Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
1,064,526 円
Income Tax
- 185,329 円
National Surtax
- 3,892 円
Health Insurance
- 52,375 円
Pension
- 59,475 円
Unemployment insurance
- 3,194 円
Total tax
- 304,264 円
Net pay
* 760,262 円
Marginal tax rate
37.2%
Average tax rate
28.6%
71.4%
Net pay
28.6%
Total tax
Total tax
Net pay
The Taxberg
760,262 円
Net pay
118,397 円
Tax the employer pays
304,264 円
Tax you pay
Total tax paid
422,661 円
Did you know your employer also pays tax on your salary? It costs the employer 118,397 円 to pay you 1,064,526 円. In other words, every time you spend 10 円 of your hard-earned money, 3.97 円 goes to the government.
Real tax rate
35.7%
So, with you and the employer both paying tax, what used to be a 28.6% tax rate now rises to 35.7%, meaning your real tax rate is actually 7.1% higher than what it seemed at first.
Summary
If you make 12,774,312 円 a year living in Japan, you will be taxed 3,651,174 円. That means that your net pay will be 9,123,138 円 per year, or 760,262 円 per month. Your average tax rate is 28.6% and your marginal tax rate is 37.2%. This marginal tax rate means that your immediate additional income will be taxed at this rate. For instance, an increase of 100 円 in your salary will be taxed 37.16 円, hence, your net pay will only increase by 62.84 円.
Bonus Example
A 1,000 円 bonus will generate an extra 628 円 of net incomes. A 5,000 円 bonus will generate an extra 3,142 円 of net incomes.
Compare average tax
North America
Country 
Net pay
Average tax
Rank
USA
JPY 9384347
26.5%
1
Canada
JPY 8713101
31.8%
2
Latin America
Country 
Net pay
Average tax
Rank
Guatemala
JPY 11425760
10.6%
1
Chile
JPY 10224237
20.0%
2
Costa Rica
JPY 10088586
21.0%
3
Puerto Rico
JPY 9583849
25.0%
4
Panama
JPY 9550241
25.2%
5
Colombia
JPY 9355140
26.8%
6
Brazil
JPY 9347740
26.8%
7
Ecuador
JPY 9309580
27.1%
8
Uruguay
JPY 9259862
27.5%
9
Peru
JPY 9036910
29.3%
10
Mexico
JPY 8879442
30.5%
11
Argentina
JPY 8302232
35.0%
12
Show more
Middle East
Country 
Net pay
Average tax
Rank
United Arab Emirates
JPY 12135596
5.0%
1
Qatar
JPY 12135596
5.0%
2
Bahrain
JPY 11752366
8.0%
3
Oman
JPY 11752366
8.0%
4
Saudi Arabia
JPY 11496881
10.0%
5
Kuwait
JPY 11462867
10.3%
6
Egypt
JPY 9623219
24.7%
7
Lebanon
JPY 9609829
24.8%
8
Israel
JPY 9091259
28.8%
9
Turkey
JPY 7469351
41.5%
10
Show more
NOTE* Withholding is calculated based on the tables of Japan, income tax. For simplification purposes some variables (such as marital status and others) have been assumed. This document does not represent legal authority and shall be used for approximation purposes only.