Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
1,556,800 円
Income Tax
- 350,087 円
National Surtax
- 7,352 円
Health Insurance
- 67,874 円
Pension
- 59,475 円
Unemployment insurance
- 4,670 円
Total tax
- 489,459 円
Net pay
* 1,067,341 円
Marginal tax rate
38.4%
Average tax rate
31.4%
68.6%
Net pay
31.4%
Total tax
Total tax
Net pay
The Taxberg
1,067,341 円
Net pay
136,897 円
Tax the employer pays
489,459 円
Tax you pay
Total tax paid
626,356 円
Did you know your employer also pays tax on your salary? It costs the employer 136,897 円 to pay you 1,556,800 円. In other words, every time you spend 10 円 of your hard-earned money, 4.02 円 goes to the government.
Real tax rate
37.0%
So, with you and the employer both paying tax, what used to be a 31.4% tax rate now rises to 37.0%, meaning your real tax rate is actually 5.6% higher than what it seemed at first.
Summary
If you make 18,681,600 円 a year living in Japan, you will be taxed 5,873,507 円. That means that your net pay will be 12,808,093 円 per year, or 1,067,341 円 per month. Your average tax rate is 31.4% 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.
North America
Country 
Net pay
Average tax
Rank
USA
JPY 13081189
30.0%
1
Canada
JPY 11977840
35.9%
2
Latin America
Country 
Net pay
Average tax
Rank
Guatemala
JPY 16654189
10.9%
1
Costa Rica
JPY 14283578
23.5%
2
Chile
JPY 14131100
24.4%
3
Colombia
JPY 13708087
26.6%
4
Uruguay
JPY 13650736
26.9%
5
Brazil
JPY 13630524
27.0%
6
Panama
JPY 13493356
27.8%
7
Puerto Rico
JPY 13089825
29.9%
8
Mexico
JPY 12778252
31.6%
9
Ecuador
JPY 12756272
31.7%
10
Peru
JPY 12655124
32.3%
11
Argentina
JPY 12141969
35.0%
12
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Middle East
Country 
Net pay
Average tax
Rank
United Arab Emirates
JPY 17747520
5.0%
1
Qatar
JPY 17747520
5.0%
2
Bahrain
JPY 17195025
8.0%
3
Oman
JPY 17187072
8.0%
4
Kuwait
JPY 17049572
8.7%
5
Saudi Arabia
JPY 16813440
10.0%
6
Egypt
JPY 14053685
24.8%
7
Lebanon
JPY 14040295
24.8%
8
Israel
JPY 12470228
33.3%
9
Turkey
JPY 10909814
41.6%
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.