RetireJapan

Is it mandatory to purchase say 100,000 yen per month for 12 months, or say 200,000 yen per month for 6 months to max out a 1,200,000 yen tsumitate NISA allowance?

Or can I simply purchase 1,200,000 yen worth of some suitable fund without thinking about dollar cost averaging or whatnot? I'm wondering about this because if I were to buy say a world index fund there, one thing that seems pretty certain is that the yen will keep on weakening and will buy less and less of the fund unless BOJ hikes the interest rate significantly?

It is mandatory to have a monthly order. You can set it to 100 yen a month and then buy the rest via the 'bonus' feature.

But why bother? Easiest thing is just to set the monthly limit as high as you can. In 10-20 years time I doubt you'll remember what you did.

There a feature for bonus months? That's so clever! It's good to know even though setting it as high as it would go and leaving it on auto pilot is also something to think about.

ChapInTokyo wrote: ↑Mon Apr 15, 2024 12:38 am There a feature for bonus months? That's so clever! It's good to know even though setting it as high as it would go and leaving it on auto pilot is also something to think about.

Not Bonus Months...

Bonus Contributions. Japanese get two bonuses a year, but you can add a bonus contribution any time you like, subject to the following limit...

Do you have any available Lifetime Limit Capacity up to the Lifetime Limit of Y18M? If yes,
(right now not an issue, but will become an issue when the get close to the Lifetime Limit of Y18M sometime in the future)

Do you have any available Annual Limit Capacity up to the Annual Limit of Y1.2M, after taking into consideration all Tsumitate Contributions scheduled to the end of the year? If yes,

Then you can make (a) Bonus contribution(s) any time during the year, up to the amount of the Annual Limit of Y1.2M minus the Sum of all Tsumitate Contributions scheduled to the end of the year minus any previous Bonus contributions made in the same year.

Tkydon wrote: ↑Mon Apr 15, 2024 5:31 am Japanese get two bonuses a year, but you can add a bonus contribution any time you like, subject to the following limit...

What's the source for the Japanese/non-Japanese difference? I don't believe NISA cares about nationality.

adamu wrote: ↑Mon Apr 15, 2024 6:08 am

Tkydon wrote: ↑Mon Apr 15, 2024 5:31 am Japanese get two bonuses a year, but you can add a bonus contribution any time you like, subject to the following limit...

What's the source for the Japanese/non-Japanese difference? I don't believe NISA cares about nationality.

I think Tkydon meant that, in Japan, salaried workers (usually) get 2 bonuses per year -- making note of possible cultural/work differences from other countries.

cocacola wrote: ↑Mon Apr 15, 2024 8:13 am

adamu wrote: ↑Mon Apr 15, 2024 6:08 am

Tkydon wrote: ↑Mon Apr 15, 2024 5:31 am Japanese get two bonuses a year, but you can add a bonus contribution any time you like, subject to the following limit...

What's the source for the Japanese/non-Japanese difference? I don't believe NISA cares about nationality.

I think Tkydon meant that, in Japan, salaried workers (usually) get 2 bonuses per year -- making note of possible cultural/work differences from other countries.

Ah right. Income bonuses vs. NISA bonus contributions, makes sense. On SBI at least, you can make two bonus contributions a year.

RetireJapan wrote: ↑Mon Apr 15, 2024 12:11 am It is mandatory to have a monthly order. You can set it to 100 yen a month and then buy the rest via the 'bonus' feature.

On SBI, I managed to cancel/delete my monthly order in eMaxis Slim All Country on Tsumitate NISA for April since it exceeded my target allocations. Does this mean I will receive a notification next month reminding me to make a contribution?

styxomaniac wrote: ↑Wed Apr 17, 2024 7:26 am
On SBI, I managed to cancel/delete my monthly order in eMaxis Slim All Country on Tsumitate NISA for April since it exceeded my target allocations. Does this mean I will receive a notification next month reminding me to make a contribution?

No, there is no obligation/expectation to make any NISA purchase. If you don't have a monthly allocation set up you will need to remember to do that yourself.

RetireJapan wrote: ↑Wed Apr 17, 2024 7:57 am

styxomaniac wrote: ↑Wed Apr 17, 2024 7:26 am
On SBI, I managed to cancel/delete my monthly order in eMaxis Slim All Country on Tsumitate NISA for April since it exceeded my target allocations. Does this mean I will receive a notification next month reminding me to make a contribution?

No, there is no obligation/expectation to make any NISA purchase. If you don't have a monthly allocation set up you will need to remember to do that yourself.

If that is the case, then a monthly order is not mandatory, as you said.