Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
608,920 円
Income Tax
- 68,659 円
National Surtax
- 1,442 円
Health Insurance
- 29,959 円
Pension
- 55,716 円
Unemployment insurance
- 1,827 円
Total tax
- 157,602 円
Net pay
* 451,318 円
Marginal tax rate
31.8%
Average tax rate
25.9%
74.1%
Net pay
25.9%
Total tax
Total tax
Net pay
The Taxberg
451,318 円
Net pay
89,420 円
Tax the employer pays
157,602 円
Tax you pay
Total tax paid
247,022 円
Did you know your employer also pays tax on your salary? It costs the employer 89,420 円 to pay you 608,920 円. In other words, every time you spend 10 円 of your hard-earned money, 4.06 円 goes to the government.
Real tax rate
35.4%
So, with you and the employer both paying tax, what used to be a 25.9% tax rate now rises to 35.4%, meaning your real tax rate is actually 9.5% higher than what it seemed at first.
Summary
If you make 7,307,040 円 a year living in Japan, you will be taxed 1,891,227 円. That means that your net pay will be 5,415,813 円 per year, or 451,318 円 per month. Your average tax rate is 25.9% 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 31.85 円, hence, your net pay will only increase by 68.15 円.
Bonus Example
A 1,000 円 bonus will generate an extra 682 円 of net incomes. A 5,000 円 bonus will generate an extra 3,408 円 of net incomes.
Compare average tax
Europe
Country 
Net pay
Average tax
Rank
Russia
JPY 6357125
13.0%
1
Switzerland
JPY 6210105
15.0%
2
Hungary
JPY 5955238
18.5%
3
Ukraine
JPY 5882167
19.5%
4
United Kingdom
JPY 5703693
21.9%
5
Ireland
JPY 5641813
22.8%
6
France
JPY 5620619
23.1%
7
Czech Republic
JPY 5606265
23.3%
8
Norway
JPY 5469545
25.2%
9
Spain
JPY 5300261
27.5%
10
Luxembourg
JPY 5181388
29.1%
11
Sweden
JPY 5123072
29.9%
12
Austria
JPY 5075651
30.5%
13
Denmark
JPY 4922501
32.6%
14
Greece
JPY 4818551
34.1%
15
Germany
JPY 4652652
36.3%
16
Poland
JPY 4630044
36.6%
17
Netherlands
JPY 4598396
37.1%
18
Finland
JPY 4402779
39.8%
19
Italy
JPY 4345417
40.5%
20
Romania
JPY 4274618
41.5%
21
Portugal
JPY 4193419
42.6%
22
Belgium
JPY 3564208
51.2%
23
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North America
Country 
Net pay
Average tax
Rank
USA
JPY 5772307
21.0%
1
Canada
JPY 5216582
28.6%
2
Latin America
Country 
Net pay
Average tax
Rank
Guatemala
JPY 6586782
9.9%
1
Puerto Rico
JPY 6122236
16.2%
2
Costa Rica
JPY 6098429
16.5%
3
Chile
JPY 6023891
17.6%
4
Ecuador
JPY 5839888
20.1%
5
Panama
JPY 5781699
20.9%
6
Colombia
JPY 5608769
23.2%
7
Peru
JPY 5475147
25.1%
8
Brazil
JPY 5383968
26.3%
9
Mexico
JPY 5345773
26.8%
10
Uruguay
JPY 4996855
31.6%
11
Argentina
JPY 4748505
35.0%
12
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Middle East
Country 
Net pay
Average tax
Rank
United Arab Emirates
JPY 6941688
5.0%
1
Qatar
JPY 6941688
5.0%
2
Bahrain
JPY 6722479
8.0%
3
Oman
JPY 6722476
8.0%
4
Saudi Arabia
JPY 6576336
10.0%
5
Kuwait
JPY 6503268
11.0%
6
Israel
JPY 5756262
21.2%
7
Egypt
JPY 5522765
24.4%
8
Lebanon
JPY 5509375
24.6%
9
Turkey
JPY 4285157
41.4%
10
Show more
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.