Quick reference: net salary in Japan (single, Tokyo)
| Gross / year | Net / year | Net / month | Keep rate |
|---|---|---|---|
| ¥3,000,000 | ¥2,392,824 | ¥199,402 | 79.8% |
| ¥4,000,000 | ¥3,161,416 | ¥263,451 | 79.0% |
| ¥5,000,000 | ¥3,914,534 | ¥326,211 | 78.3% |
| ¥6,000,000 | ¥4,626,900 | ¥385,575 | 77.1% |
| ¥8,000,000 | ¥5,941,772 | ¥495,147 | 74.3% |
| ¥10,000,000 | ¥7,268,682 | ¥605,723 | 72.7% |
| ¥15,000,000 | ¥10,229,058 | ¥852,421 | 68.2% |
| ¥20,000,000 | ¥12,988,806 | ¥1,082,400 | 64.9% |
Assumptions: single, age 30, Tokyo, no bonus split, enrolled in company social insurance (Kyokai Kenpo).
The four deductions on a Japanese payslip
If you are new to working in Japan, your payslip (給与明細, kyūyo meisai) will show four main deductions:
- Health insurance (健康保険) — about 5% of your standard salary (half of ~10%; your employer pays the other half). Covers 70% of medical costs.
- Employees' pension (厚生年金) — 9.15% (again, employer matches it). Counts toward both the Japanese pension and, via totalization treaties, many home-country pensions.
- Employment insurance (雇用保険) — 0.55%. Funds unemployment benefits.
- Income tax (所得税) — progressive, 5% to 45%, withheld monthly and settled each December in the year-end adjustment (年末調整, nenmatsu chōsei) — Japan's automatic mini tax return. Most employees never need to file taxes themselves.
The resident tax surprise
The fifth deduction, resident tax (住民税) — roughly 10% of taxable income — is the one that catches foreigners out. It is billed one year in arrears: the income you earn this year is billed from next June. That means a pleasant first year with no resident tax, a noticeable pay cut in year two, and a final bill when you leave Japan for the income you earned before departing. Budget for it.
Why this calculator is more accurate than most
Health insurance and pension premiums in Japan are not a straight percentage of salary. Your monthly pay is mapped to one of 50 standard monthly remuneration grades (標準報酬月額), and premiums are charged on the grade, not the actual amount — with the pension grade capped at ¥650,000/month. This calculator implements the full grade table, plus the 2025 tax reform (basic deduction raised to ¥580,000–950,000, minimum salary deduction ¥650,000).
FAQ
How much of my salary do I take home in Japan?
Roughly 75–80% for most salaries. On a ¥5,000,000 salary a single person takes home about ¥3,910,000 (≈78%). The rate falls as income rises because income tax is progressive: at ¥10,000,000 you keep about 73%, and at ¥20,000,000 about 65%.
What is deducted from a Japanese salary?
Four things: health insurance (~5%), employees' pension (9.15%), employment insurance (0.55%) and income tax (5–45%, progressive). Resident tax (~10% of taxable income) is billed separately, one year in arrears, usually from your second year in Japan.
Why did I pay no resident tax in my first year in Japan?
Resident tax is calculated on your income from the previous calendar year and billed from June. If you had no income in Japan last year, there is nothing to bill. The flip side: after your salary starts, the bill follows you — including after you leave Japan, when the remaining balance can be collected in a lump sum.
Is a bonus taxed differently in Japan?
Bonuses are subject to the same social insurance and income tax, but pension premiums are capped at ¥1.5 million of bonus per payment, so a package weighted toward bonuses can have slightly lower total deductions. Any over- or under-withheld income tax is settled in the December year-end adjustment (nenmatsu chōsei).