II. Summary of Social Security Expenditure, FY 2008


1.
Social Security Expenditure in fiscal year 2008 was 94,848.0 billion yen.

( i ) Of the three categories, Medical care was estimated at 29,611.7 billion yen, accounting for 31.5 percent of the total; Pensions was 49,544.3 billion yen for a total share of 52.7 percent. Welfare & Others was 14,928.9billion yen for a total share of 15.9 percent.
( ii ) Social Security Expenditure increased by 2.9 percent in fiscal year 2008. The percentage share of the National Income was 26.76 percent.
( iii ) Social Security Expenditure per head of population was estimated at 736,800 yen, and the average expenditure per household was 1,935,100 yen.


Table 1 Social Security Expenditure by category, fiscal years 2007 and 2008
Table1 Social Security Expenditure by category, fiscal years 2007 and 2008
Note: ( ) The ratio to the total is expressed as a percentage.

Table 2 Social Security Expenditure by category as a percentage of National Income
Table2 Social Security Expenditure by category as a percentage of National Income

Table 3 Social Security Expenditure per head of population and per household, fiscal years 2007 and 2008
Table3 Social Security Expenditure per head of population and per household, fiscal years 2007 and 2008
Note: 
Social Security Expenditure per household = (Total number of people in households/Total number of households) × Social Security Expenditure per head of population.

Figure 1 Social Security Expenditure by category, fiscal years 1970-2008
Figure1 Social Security Expenditure by category, fiscal years 1970-2008

2.
As can be seen in Table 4 below showing Social Security Expenditure by functional category, “Old age” heads the list with 50.2% of the total, followed by “Sickness and health” at 30.9%. These two functional categories make up approximately 81.1% of the entire Social Security Expenditure. The other functional categories and their percentages of the total are “Survivors” (7.0%), “Family benefits” (3.4%), “Invalidity benefits” (3.2%), “Social assistance and others” (2.5%), “Unemployment” (1.3%), “Employment injury” (1.0%) and “Housing” (0.4%).

Table 4 Social Security Expenditure by functional category, fiscal years 2007 and 2008
Table4 Social Security Expenditure by functional category, fiscal years 2007 and 2008
Notes:
1.
( ) The ratio to the total is expressed as a percentage.
2.
Refer to ‘Reference’ for more details about functional classifications.

Table 5 Social Security Expenditure by functional category as a percentage of National Income
Table5 Social Security Expenditure by functional category as a percentage of National Income

Figure 2 Social Security Expenditure by functional category, fiscal years 2004-2008
Figure2 Social Security Expenditure by functional category, fiscal years 2004-2008
3.
Social Security Expenditure for the elderly (i.e., retirement pensions, medical care for the aged, welfare services for the aged) was 65,359.7 billion yen. Its share of Social Security Expenditure was 69.5 percent.

Table 6 Social Security Expenditure for the elderly, fiscal years 2007 and 2008
Table6 Social Security Expenditure for the elderly, fiscal years 2007 and 2008
Notes:
1.
( ) The ratio to the total Social Security Expenditure is expressed as a percentage.
2.
The medical care expenditure in fiscal year 2007 consists of medical care benefits from the medical care system for the aged. Following the enforcement of the new medical care system for latter-stage elderly in April 2008, the medical care expenditure in fiscal year 2008 consists of medical care benefits paid under both the new system after April 2008 and the past system until March 2008.
3.
Health and medical services expenditure for the aged consists of expenditures concerning measures for care control, the welfare service expense not covered by long-term care insurance, etc.
 
4.
Elderly employment maintenance benefits provide those over 60 who, from the time of reaching 60 years of age, are to continue working with a pay cut of more than 25%, with the equivalent of 15% of their pay until they reach 65 years of age, with the aim of promoting the maintenance of employment and reemployment among people aged between 60 and 65.

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