Your first Japanese payslip (給与明細, kyuyo meisai) can look like a long list of unfamiliar Japanese terms and numbers. You agreed to a monthly salary, but the amount deposited into your bank account is noticeably smaller. Where did the rest go?
The answer is straightforward once you understand the structure. Japanese payslips follow a consistent format: one section showing what you earned (支給, shikyu), and another showing what was deducted before you received payment (控除, kojo). Every deduction is required by law or by your employment contract — nothing is arbitrary.
This article explains each item in plain English, so you can verify your payslip is correct and understand exactly what you are paying into.
The Two Sections: 支給 (Earnings) and 控除 (Deductions)
Every Japanese payslip is divided into two main columns or sections:
支給 (shikyu) — "Payments": Everything your employer pays you. This includes your base salary and any allowances. The bottom line of this section is called 支給合計 (shikyu gokei), meaning total gross pay.
控除 (kojo) — "Deductions": Everything withheld from your gross pay before it reaches your bank account. This includes social insurance premiums and taxes. The bottom line is 控除合計 (kojo gokei), meaning total deductions.
Your actual bank deposit — called 手取り額 (tezdori-gaku) or 差引支給額 (sashihiki shikyu-gaku) — is calculated as:
Take-home pay = 支給合計 − 控除合計
Understanding the 支給 (Earnings) Section
基本給 (kihon-kyu) — Base Salary
This is the core amount stated in your employment contract. It is the starting point for all calculations. Every other payment is added on top of 基本給.
手当 (teate) — Allowances
Allowances are supplementary payments provided on top of your base salary. Common allowances include:
- 通勤手当 (tsukin teate) — Commuting allowance. Covers your train, bus, or other commuting costs. Up to 150,000 yen per month is tax-exempt for public transit users.
- 住宅手当 (jutaku teate) — Housing allowance. A fixed subsidy toward rent, provided by some employers.
- 役職手当 (yakushoku teate) — Position/managerial allowance. Paid to employees with supervisory responsibilities.
- 時間外手当 (jikangai teate) — Overtime allowance. Required by law at a minimum premium of 25% above your regular hourly rate.
The sum of 基本給 and all 手当 forms your 支給合計, which is the gross pay figure that deductions are calculated from.
Know your rights: If you worked overtime but no overtime allowance appears on your payslip, that is a serious issue. For details on overtime pay rules and what to do if you are not paid correctly, see our article on unpaid overtime and how to claim it.
Understanding the 控除 (Deductions) Section
This is where most of the confusion lies. There are typically five types of deductions on a Japanese payslip. The first three are social insurance premiums; the last two are taxes.
1. 健康保険 (Kenko Hoken) — Health Insurance
Japan's employer-based health insurance gives you access to medical care at a 30% self-pay rate (you pay 30% of medical bills; insurance covers 70%). The premium is calculated as a percentage of your monthly salary (hyo-jun hoshu geppu, 標準報酬月額).
The total premium rate is determined by which health insurance association (協会けんぽ or company health insurance union) administers your coverage. For workers covered by Kyokai Kenpo (協会けんぽ), the rate varies by prefecture — as of April 2025, the Tokyo rate is approximately 9.91% of standard monthly remuneration. The cost is split 50/50 between employer and employee, so the employee's share is approximately 5% (the exact figure depends on your prefecture and insurer).
Workers aged 40 and over also pay nursing care insurance premiums (介護保険料, kaigo hokenryo) — approximately 0.8% of standard monthly remuneration as the employee's share (rate as of 2025).
For authoritative information on social insurance, see the Ministry of Health, Labour and Welfare social insurance page.
2. 厚生年金保険 (Kosei Nenkin Hoken) — Welfare Pension Insurance
This is Japan's employee pension system. Contributions go toward your retirement pension. The total premium rate is 18.3% of your standard monthly remuneration, split equally between employer and employee — so the employee pays approximately 9.15%.
Even as a foreign worker, you contribute to this pension. If you leave Japan, you may be eligible for a lump-sum withdrawal payment (脱退一時金, dattai ichijikin) of contributions made during your time in Japan, subject to certain conditions.
3. 雇用保険 (Koyo Hoken) — Employment Insurance
Employment insurance (often called unemployment insurance) provides income support if you lose your job. As of April 2025, the employee contribution rate for general workers is 0.55% of total wages (reduced from 0.6% that applied through March 2025). The employer contributes a higher share. This deduction is relatively small compared to health insurance and pension.
Workers' accident insurance (労災保険, rosaihoken): This type of insurance covers workplace injuries and occupational diseases. The premium is paid entirely by the employer — nothing is deducted from your salary for it. If you were injured at work, you are entitled to claim benefits regardless of your visa type or nationality. See our article on rights of foreign workers in Japan for more.
4. 所得税 (Shotoku-zei) — Income Tax (Withholding)
Income tax is withheld from your monthly salary by your employer based on the withholding tax table (源泉徴収税額表, gensen choshu zeigaku hyo) issued by the National Tax Agency. The withheld amount is an estimate; the final amount is reconciled at year-end through the year-end tax adjustment (年末調整, nenmatsu chosei) process, which your employer typically handles on your behalf.
For lower monthly incomes (around 200,000–250,000 yen), the withheld income tax amount tends to be relatively small. The exact amount depends on your salary level, number of dependents claimed, and applicable deductions.
5. 住民税 (Jumin-zei) — Resident Tax
Resident tax (also called local inhabitant tax or juminzei) is a local tax paid to the city/ward and prefecture where you live. It is typically approximately 10% of your prior year's taxable income (6% city/ward + 4% prefecture), plus a small per-capita levy.
