Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
1,070,660 円
Income Tax
- 187,248 円
National Surtax
- 3,932 円
Health Insurance
- 52,676 円
Pension
- 59,475 円
Unemployment insurance
- 3,212 円
Total tax
- 306,544 円
Net pay
* 764,116 円
Marginal tax rate
37.1%
Average tax rate
28.6%
71.4%
Net pay
28.6%
Total tax
Total tax
Net pay
The Taxberg
764,116 円
Net pay
118,736 円
Tax the employer pays
306,544 円
Tax you pay
Total tax paid
425,280 円
Did you know your employer also pays tax on your salary? It costs the employer 118,736 円 to pay you 1,070,660 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
35.8%
So, with you and the employer both paying tax, what used to be a 28.6% tax rate now rises to 35.8%, meaning your real tax rate is actually 7.2% higher than what it seemed at first.
Summary
If you make 12,847,920 円 a year living in Japan, you will be taxed 3,678,522 円. That means that your net pay will be 9,169,398 円 per year, or 764,116 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 37.15 円, hence, your net pay will only increase by 62.85 円.
Bonus Example
A 1,000 円 bonus will generate an extra 629 円 of net incomes. A 5,000 円 bonus will generate an extra 3,143 円 of net incomes.
North America
Country 
Net pay
Average tax
Rank
USA
JPY 9431605
26.6%
1
Canada
JPY 8754757
31.9%
2
Middle East
Country 
Net pay
Average tax
Rank
United Arab Emirates
JPY 12205524
5.0%
1
Qatar
JPY 12205524
5.0%
2
Bahrain
JPY 11820085
8.0%
3
Oman
JPY 11820087
8.0%
4
Saudi Arabia
JPY 11563128
10.0%
5
Kuwait
JPY 11530219
10.3%
6
Egypt
JPY 9678425
24.7%
7
Lebanon
JPY 9665035
24.8%
8
Israel
JPY 9133363
28.9%
9
Turkey
JPY 7512221
41.5%
10
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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.