Japan Tax Calculator 2026: Complete Guide to Income Tax, Shakai Hoken & Take-Home Pay
Japan's salary tax system layers national income tax (所得税), a 2.1% reconstruction surtax, local residence tax (住民税), and mandatory employee social insurance (shakai hoken / 社会保険) on every payslip. FY2026 brought the first health insurance rate cut in 34 years, a new child-support levy, and updated long-term care rates — but NTA income tax brackets and the ¥580,000 basic deduction remain unchanged.
This guide walks through every component our Japan tax calculator models, with 2026 rates from official sources and worked examples you can verify.
Japan Income Tax Brackets 2026
National income tax uses seven progressive marginal bands on taxable income — not gross salary. Before brackets apply, your gross is reduced by the employment income deduction (給与所得控除), basic deduction (¥580,000), dependent deductions, and deductible social insurance.
| Taxable income | Rate | Deduction |
|---|---|---|
| Up to ¥1,950,000 | 5% | — |
| ¥1,950,001 – ¥3,300,000 | 10% | ¥97,500 |
| ¥3,300,001 – ¥6,950,000 | 20% | ¥427,500 |
| ¥6,950,001 – ¥9,000,000 | 23% | ¥636,000 |
| ¥9,000,001 – ¥18,000,000 | 33% | ¥1,536,000 |
| ¥18,000,001 – ¥40,000,000 | 40% | ¥2,796,000 |
| Above ¥40,000,000 | 45% | ¥4,796,000 |
Plus: 2.1% special reconstruction income surtax (復興特別所得税) on the national income tax amount — not on gross salary directly.
Source: NTA Tax Answer No. 2260
Worked example: ¥6,000,000 gross
- Employment income deduction: ~¥1,560,000
- Basic deduction: ¥580,000
- Social insurance (deductible): ~¥884,400
- Taxable income: ~¥2,896,000
- National income tax: ~¥192,060
- Reconstruction surtax (2.1%): ~¥4,033
- Residence tax estimate (10%): ~¥289,560
- Shakai hoken (employee): ~¥884,400
- Take-home: ~¥4,629,947 (~¥385,829/month)
Calculate your exact numbers →
Employment Income Deduction (給与所得控除)
A statutory deduction for all salaried workers, replacing itemised expense claims:
| Gross salary | Deduction |
|---|---|
| Up to ¥1,800,000 | Higher of ¥650,000 or 40% of gross |
| ¥1,800,001 – ¥3,600,000 | 30% of gross + ¥180,000 |
| ¥3,600,001 – ¥6,600,000 | 20% of gross + ¥540,000 |
| ¥6,600,001 – ¥8,500,000 | 10% of gross + ¥1,200,000 |
| Above ¥8,500,000 | ¥1,950,000 (maximum) |
Source: NTA Tax Answer No. 1410
Basic Deduction (基礎控除)
¥580,000 for individuals with total income of ¥24,000,000 or less — introduced by the 2025 NTA reform (up from ¥480,000) and continuing unchanged in 2026.
Phases down for very high earners: ¥320,000 (¥24M–25M), ¥160,000 (¥25M–26M), eliminated above ¥26M.
Residence Tax (住民税)
Local tax paid to your municipality (6%) and prefecture (4%) — 10% of taxable income for the income-based portion (所得割).
- Calculated from prior calendar year's income
- Withheld from salary from June of the following year
- Includes a per-capita levy (均等割) of ~¥5,500/year — not modelled in our calculator
- New residents may face lump-sum bills in their first year
Our calculator applies 10% of taxable income as a same-year estimate for budgeting.
Shakai Hoken — Employee Social Insurance FY2026
| Component | Employee rate | Notes |
|---|---|---|
| Health insurance (Tokyo Kyokai Kenpo) | 4.925% | Down from 4.955% — first nationwide cut in 34 years |
| Pension (厚生年金) | 9.15% | Capped at ¥650,000/month standard remuneration |
| Employment insurance (雇用保険) | 0.55% | Down from 0.6% — general industry |
| Child-support levy (NEW) | 0.115% | All Kyokai Kenpo enrollees, from April 2026 |
| Long-term care (age 40+) | 0.81% | Up from 0.795% — FY2026 triennial review |
Under-40 total (Tokyo): 14.74% — unchanged vs FY2025 despite three rate changes (cuts offset by new levy).
Age 40+ total (Tokyo): 15.55%
All employee contributions are deductible from taxable income for national income tax.
Sources: Kyokai Kenpo FY2026, Japan Pension Service
What Changed in FY2026
- Health insurance cut — Tokyo 9.85% total (employee 4.925%), effective March 2026
- Employment insurance cut — 0.55% employee (general industry)
- Child-support levy (子ども・子育て支援金) — NEW 0.115% employee from April 2026, rising to 0.44% by FY2028
- Long-term care increase — 0.81% employee (age 40+)
- NTA brackets unchanged — same 7-band structure
- Basic deduction unchanged — ¥580,000 continues from 2025 reform
Bonus Taxation (賞与)
Bonuses are subject to:
- Income tax withholding via NTA simplified bonus table
- Full shakai hoken contributions (health, pension, employment, child-levy, LTC if 40+)
- Separate pension ceiling: ¥1,500,000 per bonus payment
Enter expected annual bonus in Customise Japan tax on our calculator.
Year-End Adjustment (年末調整)
Most company employees complete nenmatsu chōsei in November–December. Your employer reconciles withheld tax against actual liability, accounting for all deductions and dependents. If your only income is employment income under ¥20M, you typically don't need to file a tax return.
Take-Home at Common Salary Levels
| Gross | Take-home (approx.) | Monthly | Effective rate |
|---|---|---|---|
| ¥3,000,000 | ¥2,407,082 | ¥200,590 | ~19.8% |
| ¥4,000,000 | ¥3,170,170 | ¥264,181 | ~20.7% |
| ¥6,000,000 | ¥4,629,947 | ¥385,829 | ~22.8% |
| ¥8,000,000 | ¥5,949,539 | ¥495,795 | ~25.6% |
| ¥10,000,000 | ¥7,278,559 | ¥606,547 | ~27.2% |
Single, under 40, no dependents, all taxes and shakai hoken included.
Foreign Workers in Japan
Residents (domicile or continuous residence 1+ year) pay the same progressive tax and shakai hoken as Japanese citizens.
Non-residents face flat 20.42% withholding on Japanese-source income without deductions or brackets. Tax treaties may reduce rates — check your country's specific agreement.
Using Our Japan Tax Calculator
Our calculator provides:
- NTA 2026 progressive tax with reconstruction surtax
- Residence tax estimate (10% of taxable income)
- FY2026 shakai hoken breakdown (health, pension, employment, child-levy, LTC)
- Employment income deduction and ¥580,000 basic deduction
- Dependent deductions, bonus, age 40+ toggle
- Monthly, annual, and bi-weekly pay equivalents
Use Our Free Japan Tax Calculator →
Related Guides
- Tokyo comfortable salary guide — what you need to live well in Tokyo
- ¥6M salary in Tokyo: is it enough? — take-home + rent breakdown
- ¥4M salary in Tokyo: is it enough? — near-median salary analysis
Tax figures from our engine aligned to NTA rates and Kyokai Kenpo FY2026. Not tax advice — consult a licensed tax professional (税理士) for your specific situation.