Japan
New Zealand
Exchange rates: European Central Bank reference rates, 2026-10-23. Japan: Tokyo, Kyokai Kenpo, salary paid evenly each month with no bonus, no dependants. New Zealand: A single employee in Auckland, no dependants, New Zealand citizen and tax resident (no expatriate regime), one job (tax code M, or ME where the independent earner tax credit applies), salary paid evenly as monthly pay with no bonus, no student loan. Tax year 1 April 2026 – 31 March 2027. KiwiSaver member contributing at the default rate (3.5% from 1 April 2026) with the compulsory employer contribution of 3.5%. KiwiSaver contributions are shown as employee deductions: they are savings the employee keeps (locked in until 65 or a first home), not a tax, so take-home pay here is cash in hand after them.
At three salary levels
| Salary (US$ equivalent) | Japan | New Zealand |
|---|---|---|
| $60,000 | Cost 1.14× Keeps 73% ¥9,408,202 | Cost 1.04× Keeps 71% NZ$105,505 |
| $120,000 | Cost 1.10× Keeps 66% ¥18,816,403 | Cost 1.03× Keeps 66% NZ$211,010 |
| $250,000 | Cost 1.05× Keeps 57% ¥39,200,840 | Cost 1.03× Keeps 62% NZ$439,605 |
Employment rules compared
| Japan | New Zealand | |
|---|---|---|
| Statutory annual leave | 10 days after six months, rising to 20; 5 days must be taken | 4 weeks after 12 months |
| Public holidays in 2026 | 18 | 12 (Auckland) |
| Notice of dismissal | 30 days, or pay in lieu | Per contract (often 4 weeks); else reasonable notice |
| Severance required by law | None | None statutory; only if the contract provides |
| Typical negotiated exit | Commonly 3–6 months’ pay plus unused leave | No official benchmark |
| Probation | Commonly 3–6 months; dismissal still needs grounds | 90-day trial period (no unjustified-dismissal claim) |
| Working hours | 40 a week; overtime capped at 45 a month and 360 a year | Max 40 ordinary hours a week unless agreed |
| How hard is dismissal? | Very hard: needs objectively reasonable grounds | Moderate: justification and fair process; none above $200k |
| Women in management (ILO) | 14.5% (2023) | No ILO data |
Questions
What does a US$120,000 salary cost an employer in Japan and New Zealand?
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 New Zealand (NZ$211,010) it is 1.03 times. The employee keeps 66% of salary in Japan and 66% in New Zealand.
Is it cheaper to employ someone in Japan or New Zealand?
At this salary, the employer’s on-cost is lower in New Zealand. 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. New Zealand: notice is per contract (often 4 weeks); else reasonable notice; severance required by law: none statutory; only if the contract provides; typical negotiated exit: no official benchmark.
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. New Zealand: 4 weeks after 12 months, and 12 public holidays in 2026.
Sources: Japan (Kyokai Kenpo, Japan Pension Service, MHLW, National Tax Agency, MIC). New Zealand: every rate and rule is listed with its primary source on New Zealand's HR data. Exchange rates: ECB reference rates (2026-10-23); for currencies the ECB does not quote, the central bank's rate.
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