An Overview Of The Average Salary In Tokyo

Being one of the most modern and wealthiest cities in the world, Tokyo, the capital of Japan, has attracted more and more foreigners to relocate here. As it is very expensive to live in Tokyo, the city offers pretty high salaries. So, how much are you paid in Tokyo on average? Check this blog out to get an overview of the average salary in Tokyo.

1. What Is The Minimum Salary In Tokyo?

The minimum salary in Japan is calculated by hourly rates and it is different in each prefecture. Tokyo is the richest city in the country, so it also has the highest minimum hourly wage.

The minimum hourly wage in Tokyo in 2020 is ¥985, whereas Osaka and Kyoto have minimum hourly wages of 936 and 882 respectively. On the other hand, Okinawa has the lowest hourly wage, which is only at ¥762.

2. What Is The Average Salary In Tokyo?

It is not surprising that the average salary in Tokyo ranks the highest in Japan and one of the highest in the world. The average income in Tokyo for a full-time employee is ¥5,507,040 ($50,655) annually. This equals to a monthly average of ¥458,920 ($5,044).

average salary in Tokyo

The average salary in Tokyo ranks the highest in Japan and one of the highest in the world

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3. Why Is The Average Salary In Tokyo Higher Than The National Average?

According to the statistics by the Japan Ministry of Health, Labour and Welfare (2018), Tokyo has the highest average salary among 47 prefectures in Japan. What’s more, its monthly average salary is even higher than the national average. The monthly average of Tokyo is ¥458,920, but that of Japan is only ¥361,593. This turns out the average salary in Tokyo is about 27% higher than the national average.

Average Monthly Salary by Prefecture in Japan (2018)
Source: Japan Ministry of Health, Labour and Welfare

Rank Prefecture Average
Monthly Salary
(JPY)
Difference vs.
National Average
All Japan 361,593 N/A
1 Tokyo 458,920 26.9%
2 Aichi 393,155 8.7%
3 Osaka 380,664 5.3%
4 Kanagawa 372,140 2.9%
5 Shiga 362,267 0.2%
6 Hiroshima 357,044 -1.3%
7 Tochigi 356,075 -1.5%
8 Okayama 350,770 -3.0%
9 Ibaraki 349,238 -3.4%
10 Ishikawa 344,862 -4.6%
11 Fukui 344,788 -4.6%
12 Fukuoka 343,861 -4.9%
13 Mie 341,886 -5.5%
14 Shizuoka 340,847 -5.7%
15 Nagano 340,807 -5.7%
16 Yamaguchi 338,811 -6.3%
17 Gunma 337,348 -6.7%
18 Toyama 336,661 -6.9%
19 Kyoto 332,049 -8.2%
20 Hyogo 331,485 -8.3%
21 Tokushima 329,933 -8.8%
22 Kagawa 328,103 -9.3%
23 Yamanashi 327,638 -9.4%
24 Fukushima 326,084 -9.8%
25 Gifu 323,042 -10.7%
26 Ehime 322,165 -10.9%
27 Kochi 321,313 -11.1%
28 Chiba 318,346 -12.0%
29 Oita 316,584 -12.4%
30 Kumamoto 315,678 -12.7%
31 Niigata 315,548 -12.7%
32 Miyagi 315,453 -12.8%
33 Tottori 314,159 -13.1%
34 Shimane 313,725 -13.2%
35 Wakayama 309,987 -14.3%
36 Yamagata 306,152 -15.3%
37 Saga 304,464 -15.8%
38 Nagasaki 304,285 -15.8%
39 Saitama 300,332 -16.9%
40 Nara 298,363 -17.5%
41 Miyazaki 296,865 -17.9%
42 Akita 296,442 -18.0%
43 Hokkaido 295,020 -18.4%
44 Iwate 293,641 -18.8%
45 Aomori 281,820 -22.1%
46 Okinawa 280,554 -22.4%
47 Kagoshima 275,577 -23.8%

So, why is Tokyo average salary higher than the national average? Well, there are two main reasons for this. The first reason is that Tokyo houses a great number of companies. Another reason is there are many industries that pay higher than the average salaries here.

4. Average Salary In Tokyo By Industry

Of course, each industry offers its own salary, thus the average salary varies by industry.

Average Monthly Salary by Industry in Japan in JPY (2018)

Source: Japan Ministry of Health, Labour, and Welfare

Industry

     All Japan       Tokyo
361,593 458,920
Finance and insurance 509,218 669,691
Electricity, gas, heat supply, water 591,098 604,337
Scientific research, professional and technical services 534,184 581,971
Manufacturing 411,171 561,829
Construction 474,477 532,623
Information and communications 525,592 525,465
Services (Overlapping industries) 397,447 508,406
Transport and postal activities 362,713 489,237
Real estate and goods rental and leasing 391,964 477,700
Wholesale and retail trade 300,127 453,389
Medical, health care and welfare 341,353 349,431
Services (Not otherwise categorized) 241,938 309,774
Living-related and personal services and amusement services 213,999 244,100
Accommodations, eating and drinking services 152,983 185,344

As the statistics show, the top 10 highest paying industries in Tokyo are:

  1. Finance and insurance
  2. Electricity, gas, heat supply, water
  3. Scientific research, professional and technical services
  4. Manufacturing
  5. Construction
  6. Information and communications
  7. Services (Overlapping industries)
  8. Transport and postal activities
  9. Real estate and goods rental and leasing
  10. Wholesale and retail trade

Especially if you work in finance and insurance, you can earn an average salary of ¥669,691 ($6,167) monthly.

average salary in Tokyo

Finance and insurance is the highest paying industry in Tokyo

5. Average Salary In Tokyo By Age

The average annual salary is not broken down for gender, but it varies by age group and there is a noticeable gender gap across age groups.

