Japan Average Salaries & Expenditures

 
Contents
Average Employment Income   Average Salary per Job   Average Salary per Sector   Total Personal Average Income   Consumption Expenditure
Workforce Composition   Vacation Time   Exchange Rates   Cost of Living   References
 

Average Employment Income

:
annual, per worker, incl. dependent & self employment
   Disposable   Gross (1)   
2005
24,697
3,190,848
  
29,304
3,786,080
  
constant 2005 US$ at PPP
current yens
(1)    Based on salary & business average income per workers' household and number of earners per household.
Source: National Survey of Family Income and Expenditure, Japan Statistical Yearbook, 2007 [17].
 
 

Average Salary in Japan - Job and Sector Comparison.

Job  Net Monthly Income  constant 2005 US$ (1) Notes                                                                               Gross Monthly Average Income (2) Compulsory Deductions (3) Weekly Hours (4)
 
General Physician average salary PPP $ 4,594 $ 5,401 Excl. overtime and bonus, June 2005. Men only. Private establishments with 10 or more regular employees. 761,000 yens 22%
Dentist average income PPP $ 4,402 $ 5,522 Incl. overtime and bonus, April 2004. Excl. temporary employees. Private establishments with 50 or more regular employees. 724,649 yens 20%
Professor average income PPP $ 3,606 $ 4,240 Incl. overtime, April 2005. Assistant professor. Limited to persons employed for indefinite period excl. temporary employees. Private establishments with 50 or more regular employees. 582,421 yens 20%
Senior Researcher average income PPP $ 3,314 $ 3,896 Incl. overtime and bonus, April 2005. Limited to persons employed for indefinite period excl. temporary employees. Private establishments with 50 or more regular employees. 528,613 yens 19%
Flight Attendant average salary PPP $ 2,850 $ 3,350 Excl. overtime and bonus, June 2005. Women only. Private establishments with 10 or more regular employees. 449,000 yens 18%
Teacher average salary PPP $ 2,518 $ 2,961 Excl. overtime and bonus, June 2005. Women only. Private establishments with 10 or more regular employees. 392,000 yens 17%
Researcher average income PPP $ 2,290 $ 2,692 Incl. overtime and bonus, 2005. Limited to persons employed for indefinite period excl. temporary employees. Private establishments with 50 or more regular employees. 356,509 yens 17%
Engineer average salary PPP $ 2,152 $ 2,530 Excl. overtime and bonus, 2005. System engineer. Men only; women: 293,000 yens/month. Private establishments with 10 or more regular employees. 335,000 yens 17%
Janitor average income PPP $ 2,088 $ 2,454 Incl. overtime and bonus, 2005. Limited to persons employed for indefinite period excl. temporary employees. Private establishments with 50 or more regular employees. 324,947 yens 17%
Office Clerk average income PPP $ 2,017 $ 2,371 Incl. overtime and bonus, April 2005. Limited to persons employed for indefinite period excl. temporary employees. Private establishments with 50 or more regular employees. 313,952 yens 17%
Professional Nurse average salary PPP $ 1,820 $ 2,140 Excl. overtime and bonus, June 2005. Private establishments with 10 or more regular employees. 280,000 yens 16%
Physiotherapist average salary PPP $ 1,703 $ 2,003 Excl. overtime and bonus, June 2005. Women only, private establishments with 10 or more regular employees. 262,000 yens 16%
Computer Programmer average salary PPP $ 1,697 $ 1,995 Excl. overtime and bonus, June 2005. Men only; women: 245,000 yens/month. Private establishments with 10 or more regular employees. 261,000 yens 16%
Auxiliary Nurse average salary PPP $ 1,612 $ 1,896 Excl. overtime and bonus, June 2005. Women only. 248,000 yens 16%
Car Mechanic average salary PPP $ 1,573 $ 1,850 Excl. overtime and bonus, June 2005. Men only. 242,000 yens 16%
Salesperson average salary PPP $ 1,289 $ 1,516 Excl. overtime and bonus, June 2005. Women only. Salesclerks in department stores. Private establishments with 10 or more regular employees. Other saleswomen: 179,000 yens/month. 196,000 yens 15%
Taxi Driver average salary PPP $ 1,278 $ 1,502 Excl. overtime and bonus, June 2005. Men only. Private establishments with 10 or more regular employees. 192,000 yens 14%
Cashier average salary PPP $ 1,144 $ 1,345 Excl. overtime and bonus, June 2005. Women only, supermarket cashier, private establishments with 10 or more regular employees. 168,000 yens 12%
Baker average salary PPP $ 1,042 $ 1,225 Excl. overtime and bonus, June 2005. Women only. Private establishments with 10 or more regular employees. 153,000 yens 12%
Garment Cutter average salary PPP $ 892 $ 1,048 Excl. overtime and bonus, June 2005. Women only, dress maker, private establishments with 10 or more regular employees. 128,000 yens 10%
Sector              
Gas-Electricity-Water average income PPP $ 3,580 $ 4,209 Regular employees, incl. overtime and bonuses, 2005; establishments with 5 or more regular employees; 593,000 yens 22% 41.4
Financial average income PPP $ 3,057 $ 3,594 Regular employees, financing and insurance sector, incl. overtime and bonuses, 2005; establishments with 5 or more regular employees; 500,000 yens 21% 42.1
Education average income PPP $ 2,737 $ 3,217 Regular employees, incl. overtime and bonuses, 2005; establishments with 5 or more regular employees; 442,000 yens 20% 37.9
Real Estate average income PPP $ 2,514 $ 2,956 Regular employees, incl. overtime and bonuses, 2005; establishments with 5 or more regular employees; 401,000 yens 19% 43.5
Manufacturing average income PPP $ 2,418 $ 2,843 Regular employees, incl. overtime and bonuses, 2005; establishments with 5 or more regular employees; 381,000 yens 18% 43.5
Mining-Quarrying average income PPP $ 2,393 $ 2,813 Regular employees, incl. overtime and bonuses, 2005; establishments with 5 or more regular employees; 377,000 yens 18% 44.8
Construction average income PPP $ 2,298 $ 2,701 Regular employees, incl. overtime and bonuses, 2005; establishments with 5 or more regular employees; 362,000 yens 18% 45.5
All Sectors average income PPP $ 2,126 $ 2,500 Regular employees, incl. overtime and bonuses, 2005; establishments with 5 or more regular employees; 335,000 yens 18% 41.3
Hotels-Restaurants average income PPP $ 967 $ 1,137 Regular employees, incl. overtime and bonus, 2005; establishments with 5 or more regular employees; 142,000 yens 12% 39.6
 
