For this next part of the series, I wanted to dive into something I get asked about a lot: the differences between working in the U.S. vs. working in Japan. Having worked in both countries, it’s always fascinating to see what each culture considers “normal” in the workplace.

Here are five big differences you’ll notice right away.

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1. Commuting Costs Are Paid for by the Company

One of the biggest perks of working in Japan is that your company typically covers your commute.
In the U.S., this is extremely rare — but in Japan, it’s standard, even for contract employees.

Companies usually pay for:

• Your train or bus pass, or
• A company car (depending on the job and location)

I currently receive a commuter pass and a company car, which saves me a huge amount each month. I also don’t have to worry about insurance, gas, or maintenance. It’s genuinely one of the best parts of working here.

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2. Your Company Files Your Taxes for You

In the U.S., tax season is a whole event — deciding whether to file yourself, hire someone, gather documents, figure out deductions, all that fun stuff.

But in Japan?
If you’re a full-time employee (正社員 / seishain) — and sometimes even as a contract employee (契約社員 / keiyaku shain) — your company handles it.

Every December, your employer gives you a form called:
年末調整 (nenmatsu chōsei) – end-of-year tax adjustment

If your situation is simple (single, no extra income, no property), you fill out one form and… you’re done.
If you’re owed a refund, it shows up directly in your next paycheck.

If you do have side income, freelance work, or property, you may need to file an additional tax return — and you must report this to your employer beforehand. Not all companies allow side jobs, either for tax or workload reasons, so always confirm first.

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3. Salary Is Paid Monthly — and Often a Month Later

Here’s one that surprises a lot of foreigners:

In Japan, you’re paid once a month, and sometimes you don’t get your first salary until the end of the next month.

So if you start your job on June 1st, your first paycheck might not be until:
July 25th
(or whichever date your company uses)

This means:

• Your first month is unpaid
• You need enough savings to cover that gap
• When switching jobs, you often receive your previous job’s final paycheck after starting the new one

Each company has its own cycle. Out of my four companies:

• Only one used the “next month” system
• Others had mid-month cycles (like 15th–15th), so I was paid sooner

Always check the pay cycle before starting a new job to avoid surprises.

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4. Bonuses Are Built Into Your Contract

In the U.S., bonuses are usually performance-based and unpredictable.
In Japan, bonuses are written directly into your employment contract.

Typically:

• Bonuses are paid twice a year (summer + winter)
• They’re calculated as a multiplier of your monthly salary
  (e.g., “2.5 months’ salary” for the year)
• This amount is part of your annual salary, not extra money

For example, if your salary is 3 million yen:

• Part is paid monthly
• The remaining portion is held and paid out as bonuses

This means Japanese “bonuses” are really structured salary distributions.

Of course:

• Not every company offers bonuses
• Startups and smaller companies often don’t
• Sales commissions are separate

Out of my four companies, two offered bonuses and two did not.

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5. Documents Are Stamped, Not Signed

Instead of signing documents, Japan uses personal stamps called:

• 印鑑 (inkan)
• 判子 (hanko)

Both mean the same thing, and they function like a digital + physical signature.

Most people in Japan have:

• One official hanko for banks and legal documents
• One personal or “daily use” hanko for office paperwork

Companies also have their own corporate seals used for contracts, bank forms, and important documents.

While signatures are becoming more acceptable for foreigners, hanko culture is still very much alive — and learning how to stamp one correctly is its own skill set!

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Final Thoughts

Working in Japan comes with its own set of rules, systems, and quirks that can be surprising (and honestly, pretty refreshing!) if you’re used to the American workplace. These differences are just the beginning, but they say a lot about how work culture is structured here.

To Part 8 | Part 10

*Revised November 2025 for Grammar and Context