Crucially, resident tax is based on income from the previous calendar year. If you arrived in Japan during the current year and had no income in Japan during the prior year, you will have zero resident tax deducted until June of your second year. Once it kicks in, it is divided into 12 monthly installments deducted from your salary each month from June through May.
Sample Payslip Calculation
The following is a simplified, illustrative example only. All figures are approximate and for educational purposes. Actual amounts vary depending on prefecture, health insurance association, age, prior-year income, and other individual factors.
| Item | Approximate Amount |
|---|---|
| 支給 (Earnings) | |
| Base salary 基本給 | 200,000 yen |
| Commuting allowance 通勤手当 | 10,000 yen |
| Total gross pay 支給合計 | 210,000 yen |
| 控除 (Deductions) | |
| Health insurance 健康保険 (~5% employee share) | ~10,500 yen |
| Welfare pension 厚生年金 (~9.15% employee share) | ~18,300 yen |
| Employment insurance 雇用保険 (0.55%) | ~1,155 yen |
| Income tax 所得税 (withholding estimate) | ~3,000 yen |
| Resident tax 住民税 (from 2nd year; 0 in first year) | ~8,000 yen |
| Total deductions 控除合計 | ~40,955 yen |
| Take-home pay 手取り額 | ~169,045 yen |
All figures above are approximate and for illustration purposes only. Health insurance rates vary by prefecture and insurer. Resident tax is zero in the first year in Japan. Actual deductions will differ based on individual circumstances.
Need Help Checking Your Payslip?
TreeGlobalPartners provides free support for foreign workers in Japan. If you have questions about your payslip, working conditions, or job situation, reach out to us. We connect workers with trustworthy employers and help you understand your rights.
Get Free Consultation →Why Is Resident Tax Zero in Your First Year?
This surprises many new workers in Japan. You receive your payslip and notice that the 住民税 (resident tax) line shows 0 yen, while your Japanese colleagues have a substantial amount deducted. This is not a mistake.
Resident tax operates on a one-year lag. The amount deducted from June 2026 to May 2027 is based on income earned in calendar year 2025. If you arrived in Japan in, say, April 2025 and had no taxable income in Japan during 2024, your resident tax base for the June 2025–May 2026 cycle is zero.
Starting from June of your second year, resident tax based on your first year's earnings will begin appearing on your payslip. For a worker earning 200,000–250,000 yen per month, this deduction can be 5,000–15,000 yen per month. The sudden increase is a common source of confusion and financial strain — planning for it in advance makes a significant difference.
Heads up: If you change jobs or have irregular income, resident tax can sometimes be collected as a direct bill (普通徴収, futsu chosei) rather than being deducted from your payslip (特別徴収, tokubetsu chosei). In that case, you will receive a payment notice (納税通知書) from your local city/ward office, typically in June. Do not ignore this notice — unpaid resident tax accumulates penalties.
What If You Think a Deduction Is Wrong?
Payroll errors do happen. If a figure on your payslip looks incorrect, here is how to approach it:
Compare against your contract
Check your employment contract and any offer letters for the stated salary and allowances. The 基本給 on your payslip should match your contract.
Check the deduction rates
Using the rates in this article as a reference, estimate what each deduction should be. Large unexplained discrepancies warrant further investigation.
Ask your HR or payroll department
Raise the issue politely and in writing if possible. Ask your employer to explain the calculation in detail. Most errors are honest mistakes that can be corrected quickly.
Contact the Labor Standards Inspection Office
If your employer refuses to explain or correct a clear error, you can contact your nearest 労働基準監督署 (Labor Standards Inspection Office). Consultations are free and confidential. No Japanese required for the initial contact in many offices with multilingual support lines.
Seek professional advice
A licensed social insurance labor consultant (社会保険労務士, shakai hokenroshi) can review your payslip and advise on whether deductions are correct. TreeGlobalPartners can help connect you with appropriate support resources.
As a foreign worker in Japan, you have the same legal protections as any other worker. For a broader overview of your rights, see our article on rights of foreign workers in Japan.
Frequently Asked Questions
Summary
- Your Japanese payslip has two sections: 支給 (gross earnings) and 控除 (deductions). Take-home pay = 支給合計 − 控除合計.
- Health insurance (健康保険): employee pays approximately 5% of standard monthly remuneration (varies by prefecture and insurer).
- Welfare pension (厚生年金): total rate is 18.3%; employee pays half = approximately 9.15%.
- Employment insurance (雇用保険): employee pays 0.55% of total wages (as of April 2025 for general workers).
- Workers' accident insurance (労災保険): paid entirely by the employer; nothing is deducted from your salary.
- Income tax (所得税): withheld monthly based on the withholding tax table; finalized at year-end through 年末調整.
- Resident tax (住民税): approximately 10% of prior-year taxable income; zero in your first year in Japan, starts in June of year two.
- If deductions seem wrong, compare against your contract and contact HR. You can also consult the Labor Standards Inspection Office or seek professional advice.
- TreeGlobalPartners is free for workers — all fees are paid by hiring companies.
Reading your payslip carefully is not just about curiosity — it is a practical way to protect yourself. If deductions are calculated on the wrong base amount, or if allowances are being incorrectly treated as taxable income, the financial impact compounds over time. Taking a few minutes each month to check your payslip is worthwhile.
Questions About Working in Japan?
Whether it is about your payslip, your working conditions, or finding a better job, TreeGlobalPartners is here to help. Job placement support is completely free for workers. Reach out anytime.
Free Consultation →Information accurate as of April 2026. Tax and social insurance rates are subject to change by law or regulation. Health insurance rates vary by prefecture and health insurance association. This article is for general informational purposes only and does not constitute legal or tax advice. For your individual situation, consult a qualified professional (税理士, 社会保険労務士, or 行政書士). For official information on social insurance, visit the Ministry of Health, Labour and Welfare.