Japan Tax Calculator (2026)
Income tax rates and take-home pay for Japan
Using Tokyo for state/regional taxes. Region selection coming soon.
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Japan Income Tax Brackets (2025)
| Bracket | Income Range | Rate |
|---|---|---|
| 5% bracket | ¥0 - ¥1,950,000 | 5.0% |
| 10% bracket | ¥1,950,000 - ¥3,300,000 | 10.0% |
| 20% bracket | ¥3,300,000 - ¥6,950,000 | 20.0% |
| 23% bracket | ¥6,950,000 - ¥9,000,000 | 23.0% |
| 33% bracket | ¥9,000,000 - ¥18,000,000 | 33.0% |
| 40% bracket | ¥18,000,000 - ¥40,000,000 | 40.0% |
| 45% bracket | ¥40,000,000+ | 45.0% |
Personal allowance: ¥950,000
Local inhabitant's tax (prefectural and municipal)
| Bracket | Income Range | Rate |
|---|---|---|
| 10% flat rate | ¥0+ | 10.0% |
Health insurance
| Bracket | Income Range | Rate |
|---|---|---|
| Health insurance on monthly salary base | ¥0 - ¥16,680,000 | 5.0% |
Welfare pension
| Bracket | Income Range | Rate |
|---|---|---|
| Welfare pension contribution | ¥0 - ¥7,800,000 | 9.2% |
Unemployment insurance
| Bracket | Income Range | Rate |
|---|---|---|
| Unemployment insurance | ¥0+ | 0.5% |
Surtax (national income tax surcharge)
| Bracket | Income Range | Rate |
|---|---|---|
| 2.1% surtax on national income tax | ¥0+ | 2.1% |
Minimum tax (high-income earners)
| Bracket | Income Range | Rate |
|---|---|---|
| 27.5% minimum tax on excess over JPY 330 million | ¥330,000,000+ | 27.5% |
Applies when income exceeds ¥330,000,000
Forest environmental tax
Fixed amount: ¥1,000 per year
Key Facts
Tax Year
2025
Currency
JPY
Top Rate
45.0%
Brackets
7 brackets
Allowance
¥950,000
Social Contributions
3 items
Assumptions
- · Model assumes a permanent resident employee in Tokyo prefecture.
- · Earned income deduction applied as tiered formula on gross employment income.
- · Personal exemption uses 2025 temporary rates; will revert to lower amounts from 2027.
- · Local inhabitant's tax includes both prefectural and municipal components (10% flat rate plus per capita tax).
- · Social insurance contributions are deductible for national income tax purposes.
- · Forest environmental tax (JPY 1,000 fixed) included in local per capita tax.
- · Health insurance rate of 4.955% applies; long-term care insurance (0.795%) applies for ages 40-64; age 35 model excludes long-term care.
- · Surtax (2.1% of national income tax) is calculated after main income tax and brackets.
- · Minimum tax (27.5% on income above JPY 330 million) is implemented as a surcharge for very high earners only.
- · Non-resident taxation and spouse/dependent deductions excluded from this representative model.
Frequently asked questions
How many income tax brackets does Japan have?
Japan has 7 progressive income tax brackets ranging from 5% on income up to JPY 1.95 million, increasing to 45% on income above JPY 40 million. The brackets are designed to tax higher earners at significantly higher rates, with the top bracket applying to annual incomes exceeding JPY 40 million.
What social insurance contributions do employees in Japan pay?
Employees in Japan pay three main social contributions: health insurance at 4.955%, welfare pension at 9.15% (capped at JPY 7.8 million income), and unemployment insurance at 0.55%. All three contributions are deductible from your taxable income for national income tax purposes, which reduces your overall tax burden.
Do I pay regional taxes in Japan, and how much?
Yes, Japan has a local inhabitant's tax that includes both prefectural and municipal components, totaling a flat 10% rate plus a fixed per capita tax of JPY 5,000. This calculator uses Tokyo as the default region, but rates and components vary by prefecture and municipality, so your actual local tax may differ if you live elsewhere in Japan.
What is the earned income deduction in Japan?
The earned income deduction is a tiered deduction applied to gross employment income that ranges from a flat JPY 650,000 for lower earners up to a maximum of JPY 1.95 million for those earning above JPY 8.5 million. This deduction significantly reduces your taxable income and is one of the largest tax benefits available to Japanese employees.
Is there a personal exemption or allowance in Japan?
Yes, Japan offers a personal exemption of JPY 950,000 (at the temporary rate for 2025) that further reduces your taxable income after the earned income deduction is applied. Additionally, there is a separate JPY 430,000 personal exemption specifically for calculating local inhabitant's tax.
What happens if I earn very high income in Japan?
High earners in Japan face a 2.1% surtax calculated on top of the national income tax, plus a minimum tax of 27.5% that applies to income exceeding JPY 330 million. This means extremely high earners can face combined marginal rates well above the standard top bracket of 45%.
Are social insurance contributions deductible from my income taxes in Japan?
Yes, all three employee social contributions (health insurance, welfare pension, and unemployment insurance) are deductible for national income tax purposes. This means your taxable income is reduced by the total amount you contribute to these programs, providing a meaningful tax benefit.
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