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Page version: 2026-08-16 | Official or primary sources are preferred for material rules and figures. AI may assist structure, translation, and code, but is not used as the sole factual source.
Table of contents
- First: Labor Insurance is not Labor Pension
- Old-system service is employer-specific
- Common old-system retirement conditions
- How the old-system formula works
- The new system uses an individual pension account
- Employer contribution is at least 6%
- When new-system benefits can be claimed
- Switching systems can preserve qualifying old service
- How to check which system applies to you
- What always needs current official verification
A common Taiwan retirement mistake is confusing Labor Insurance with the old/new Labor Pension systems. The old/new distinction applies to Labor Pension, not Labor Insurance. This guide explains eligibility, employer contributions, service years, claim rules, and common misunderstandings.
First: Labor Insurance is not Labor Pension
Labor Insurance is social insurance. Labor Pension is the retirement system. The old/new distinction applies to Labor Pension.
Old-system service is employer-specific
Old-system benefits depend heavily on service years with the same enterprise and statutory retirement conditions.
Common old-system retirement conditions
Examples include 15 years of service plus age 55, 25 years of service, or 10 years of service plus age 60.
How the old-system formula works
The first 15 service years use two bases per year, later years one base per year, capped at 45 bases. The base is not the Labor Insurance insured salary.
The new system uses an individual pension account
Employer contributions are deposited into a portable account that follows the worker across jobs.
Employer contribution is at least 6%
Employers must contribute at least the statutory percentage; workers may also make voluntary contributions under current rules.
When new-system benefits can be claimed
Age 60 is the general claim threshold, with lump-sum or monthly options depending on contribution years and current law.
Switching systems can preserve qualifying old service
Changing to the new system does not necessarily erase qualifying old-system service years.
How to check which system applies to you
Use the BLI e-service portal, employer records, and your individual pension account history.
What always needs current official verification
Retirement conditions, voluntary contributions, claim methods, and special transitional rules can change and should be confirmed with MOL/BLI.
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