The country's population decline accelerated. The natural decrease, which is the difference between births and deaths, reached 899,845 people, setting a record high for the 18th consecutive year. In Japan, rapid population aging and declining birth rates threaten to further distort its social security system, which relies on contributions by the current generation of workers. This is because future projections for pension finances and care costs are based on the IPSS's medium projection. The pension fiscal verification presented in 2024 by the Ministry of Health, Labor and Welfare also uses the medium projection. If Japan's economic conditions continue as they have over the past three decades, the income replacement rate -- the pension benefit amount relative to the average take-home pay of current workers -- would fall by 10 percentage points to 50.4% from current levels.