recent and properly authenticated.

Additional requirements:

• Passport validity of at least six months beyond your intended stay

• Completed visa application with supporting documents translated into Japanese

• Proof of accommodation in Japan, whether rental agreements or hotel reservations

• Medical examination may be required depending on your visa type and country of origin

• Sponsor documentation if applicable, such as marriage certificates for spousal visas or employment letters for work-based visas

The specific documentation and financial thresholds vary depending on your chosen visa category and nationality, so it's essential to check with the Japanese consulate in your home country for detailed requirements.

Housing in Japan for retirement

Japan's housing market presents a mixed picture for retirees. According to Numbeo data, rental costs are notably lower—about 33% less than in the United States, making renting an attractive option for many retirees.

However, property ownership tells a different story. Japanese apartments cost significantly more to purchase: 107% higher in cities and 58% higher in rural areas compared to the US. More importantly, Japanese properties depreciate over time rather than appreciate like American real estate, fundamentally changing the investment equation for retirement planning.

This depreciation does create unique opportunities, particularly with akiya—abandoned houses that can be purchased at lower cost and renovated to your specifications. These properties offer an affordable path to homeownership, though they often require substantial renovation work.

Choosing your retirement location

The decision between city and countryside living depends entirely on your priorities and lifestyle preferences.

Urban living

Cities offer the infrastructure that many retirees value most. You'll have easy access to quality healthcare facilities for both routine care and specialized treatments—a crucial consideration as you age. The cultural richness of urban areas means endless opportunities for entertainment, from museums and galleries to theaters and restaurants.

Cities also provide better social connections and networking opportunities, helping combat the isolation that can affect retirees. Public transportation systems make getting around easier without needing to drive.

Rural living (inaka)

Japan's countryside offers a completely different retirement experience centered on community and nature. Rural neighbors often become close friends quickly, creating a supportive network that provides both practical help and social connection.

You'll have access to incredibly fresh, often locally-grown produce and a slower pace of life that many find appealing. Don't worry about boredom—Japan's numerous seasonal festivals provide regular opportunities for community celebration, featuring local food, music, and traditional performances.

The middle ground

For those seeking balance, medium-sized cities like Fukuoka offer urban conveniences with a more relaxed atmosphere, combining the best of both worlds without the intensity of major metropolitan areas or the isolation of remote rural living.

Location	Monthly Rent (2BR)	Purchase Price (2BR)	Property Taxes	Annual Depreciation
Tokyo	¥150,000-300,000	¥50-100 million	1.4%	3-5%
Osaka	¥100,000-200,000	¥30-60 million	1.4%	3-5%
Fukuoka	¥80,000-150,000	¥20-40 million	1.4%	3-5%
Rural	¥40,000-80,000	¥5-20 million	1.4%	5-10%

Finances for retiring in Japan

Your retirement dream in Japan is within reach, but proper financial planning is essential. Given the complexity of international tax obligations, consulting with a tax professional who specializes in expat finances is strongly recommended to ensure compliance with all requirements.

How much money do you need to retire in Japan?

There's no one-size-fits-all retirement budget for Japan, as costs vary dramatically based on location and lifestyle choices. To estimate your needs, calculate monthly expenses across key categories: housing, food, healthcare, transportation, travel, and entertainment.

The following table shows average costs for a single person living in various parts of Japan.

Location Type	Housing	Daily Expenses	Healthcare	Total Monthly
Tokyo (Urban)	¥120,000-200,000	¥85,000-145,000	¥8,000-15,000	¥213,000-360,000
Osaka (Urban)	¥80,000-150,000	¥67,000-120,000	¥8,000-15,000	¥160,000-285,000
Fukuoka (Mid-size)	¥60,000-100,000	¥58,000-100,000	¥8,000-15,000	¥126,000-215,000
Rural Areas	¥30,000-70,000	¥48,000-82,000	¥8,000-15,000	¥86,000-167,000

Your total cost of living in Japan may be higher, lower, or similar to your home country depending on where you choose to live and your spending habits. Urban areas like Tokyo will require significantly more than rural locations, while your lifestyle preferences will ultimately determine whether Japan is financially feasible for your retirement.

Understanding tax obligations

Japan's tax system for retirees involves multiple considerations, including your residency status, income sources, and international obligations. The complexity increases when you have US-based income, 401(k) accounts, foreign investments, and other international financial assets.

Non-Permanent Residents (less than 5 years in Japan) face relatively straightforward tax obligations. You'll pay Japanese taxes only on Japanese-sourced income and any foreign income you bring into the country, plus annual residence tax. This status can make retirement more financially manageable initially.

Permanent Residents face broader tax obligations, paying Japanese taxes on all worldwide income including pensions, investments, and other income sources regardless of origin. This comprehensive taxation significantly impacts retirement financial planning.

