Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
575,484 円
Income Tax
- 62,932 円
National Surtax
- 1,322 円
Health Insurance
- 28,314 円
Pension
- 52,657 円
Unemployment insurance
- 1,726 円
Total tax
- 146,951 円
Net pay
* 428,533 円
Marginal tax rate
31.9%
Average tax rate
25.5%
74.5%
Net pay
25.5%
Total tax
Total tax
Net pay
The Taxberg
428,533 円
Net pay
84,510 円
Tax the employer pays
146,951 円
Tax you pay
Total tax paid
231,461 円
Did you know your employer also pays tax on your salary? It costs the employer 84,510 円 to pay you 575,484 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
35.1%
So, with you and the employer both paying tax, what used to be a 25.5% tax rate now rises to 35.1%, meaning your real tax rate is actually 9.6% higher than what it seemed at first.
Summary
If you make 6,905,808 円 a year living in Japan, you will be taxed 1,763,412 円. That means that your net pay will be 5,142,396 円 per year, or 428,533 円 per month. Your average tax rate is 25.5% and your marginal tax rate is 31.9%. 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 31.86 円, hence, your net pay will only increase by 68.14 円.
Bonus Example
A 1,000 円 bonus will generate an extra 681 円 of net incomes. A 5,000 円 bonus will generate an extra 3,407 円 of net incomes.
North America
Country 
Net pay
Average tax
Rank
USA
JPY 5475439
20.7%
1
Canada
JPY 4946532
28.4%
2
Latin America
Country 
Net pay
Average tax
Rank
Guatemala
JPY 6231659
9.8%
1
Puerto Rico
JPY 5848823
15.3%
2
Costa Rica
JPY 5793192
16.1%
3
Chile
JPY 5678907
17.8%
4
Ecuador
JPY 5600035
18.9%
5
Panama
JPY 5478166
20.7%
6
Colombia
JPY 5341562
22.7%
7
Peru
JPY 5184549
24.9%
8
Brazil
JPY 5093074
26.3%
9
Mexico
JPY 5077559
26.5%
10
Uruguay
JPY 4753211
31.2%
11
Argentina
JPY 4487705
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.