Opening your first Japanese payslip (給与明細, kyūyo meisai) is often a shock. The contract figure you agreed to—your gross salary—can look very different from the sum deposited into your bank account. In Japan, standard statutory deductions routinely take 15% to 25% of your gross pay.
Understanding which deductions are legally required, how they are calculated, and why they suddenly increase in your second year prevents costly financial surprises.
The Three Main Sections of a Japanese Payslip
Most Japanese payslips are divided into three distinct grids:
- Payment (支給, Shikyū): Base pay, allowances, and overtime additions that make up your total gross earnings.
- Deductions (控除, Kōjo): Social insurance contributions and national and local taxes taken directly from your earnings.
- Attendance (勤怠, Kintai): Working days, scheduled hours, overtime hours worked, and paid leave taken.
Gross Salary (総支給額) vs. Take-Home Pay (差引支給額 / 手取り)
At the bottom of the slip, you will find two headline numbers:
- 総支給額 (Sō-shikyū-gaku): Total gross remuneration before any deductions. This includes your base salary (基本給, kihonkyū), commuting allowance (通勤手当, tsūkin teate—often non-taxable up to ¥150,000/month), housing allowances, and overtime pay (残業手当, zangyō teate).
- 差引支給額 (Sashihiki shikyū-gaku) or 手取り (Tedori): Your actual net take-home pay deposited into your bank account after all taxes and insurance contributions have been subtracted.
The Social Insurance Deductions (社会保険, Shakai Hoken)
Social insurance is the largest chunk taken from your salary. For standard corporate employees, the employer matches these contributions 50/50:
- Health Insurance (健康保険, Kenkō Hoken): Covers 70% of medical and dental care for you and your enrolled dependants. The employee portion is roughly 4.9% to 5.0% of gross pay, depending on your prefecture and corporate health association. (See our guide to Japan health insurance costs).
- Nursing Care Insurance (介護保険, Kaigo Hoken): An additional ~0.8% premium automatically deducted only from employees aged 40 and older to fund elder care.
- Employees' Pension (厚生年金, Kōsei Nenkin): Funds the state public pension system. The statutory rate is fixed at 18.3%, meaning the employee pays a hefty 9.15% deducted from monthly gross pay. (Read our guide to the pension lump-sum withdrawal for departing foreign residents).
- Employment Insurance (雇用保険, Koyō Hoken): Funds unemployment benefits, parental leave payments, and reskilling subsidies. The employee share is roughly 0.6% of total monthly pay. (Learn how this funds your safety net in our guide to rishokuhyo and unemployment benefits).
The Tax Deductions (税金)
After social insurance is subtracted, taxes are applied to the remaining taxable income:
- Income Tax (所得税, Shotokuzei): National income tax withheld on a progressive sliding scale (5% to 45%). Your monthly withholding is an estimated advance payment based on your declared dependants; the final balance is reconciled at the end of the year via the Year-End Tax Adjustment (年末調整, Nenmatsu Chōsei).
- Residence Tax (住民税, Jūminzei): Local municipal tax (flat ~10%) funding local city/ward infrastructure and services. Deducted automatically under the special collection system (特別徴収, Tokubetsu Chōshū).
The "Second Year Shock" (Residence Tax Delay)
If you arrived in Japan recently, your payslip might have zero residence tax deducted during your first calendar year. That is because residence tax is assessed strictly on the previous calendar year's Japanese income.
In June of your second year, your municipality assesses your first year's income and sends payment orders to your employer. Starting with your June payslip, residence tax will suddenly be deducted in 12 monthly installments. For an annual salary of ¥4,000,000 to ¥5,000,000, this can mean an unexpected drop of ¥15,000 to ¥25,000 in monthly take-home pay. Budget for this in advance!
Attendance and Overtime Terms
The attendance block tracks statutory compliance under the Labour Standards Act:
- 出勤日数 (Shukkin nissū): Days worked during the payroll cycle.
- 残業時間 (Zangyō jikan): Total overtime hours worked. Statutory overtime beyond 8 hours/day or 40 hours/week must be compensated at a minimum 25% premium (see overtime rules and caps in Japan).
- 有休消化日数 (Yūkyū shōka nissū): Paid annual leave days used during this pay period. Check your remaining balance under 有休残日数 (see our annual paid leave guide).
Useful Japanese Phrases for Payroll Inquiries
- 給与明細の見方を教えていただけますか。 — Kyūyo meisai no mikata o oshiete itadakemasu ka? — Could you explain how to read this payslip?
- 手取り額の計算について質問があります。 — Tedorigaku no keisan ni tsuite shitsumon ga arimasu. — I have a question regarding my take-home pay calculation.
- 住民税はいつから給与天引きされますか。 — Jūminzei wa itsu kara kyūyo tenbiki saremasu ka? — From when will residence tax be deducted from my salary?
Where to confirm this
- National Tax Agency (NTA) — Income tax rates and withholding brackets
- Japan Health Insurance Association (Kyokai Kenpo) — Monthly social insurance rate tables by prefecture
- Our guide to residence tax and year-end adjustments
- Our guide to Japanese overtime pay and legal limits
Guides are dated rather than undated: last reviewed 13 September 2026. This is an organisational aid, not legal or immigration advice — always confirm anything consequential with your ward office, the Immigration Services Agency, or a qualified professional.