Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
3,542,400 円
Income Tax
- 1,133,467 円
National Surtax
- 23,803 円
Health Insurance
- 68,388 円
Pension
- 59,475 円
Unemployment insurance
- 10,627 円
Total tax
- 1,295,760 円
Net pay
* 2,246,640 円
Marginal tax rate
45.9%
Average tax rate
36.6%
63.4%
Net pay
36.6%
Total tax
Total tax
Net pay
The Taxberg
2,246,640 円
Net pay
149,326 円
Tax the employer pays
1,295,760 円
Tax you pay
Total tax paid
1,445,086 円
Did you know your employer also pays tax on your salary? It costs the employer 149,326 円 to pay you 3,542,400 円. In other words, every time you spend 10 円 of your hard-earned money, 4.08 円 goes to the government.
Real tax rate
39.1%
So, with you and the employer both paying tax, what used to be a 36.6% tax rate now rises to 39.1%, meaning your real tax rate is actually 2.5% higher than what it seemed at first.
Summary
If you make 42,508,800 円 a year living in Japan, you will be taxed 15,549,123 円. That means that your net pay will be 26,959,677 円 per year, or 2,246,640 円 per month. Your average tax rate is 36.6% and your marginal tax rate is 45.9%. 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 45.86 円, hence, your net pay will only increase by 54.14 円.
Bonus Example
A 1,000 円 bonus will generate an extra 541 円 of net incomes. A 5,000 円 bonus will generate an extra 2,707 円 of net incomes.
Compare average tax
North America
Country 
Net pay
Average tax
Rank
USA
JPY 27213025
36.0%
1
Canada
JPY 23352871
45.1%
2
Asia / Pacific
Country 
Net pay
Average tax
Rank
Kazakhstan
JPY 37211251
12.5%
1
Hong Kong
JPY 35787444
15.8%
2
Singapore
JPY 34461099
18.9%
3
Thailand
JPY 29752654
30.0%
4
Taiwan
JPY 29383993
30.9%
5
Indonesia
JPY 29307902
31.1%
6
Pakistan
JPY 28318640
33.4%
7
Vietnam
JPY 27883258
34.4%
8
China
JPY 27752105
34.7%
9
New Zealand
JPY 27569437
35.1%
10
Malaysia
JPY 27517984
35.3%
11
Philippines
JPY 27473827
35.4%
12
Japan
JPY 26959677
36.6%
13
South Korea
JPY 26529882
37.6%
14
Australia
JPY 25487381
40.0%
15
India
JPY 21274421
50.0%
16
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Latin America
Country 
Net pay
Average tax
Rank
Guatemala
JPY 37743191
11.2%
1
Brazil
JPY 30905244
27.3%
2
Costa Rica
JPY 30277586
28.8%
3
Uruguay
JPY 30017680
29.4%
4
Colombia
JPY 29525108
30.5%
5
Panama
JPY 29398012
30.8%
6
Chile
JPY 29258896
31.2%
7
Mexico
JPY 28372802
33.3%
8
Puerto Rico
JPY 28357105
33.3%
9
Argentina
JPY 27629649
35.0%
10
Peru
JPY 27249284
35.9%
11
Ecuador
JPY 26348856
38.0%
12
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Africa
Country 
Net pay
Average tax
Rank
Angola
JPY 30951793
27.2%
1
Kenya
JPY 29834066
29.8%
2
Nigeria
JPY 28933596
31.9%
3
Ivory Coast
JPY 28821569
32.2%
4
Ghana
JPY 28272938
33.5%
5
Mozambique
JPY 27970765
34.2%
6
Zambia
JPY 26187811
38.4%
7
Morocco
JPY 26107272
38.6%
8
Cameroon
JPY 26070982
38.7%
9
Senegal
JPY 25681162
39.6%
10
South Africa
JPY 24909700
41.4%
11
Uganda
JPY 23929183
43.7%
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.