Other income tax considerations

Japan taxes various retirement income sources including pensions, global income, and withdrawals from tax-deferred investments. US citizens must continue filing US tax returns annually, creating dual tax obligations.

While the US-Japan tax treaty prevents double taxation, you must still report all foreign assets and income on both countries' tax returns. This reporting requirement adds complexity and potential penalties for non-compliance.

Estate and gift taxes

Japan imposes inheritance (zoyozei), estate, and gift taxes when you receive money or property. Tax amounts vary based on the value received and your relationship to the giver, with recipients typically responsible for paying these taxes.

These taxes can significantly impact your estate planning and any financial gifts you plan to give or receive during retirement.

​​​Frequently asked questions

​​Can I retire in Japan as a foreigner?

Yes, foreigners can retire in Japan. While there is no retirement visa for Japan, long-term visas offer a way for expat retirees to stay in the country.

Do retirees pay taxes in Japan?

If you are an American retiree, your American retirement account is taxable. So, you need to report any annual interest, dividends, and gains to the Japanese tax system. American expatriates have Foreign Tax Credits (FTCs), which provide a tax credit or deduction to reduce the tax burden during retirement abroad.

How does retirement work in Japan?

Retirement in Japan includes pensions, investments, and savings for any retiree lifestyle. The government provides a pension, which operates similarly to the US Social Security.

Can you retire in Japan?

Yes, it is possible to retire in Japan as a foreigner. Even though Japan does not offer a retirement visa, having a long-term visa allows you to stay in Japan during your retirement.

What long-term visa options are most realistic for retirees without family in Japan?

If you don’t have a Japanese spouse or job offer, the most viable options are the Long-Term Resident visa (teijūsha)—which may apply to people of Japanese descent or those with unique circumstances—or securing a highly skilled professional visa through self-employment, investment, or consulting. These paths require strong financial documentation and, in some cases, sponsorship.

Can I retire in Japan using a student visa or language school visa to stay longer?

While it’s technically possible to stay longer in Japan using a student visa, using it purely as a loophole to live in Japan without studying full-time is not advisable and could jeopardize future visa eligibility. Immigration officials may scrutinize such usage, especially for older applicants.

How do I access healthcare in Japan as a retiree?

Once you become a resident, you are generally required to join the National Health Insurance (NHI) system. This provides 70% coverage for most medical costs. If you’re not a resident, you’ll need private international health insurance, which can be expensive. Make sure your visa type allows enrollment in NHI before moving.

Is it possible to retire part-time in Japan?

Yes. Some retirees choose a "semi-retirement" lifestyle by staying in Japan for part of the year using tourist visas or short-term stay arrangements. However, this requires careful visa planning to avoid overstaying or violating immigration laws. Note that Japan doesn’t permit "visa runs" as easily as some Southeast Asian countries.

Do I need to speak Japanese to retire in Japan comfortably?

You don’t need to be fluent, but basic conversational Japanese significantly improves your quality of life—especially for medical visits, real estate matters, or emergencies. Many expats take language classes or use apps to build daily-use vocabulary over time.

Can I bring my pet to Japan if I retire there?

Yes, but Japan has strict animal import regulations. You’ll need to comply with requirements such as microchipping, vaccinations, and quarantine procedures (usually 180 days preparation for dogs/cats). Plan this months in advance to ensure your pet can travel with you without delays.

What happens if I need long-term care as a retiree in Japan?

Foreigners enrolled in the national insurance system for at least ten years may qualify for Japan’s Long-Term Care Insurance (Kaigo Hoken) once they turn 65. Without that, long-term care options are limited and costly, so private coverage or personal savings are essential if you plan to age in place.

Can I buy property in Japan as a foreign retiree?

Yes, Japan allows foreigners to own property outright, including land. However, it doesn’t grant any visa or residency privileges. Be prepared for strict mortgage approval standards, limited financing, and additional taxes such as fixed asset tax and city planning tax.

What happens to my Japanese pension contributions if I leave Japan?

If you contribute to Japan’s National Pension system but eventually leave Japan permanently, you may be eligible for a Lump-Sum Withdrawal Payment within two years of departure. The amount depends on the length of contributions and type of coverage. Note: You may forfeit future pension payouts if you claim this.

Is retiring in Japan cheaper than retiring in my home country?

This depends on your lifestyle and home country. Compared to the U.S., Japan offers affordable healthcare and lower crime, but housing (especially in cities), taxes, and imported goods can be pricey. In general, rural Japan is much cheaper, but urban convenience comes at a premium.

In closing

Choosing to retire in Japan as a foreigner offers a unique living style that will be different from retirement in your home country.

Although a Japan retirement visa does not exist, there are many options to make retirement in Japan possible, it is possible to just stay in Japan as a tourist during your retirement. 

With careful planning and financial preparations, expatriates will have a fulfilling retirement in Japan.