Below is data from a private survey conducted by a recruiting company (DODA) in 2017

Average Annual Salary in Japan by Age (2017)

Age Group Currency Overall Men Women
20s JPY 3,460,000 3,650,000 3,190,000
USD 30,893 32,589 28,482
30s JPY 4,550,000 4,870,000 3,860,000
USD 40,625 43,482 34,464
40s JPY 5,410,000 5,870,000 4,230,000
USD 48,304 52,411 37,768
50s JPY 6,610,000 7,070,000 4,450,000
USD 59,018 63,125 39,732

From the data you can see that a person in their twenties earns on average ¥3,460,000 a year. A man in this age group gains ¥3,650,000 for his average annual salary, while the average salary for a woman is ¥460,000 less, at ¥3,190,000.

6. Average Salary In Tokyo By Profession

Each profession offers its own salary for employees. Among 52 major professions in Tokyo, dentist is the best paying one with an average of $104,616 annually and waiter ranks the lowest, at only $14,620.

For more details about the average salary in Tokyo by profession, you can take a look at the salary rankings below:

JOB TYPE AVERAGE SALARY (USD) SALARY RANKING COMPARED TO ALL CITIES
WAITER $14,620 165/265
CIVIL ENGINEER $15,593 222/265
INDUSTRIAL DESIGNER $16,914 210/265
CASHIER $17,207 119/265
CUSTOMER SUPPORT $21,158 173/265
INTERIOR DESIGNER $25,434 149/265
PROJECT MANAGER $26,413 199/265
POSTDOCTORAL RESEARCHER $28,204 169/265
ELECTRICAL ENGINEER $28,689 179/265
COPYWRITER $28,840 145/265
RECEPTIONIST $29,139 41/265
EXECUTIVE ASSISTANT $30,081 147/265
ARCHITECT $30,950 161/265
GRAPHIC DESIGNER $33,697 101/265
TEACHER $35,190 108/265
DATA ANALYST $35,574 140/265
ADMINISTRATIVE ASSISTANT $36,216 41/265
CONTENT MARKETING $36,706 93/265
CHEF $38,845 49/265
NURSE $39,258 97/265
ACCOUNTANT $40,567 122/265
UX DESIGNER $40,825 132/265
ACCOUNT MANAGER $41,382 132/265
FINANCIAL ANALYST $41,457 146/265
LECTURER $42,159 114/265
CHEMICAL ENGINEER $42,585 141/265
BUSINESS ANALYST $45,175 123/265
SOFTWARE ENGINEER $45,466 119/265
MECHANICAL ENGINEER $46,164 110/265
RESEARCH SCIENTIST $47,401 84/265
HUMAN RESOURCES MANAGER $47,771 94/265
BUSINESS DEVELOPMENT $48,210 135/265
MARKETING MANAGER $48,293 103/265
QA ENGINEER $49,206 83/265
FASHION DESIGNER $50,794 27/265
MOBILE DEVELOPER $50,835 109/265
WEB DESIGNER $51,706 33/265
SALES MANAGER $54,869 72/265
DATA SCIENTIST $56,783 106/265
OPERATIONS MANAGER $57,770 76/265
HARDWARE ENGINEER $58,048 67/265
WEB DEVELOPER $58,751 42/265
PRODUCT MANAGER $60,384 97/265
OFFICE MANAGER $60,847 9/265
IT MANAGER $65,602 75/265
FINANCE MANAGER $71,105 63/265
PHYSICIAN $71,973 104/265
SYSTEMS ADMINISTRATOR $74,373 18/265
C LEVEL EXECUTIVE $77,620 170/265
ATTORNEY $84,530 38/265
PHARMACIST $89,079 43/265
DENTIST $104,616 65/265

7. Frequently Asked Questions

7.1. What Is The Average Income In Tokyo?

As mentioned above, the average income for a person working in Tokyo is ¥5,507,040 ($50,655) annually. This converts to a monthly average of ¥458,920 ($5,044).

7.2. What Is Good Salary In Tokyo?

For a single person in Tokyo, an annual salary of more than ¥4,500,000 is considered good. With this amount of money, you can have enough choices when you spend. You can go out and travel around the country and have some savings as well.

For families, beyond ¥6,000,000 a year would be good.

7.3. How Much Money Do You Need To Live Comfortably In Tokyo?

The cost of living in Tokyo for a single working person is averagely between ¥140,000 (US$1,268) and ¥194,000 (US$1,757) a month, including rent, food, discretionary spending, transportation, and taxes and insurance. Therefore, if you are a new graduate working in a Japanese company with an average monthly salary of approximately ¥250,000 before tax, your life can be liveable. However, that salary doesn’t leave much wriggle room. When you reach a higher stage in your career, which is mid-career, you can expect to earn around ¥500,000 per month. This allows you to live very comfortably and save quite a lot of money. Finally, if you get ¥1,000,000 per month or above at the executive level, you can enjoy quite a luxurious life in Tokyo.

7.4. What Is The Average Income For Japan?

According to a survey by DODA, a Japanese online job-search website, the average salary in Japan annually is around ¥4.14 million which equals to about US$37,800.

8. Conclusion

Now that you have known how much the average salary in Tokyo is. Hopefully, this location guide will help you in deciding whether to relocate to this modern city or not. However, you should remember that gaining a “good” salary also depends on several factors such as age, level of career, and profession.

About Yuu Sato

Yuu Hiasa has been working in hospitality industry since 2003. In the past, he used to work as a tour guide and now he is running his business of supplying comfortable accommodations in Japan. Thanks to this experience and his passion for writing blog, the articles by him provides awesome tips and things to do when you are traveling in the country of cherry blossoms.