Salary rate
Annual
Month
Semimonthly
Weekly
Day
Hour
Withholding
Salary
973,440 円
Income Tax
- 156,840 円
National Surtax
- 3,294 円
Health Insurance
- 47,893 円
Pension
- 59,475 円
Unemployment insurance
- 2,920 円
Total tax
- 270,422 円
Net pay
* 703,018 円
Marginal tax rate
37.1%
Average tax rate
27.8%
72.2%
Net pay
27.8%
Total tax
Total tax
Net pay
The Taxberg
703,018 円
Net pay
113,355 円
Tax the employer pays
270,422 円
Tax you pay
Total tax paid
383,777 円
Did you know your employer also pays tax on your salary? It costs the employer 113,355 円 to pay you 973,440 円. In other words, every time you spend 10 円 of your hard-earned money, 3.94 円 goes to the government.
Real tax rate
35.3%
So, with you and the employer both paying tax, what used to be a 27.8% tax rate now rises to 35.3%, meaning your real tax rate is actually 7.5% higher than what it seemed at first.
Summary
If you make 11,681,280 円 a year living in Japan, you will be taxed 3,245,066 円. That means that your net pay will be 8,436,214 円 per year, or 703,018 円 per month. Your average tax rate is 27.8% and your marginal tax rate is 37.2%. 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 37.15 円, hence, your net pay will only increase by 62.85 円.
Bonus Example
A 1,000 円 bonus will generate an extra 629 円 of net incomes. A 5,000 円 bonus will generate an extra 3,143 円 of net incomes.
Compare average tax
North America
Country 
Net pay
Average tax
Rank
USA
JPY 8683979
25.7%
1
Canada
JPY 8093583
30.7%
2
Latin America
Country 
Net pay
Average tax
Rank
Guatemala
JPY 10458338
10.5%
1
Chile
JPY 9463487
19.0%
2
Costa Rica
JPY 9305975
20.3%
3
Puerto Rico
JPY 8935134
23.5%
4
Panama
JPY 8820642
24.5%
5
Ecuador
JPY 8666247
25.8%
6
Brazil
JPY 8555292
26.8%
7
Colombia
JPY 8532634
27.0%
8
Uruguay
JPY 8481897
27.4%
9
Peru
JPY 8367428
28.4%
10
Mexico
JPY 8163498
30.1%
11
Argentina
JPY 7591761
35.0%
12
Show more
Middle East
Country 
Net pay
Average tax
Rank
United Arab Emirates
JPY 11097216
5.0%
1
Qatar
JPY 11097216
5.0%
2
Bahrain
JPY 10746776
8.0%
3
Oman
JPY 10746779
8.0%
4
Saudi Arabia
JPY 10513152
10.0%
5
Kuwait
JPY 10462748
10.4%
6
Egypt
JPY 8803445
24.6%
7
Lebanon
JPY 8790055
24.8%
8
Israel
JPY 8466045
27.5%
9
Turkey
JPY 6832758
41.5%
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.