Japan
India
Exchange rates: European Central Bank reference rates, 2026-10-23. Assumes the salary is paid evenly each month with no bonus, no dependants, standard deductions only, and tax residence. Japan: Tokyo, Kyokai Kenpo. India: Mumbai, basic pay at 50% of salary, EPF on the statutory wage ceiling. China: Shanghai. United States: New York City, single filer, federal, state and city income tax. CPF (Singapore), EPF (India) and the housing fund (China) are paid into the employee’s own account and come back to them later. Company benefits, industry rates and local variations are not included.
At three salary levels
| Salary (US$ equivalent) | Japan | India |
|---|---|---|
| $60,000 | Cost 1.14× Keeps 73% ¥9,408,202 | Cost 1.03× Keeps 74% ₹5,696,703 |
| $120,000 | Cost 1.10× Keeps 66% ¥18,816,403 | Cost 1.03× Keeps 68% ₹11,393,407 |
| $250,000 | Cost 1.05× Keeps 57% ¥39,200,840 | Cost 1.03× Keeps 63% ₹23,736,264 |
Employment rules compared
| Japan | India | |
|---|---|---|
| Statutory annual leave | 10 days after six months, rising to 20; 5 days must be taken | About 15 days’ earned leave plus 8 casual days (Maharashtra); managers by contract |
| Public holidays in 2026 | 18 | 20 (Mumbai) |
| Notice of dismissal | 30 days, or pay in lieu | Managers by contract; workers one month |
| Severance required by law | None | Workers: 15 days’ pay per year of service on retrenchment; gratuity after 5 years |
| Typical negotiated exit | Commonly 3–6 months’ pay plus unused leave | No official benchmark; set by contract and negotiation |
| Probation | Commonly 3–6 months; dismissal still needs grounds | By contract; 6 months (plus 3) for workers under the model standing orders |
| Working hours | 40 a week; overtime capped at 45 a month and 360 a year | 48 a week (Maharashtra); overtime at double pay |
| How hard is dismissal? | Very hard: needs objectively reasonable grounds | Managers: by contract. Workers: inquiry, notice and compensation |
| Women in management (ILO) | 14.5% (2023) | 11.6% (2025) |
Questions
What does a US$120,000 salary cost an employer in Japan and India?
With the rates and exchange rates as of October 2026, in Japan (Tokyo, ¥18,816,403) the employer’s total cost is 1.10 times the salary; in India (₹11,393,407) it is 1.03 times. The employee keeps 66% of salary in Japan and 68% in India.
Is it cheaper to employ someone in Japan or India?
At this salary, the employer’s on-cost is lower in India. The ratio changes with pay, though: where contributions are capped, the on-cost falls as a share of salary for high earners. Enter the real salary in the calculator above to compare.
How do notice and severance compare?
Japan: 30 days, or pay in lieu; no severance is required by law, and negotiated exits are commonly 3–6 months’ pay plus unused leave. India: notice is managers by contract; workers one month; severance required by law: workers: 15 days’ pay per year of service on retrenchment; gratuity after 5 years; typical negotiated exit: no official benchmark; set by contract and negotiation.
Which has more paid leave and public holidays?
Japan: 10 days after six months, rising to 20; 5 days must be taken, and 18 public holidays in 2026. India: about 15 days’ earned leave plus 8 casual days (maharashtra); managers by contract, and 20 public holidays in 2026.
Why are some deductions savings rather than cost?
Singapore’s CPF, India’s EPF and China’s housing provident fund are paid into the employee’s own account and come back to them later, for retirement, housing or medical costs. They reduce take-home pay but work differently from Japan’s social insurance premiums. The calculator shows them separately in the breakdown.
Sources: Japan (Kyokai Kenpo, Japan Pension Service, MHLW, NTA, MIC); Singapore (CPF Board, IRAS, MOM); India (Income Tax Department, EPFO, ESIC, Ministry of Labour and Employment, Government of Maharashtra); China (Shanghai Human Resources and Social Security Bureau, Shanghai Healthcare Security Bureau, State Taxation Administration); United States (IRS, New York State Department of Taxation and Department of Labor, KFF); women in management (ILOSTAT).