Calculate income tax, resident tax, and social insurance for 2026
Japan has a complex tax system with progressive national income tax, flat local resident tax, and mandatory social insurance. Combined rates can reach 55% for high earners.
| Taxable Income | Tax Rate |
|---|---|
| ¥0 - ¥1,950,000 | 5% |
| ¥1,950,001 - ¥3,300,000 | 10% |
| ¥3,300,001 - ¥6,950,000 | 20% |
| ¥6,950,001 - ¥9,000,000 | 23% |
| ¥9,000,001 - ¥18,000,000 | 33% |
| ¥18,000,001 - ¥40,000,000 | 40% |
| ¥40,000,001+ | 45% |
An additional 2.1% of your income tax applies until 2037 to fund reconstruction after the 2011 Tohoku earthquake and tsunami. This increases the effective top rate from 45% to 46%.
Local resident tax is levied by prefectures and municipalities:
| Type | Employee Rate | Employer Rate | Annual Cap (Approx.) |
|---|---|---|---|
| Health Insurance | 5% | 5% | ~¥700,000 |
| Pension Insurance | 9.15% | 9.15% | ~¥780,000 |
| Unemployment Insurance | 0.6% | 0.95% | No Cap |
| Total Employee Rate | ~14.75% | ~15.1% | — |
Note: Actual Social Insurance calculation uses Standard Monthly Compensation (報酬月額) and has annual caps, which are complex. This calculator uses a simplified percentage on annual income.
Japan classifies taxpayers into three categories:
Employees automatically get a deduction before calculating taxable income:
| Salary Income | Deduction |
|---|---|
| Up to ¥1.625M | ¥550,000 |
| ¥1.625M - ¥1.8M | 40% of income |
| ¥1.8M - ¥3.6M | 30% + ¥80,000 |
| ¥3.6M - ¥6.6M | 20% + ¥440,000 |
| ¥6.6M - ¥8.5M | 10% + ¥1,100,000 |
| Over ¥8.5M | ¥1,950,000 (max) |
Non-residents pay a flat rate on gross Japan-source income:
For a salary of ¥10 million:
Pros:
Cons:
Important: This calculator provides estimates for Japanese taxes. The system is complex with many deductions and special cases. Always consult a Japanese tax professional (zeirishi) for accurate tax planning.