iDeCo Practicalities

[Gareth]

Hi. I am thinking of setting up an iDeCo with Monex. Just got a few questions about the practicalities.

1. Am I right that you can't pay your monthly amount by credit card?

2. If not, can they take the money out of my bank account automatically each month or do I have to do a manual bank transfer? Am hoping to link it to my Mizuho account.

3. If they can take the money automatically, can I choose which day of the month the money is taken out?

4. If I can link it to my Mizuho, I have that registered with my names the wrong way round and without a middle name. It's registered as "Gareth Surname" not "Surname Gareth Middle". Would that work? Could I register at Monex as "Gareth Surname" instead of "Surname Gareth" or "Surname Gareth Middle"?

5. I'm self-employed and do my own tax return each year. Am I better off signing up for a tax-reporting account 特定口座 or an ordinary account 一 般口座?

Thanks for your help!

[Kanto]

Hi. I am thinking of setting up an iDeCo with Monex. Just got a few questions about the practicalities.

1. Am I right that you can't pay your monthly amount by credit card?

2. If not, can they take the money out of my bank account automatically each month or do I have to do a manual bank transfer? Am hoping to link it to my Mizuho account.

3. If they can take the money automatically, can I choose which day of the month the money is taken out?

4. If I can link it to my Mizuho, I have that registered with my names the wrong way round and without a middle name. It's registered as "Gareth Surname" not "Surname Gareth Middle". Would that work? Could I register at Monex as "Gareth Surname" instead of "Surname Gareth" or "Surname Gareth Middle"?

5. I'm self-employed and do my own tax return each year. Am I better off signing up for a tax-reporting account 特定口座 or an ordinary account 一 般口座?

Thanks for your help!

1. Bank account only, correct.

2. Yes, you need to link your account when you apply.

3. I believe by default it was set to withdraw on the 28th. I cannot remember if it can be changed or not.

4. The names issue is hit or miss. It depends on the broker, your bank and JiS&T, the company that runs iDeco. I had no issues with Rakuten and Yucho. I wish you good luck with this.

5. A tax reporting account is almost always the right choice. iDeco however is different. They will send you a slip at the end of the year to present with your tax filing.

[RetireJapan]

Not much to add (thanks Kanto!).

The tax-reporting or ordinary refers to your taxable account. For most people tax-reporting is the easy option. You would use this account to invest in if you max out your iDeCo and NISA and still have extra money to put away

[adamu]

Just one clarification. 特定口座 is not only a tax-reporting account, it's also a tax-taking account. As in, they will automatically deduct dividend and capital gains tax for transactions in that account.

As Kanto said, that question is not about the iDeCo account, which is not subject to taxation, but for the trading account you're opening at the same time.

[mule96]

Just one clarification. 特定口座 is not only a tax-reporting account, it's also a tax-taking account. As in, they will automatically deduct dividend and capital gains tax for transactions in that account.

Some Broker difference between 特定口座 (源泉徴収あり) and 特定口座 (源泉徴収なし)、with the former witholding the tax and the latter just making a year end tax report without with holding it.

[Gareth]

Thanks everyone. Here’s hoping for a smooth process!