Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
1,415,006 円
Income Tax
- 297,285 円
National Surtax
- 6,243 円
Health Insurance
- 67,731 円
Pension
- 59,475 円
Unemployment insurance
- 4,245 円
Total tax
- 434,979 円
Net pay
* 980,027 円
Marginal tax rate
38.4%
Average tax rate
30.7%
69.3%
Net pay
30.7%
Total tax
Total tax
Net pay
The Taxberg
980,027 円
Net pay
135,902 円
Tax the employer pays
434,979 円
Tax you pay
Total tax paid
570,881 円
Did you know your employer also pays tax on your salary? It costs the employer 135,902 円 to pay you 1,415,006 円. In other words, every time you spend 10 円 of your hard-earned money, 4.03 円 goes to the government.
Real tax rate
36.8%
So, with you and the employer both paying tax, what used to be a 30.7% tax rate now rises to 36.8%, meaning your real tax rate is actually 6.1% higher than what it seemed at first.
Summary
If you make 16,980,072 円 a year living in Japan, you will be taxed 5,219,750 円. That means that your net pay will be 11,760,322 円 per year, or 980,027 円 per month. Your average tax rate is 30.7% and your marginal tax rate is 38.4%. 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 38.42 円, hence, your net pay will only increase by 61.58 円.
Bonus Example
A 1,000 円 bonus will generate an extra 616 円 of net incomes. A 5,000 円 bonus will generate an extra 3,079 円 of net incomes.
Compare average tax
North America
Country 
Net pay
Average tax
Rank
USA
JPY 12047402
29.1%
1
Canada
JPY 11081020
34.7%
2
Latin America
Country 
Net pay
Average tax
Rank
Guatemala
JPY 15148199
10.8%
1
Costa Rica
JPY 13099601
22.9%
2
Chile
JPY 13025107
23.3%
3
Uruguay
JPY 12471968
26.6%
4
Colombia
JPY 12461643
26.6%
5
Brazil
JPY 12396916
27.0%
6
Panama
JPY 12357587
27.2%
7
Puerto Rico
JPY 12079967
28.9%
8
Ecuador
JPY 11784490
30.6%
9
Mexico
JPY 11655244
31.4%
10
Peru
JPY 11612938
31.6%
11
Argentina
JPY 11035976
35.0%
12
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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.