  (1) The net average income in "constant 2005 US$" is computed using the Interbank nominal exchange rate [a] and the U.S. inflation rate [d]. The net average income in "constant 2005 US$" at PPP is computed using the OECD PPP exchange rates for actual individual consumption [l] and the U.S. inflation rate [d]. The latter reflects the purchasing power in the United States in 2005.
  (2) The gross monthly average income is based on data supplied by the Japan Ministry of Health, Labour, and Welfare [18] to the International Labour Organization [9] and to the Japan Statistical Yearbook [17]. The average income includes the salaries and wages of paid employees. Employees include both men and women unless otherwise noted. The average income by sector include the bonus and are limited to the regular (full-time) employees working for enterprises with 5 or more regular employees. The average bonus in 2005 is of 2.3 months salary for regular employees working in enterprises with 5 or more regular employees [17]. In the education sector and the gas-electricity sector, the bonus reaches 5 months salary.
  (3) The compulsory deductions are obtained from the OECD Tax Database [k]. The deductions include national income tax, municipal tax, prefectural tax, and social security. The deductions are representative of single-earner-married-without-child status. The deductions on the average salary are confirmed through the difference between the gross and net household income in Japan (16%) [6].
  (4) The number of hours is based on data supplied by the Japan Ministy of Health, Labour, and Welfare, to the International Labour Organization. The hours correspond to the hours actually worked. The hours by sector reflect the average of employees in establishments with 10 or more regular employees.
 
 
 
 

Personal Average Income

:
annual, per capita, incl. non-monetary income
   Disposable   Gross   Salary   Business (1)  Property   Transfer (2)    
2005 (3)
11,842
1,530,021
  
14,082
1,819,370
  
13,256
1,712,702
  
73
9,486
  
 
453
58,481
  
constant 2005 US$ at PPP
current yens
2000 (3)
11,421
1,617,310
  
13,548
1,918,480
  
12,707
1,799,380
  
92
12,982
  
 
456
64,599
  
1990 (4)
10,967
1,428,775
  
12,988
1,692,185
  
12,213
1,591,219
  
130
16,917
  
 
319
41,598
  
1980 (4)
9,301
957,334
  
10,645
1,095,622
  
10,063
1,035,782
  
179
18,451
  
 
103
10,574
  
(1)    Incl. homework.
(2)    Incl. social security.
(3)    Workers' households with two or more household members.
(4)    Workers' households with two or more household members excl. agricultural, forestry, and fishery workers' households.
Source: National Survey of Family Income and Expenditure, Japan Statistical Yearbook, 2007 [17].
 

Consumption Expenditure

:
annual, per capita, incl. non-monetary expenditure
   Total   Health   Housing (1)  Food (5)  Apparel   Education   Transport (2)    
2005
9,632
1,244,395
  
