How to read your Japanese payslip (kyuyo meisai), line by line — gross vs take-home

A Japanese payslip is dense, mostly in kanji, and quietly answers the question everyone has: "I earn X, so why did only Y land in my account?" Mio doesn't guess — here's each line, read from the Japanese-language official sources, in plain English.

The three blocks on every payslip

Almost every kyuyo meisai is organized into three sections. Once you know which is which, the kanji stops mattering:

• Earnings / 支給 (shikyu) — your gross pay: base salary (基本給), plus allowances like commuting (通勤手当), overtime (残業手当), and housing. This is the big number.
• Deductions / 控除 (koujo) — what's subtracted: social insurance and taxes. This is where your money "disappears."
• Attendance / 勤怠 (kintai) — days worked, paid leave used, overtime hours. It explains the earnings, but isn't money itself.

Each deduction, in plain English

These are the lines that confuse people. All rates below are qualitative and vary by prefecture, insurer, income, and year — verify the exact figures on your own slip.

• Health insurance — 健康保険 (kenko hoken)
  Your public health coverage (the 30%-you-pay-at-the-clinic system). The premium is shared roughly 50/50 between you and your employer; your share is a percentage of your "standard monthly remuneration" and varies by prefecture and insurer. For those 40+, a long-term care line (介護保険, kaigo hoken) is added.
• Pension — 厚生年金 (kosei nenkin)
  Japan's employees' pension. The total rate is 18.3% of standard monthly remuneration, split equally, so your share is roughly ~9.15% (approximate/illustrative). It's usually the largest single deduction.
• Employment insurance — 雇用保険 (koyo hoken)
  Covers unemployment benefits and job-support. Your share is small — a fraction of a percent of wages (the employer pays a larger share). The exact rate is set nationally and changes periodically; check the current figure on your slip.
• Income tax — 所得税 (shotokuzei), withheld
  National income tax, withheld monthly at source (源泉徴収, gensen choshu) using the NTA's withholding tables. It's an estimate during the year; the true amount is reconciled at year-end (see below).
• Resident tax — 住民税 (juminzei), from year 2
  Local tax paid to your city/prefecture, roughly ~10% (approximate/illustrative) of your prior year's taxable income. This is the one that catches foreigners out — see the trap below.

The trap most foreigners miss: the resident-tax delay

Income tax comes out of every paycheck from day one. Resident tax does not. It's assessed on your previous calendar year's income and billed the following year — typically starting from the June payslip.

So the pattern for a new arrival is usually:

• Year 1: you had little or no Japan income in the prior year → often no resident tax deducted. Take-home looks generous.
• Year 2 (from ~June): the bill for year 1's income arrives → a new deduction appears, and your take-home shrinks even though your salary didn't change.

Mio's warning: don't budget year 1's take-home as if it's permanent. And if you leave Japan or change jobs, resident tax on income you've already earned can still be owed — verify with your city office before assuming you're done.

Illustrative payslip — line by line

Figures below are illustrative only (not a real salary and not fixed rates). Use them to recognize the shape of a payslip, then read your own.

Year-end adjustment (nenmatsu chosei): why you probably don't file a return

Because income tax is withheld monthly as an estimate, it's rarely exactly right. In November–December your employer runs the year-end adjustment (年末調整, nenmatsu chosei): it recalculates your true annual income tax, applies your declared deductions, and refunds or collects the difference — usually visible in your December or January payslip.

For most company employees whose only income is this salary, nenmatsu chosei replaces filing a tax return (確定申告, kakutei shinkoku). You'd still file separately if, for example, you have a second income, sizeable medical expenses, or certain other deductions — check the NTA's guidance or ask your employer.

Mio's read

Your payslip isn't hiding anything — it's just in kanji. Earnings minus deductions equals take-home. Budget on take-home, not gross, and remember that year two adds resident tax, so your net pay can fall without any change to your salary. When a number looks off, don't guess — verify on your slip, with your employer, or your city office.

Next: planning your money and admin for a stay in Japan? See the full arrival checklist →