400
51,712
  
1,707
220,534
  
2,188
282,640
  
421
54,439
  
328
42,388
  
1,255
162,196
  
constant 2005 US$ at PPP
current yens
2000
8,826
1,249,813
  
301
42,560
  
1,557
220,418
  
2,054
290,916
  
447
63,311
  
321
45,427
  
1,029
145,760
  
2000 (3)
8,124
1,150,434
  
291
41,163
  
1,361
192,776
  
1,893
268,111
  
413
58,514
  
356
50,469
  
932
131,913
  
1995 (4)
8,152
1,154,604
  
244
34,544
  
1,333
188,789
  
1,929
273,284
  
501
70,979
  
381
53,968
  
817
115,670
  
1990 (4)
8,051
1,048,901
  
229
29,885
  
1,148
149,518
  
2,043
266,144
  
594
77,417
  
374
48,779
  
762
99,334
  
1980 (4)
7,037
724,297
  
179
18,424
  
1,037
106,687
  
2,043
210,229
  
554
57,057
  
254
26,152
  
562
57,851
  
(1)    Incl. actual rent, fuel, light, and water charges, furniture, and household utensils.
(2)    Incl. communication.
(3)    Households with two and more household members.
(4)    Households with two and more household members excl. agricultural, forestry, and fishery households.
(5)    Incl. tobacco and alcoholic beverages.
Source: National Survey of Family Income and Expenditure, Japan Statistical Yearbook, 2007 [17].
 

Workforce Composition

:
percentage of total workforce
   Primary (1)  Manufacturing   Education   Financial   Paid Employees   Unemployed  
2005 4.4   18.4   4.5   2.5   84.7   4.6  
%
2000 5.1   20.5       83.1   5.0  
1990 7.3   24.1       77.4   2.3  
1980 10.6   24.7       71.7   2.2  
1970 17.8   27.0          
(1)    Agriculture, hunting, forestry, fishing, mining, and quarrying.
Source: International Labour Organization [9].
 

Workforce Size

 :  
63.6 million (2005).
Source:   International Labour Organization [9].
 

Population

 :  
127.5 million (2006).
Source:   CIA World Factbook [b].
 

Compulsory Deductions

 :  
18.5% for a single with no child, 16.2% for a single with two children, 17.3% for a one-earner married couple with no child, and 15.3% for a one-earner married couple with two children.
Source:   OECD Tax Database [k], 2005, combined deductions on a gross monthly salary income of 412,500 yens including family benefits in terms of cash transfers.
 

Vacation Time

 :  
18 days paid time off per year including sick days (legally required minimum vacation time). Officially, five weeks (in reaction to the karoshi problem) [e]. According to a recent survey by the World Tourism Organization, 25 vacation days per year are taken on average in Japan [f].
 

Inflation

 :  
100.4 (2001), 99.5 (2002), 99.3 (2003), 99.1 (2004), 99.0 (2005);
Source:   IMF inflation rates [d], Index: 1995=100.
 

PPP Exchange Rate

 :  
243.7 (1980), 194.5 (1990), 181.3 (1995), 160.4 (2000), 155.5 (2001), 146.5 (2002), 140.4 (2003), 135.6 (2004), 129.2 (2005);
Source:   OECD PPP exchange rates for private consumption [l], yens per U.S. dollar.
 

Nominal Exchange Rate

 :  
121.4 (2001), 125.0 (2002), 115.7 (2003), 108.1 (2004), 109.9 (2005);
Source:   Interbank nominal exchange rates [a], yens per U.S. dollar.
 

Cost of Living

 :  
1.20 (2001), 1.13 (2002), 1.17 (2003), 1.21 (2004), 1.15 (2005);
Source:   Interbank nominal exchange rates [a] and IMF PPP exchange rates [d], US=1.000.
 

 

References
 
[6]   Statistical Handbook of Japan, 2005.
[9]   International Labour Organization. Compilation of average salary income worldwide. Classified by country, by employment category, and by gender.
[17]   Japan Statistical Yearbook, Ministry of Internal Affairs and Communications, 2006.
[18]   Japan Ministry of Health, Labour, and Welfare, 2004, 2005.
[a]   Interbank nominal exchange rate, Oanda.com; historical currency converter for over 164 currencies and 3 metals.
[d]   World Economic Outlook Database, September 2006, International Monetary Fund.
[e]   Vacation - Wikipedia, from Wikipedia, the free encyclopedia.
[f]   World Tourism Organization, a United Nations agency; survey of vacation days worldwide, 2000.
[k]   OECD Tax Database. Annual database providing comparative information on personal and corporate income tax and consumption tax systems and rates in OECD countries since 2000. Information on social security contributions levied on employees and their employers is also reported.
[l]   OECD. PPP exchange rates for actual individual consumption.
[l]   OECD. PPP exchange rates for private consumption.
 
Other links:
Social Security in Japan, Social Security Programs Throughout the World, 2004-2005, compiled by the U.S. Social Security Administration.
Japan: Statistics, Organization for Economic Co-Operation and Development (OECD).
Japan: Selected Internet Resources, U.S. Library of Congress.
Japan Economy Overview, CIA World Factbook.
Taxes in Japan, income year 2005.
Estimating Imputed Rent for Owner-Occupied Dwellings in the Japanese System of National Accounts, 2005, Economic and Social Research Institute, Government of Japan.
Average Monthly Salary and Allowance in Japan, 1995-1999, National Personnel Authority, Government of Japan.
Japan Statistics - web-japan.org.
Living Standards in Japan, wikipedia.org. Rich country - poor people. Assessment of the standard of living in Japan from 1960 to 1994. Based on the U.S. Library of Congress Country Studies.
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