🕑 Japan Overtime Calculator

The Japan Overtime Calculator computes your overtime pay (zangyodai, 残業代) according to the Labor Standards Act (rodo kijun ho). Japan has some of the world's most complex overtime rules, with premium rates that stack depending on the time, duration, and day of work.

Under the 2018 Work Style Reform (hatarakikata kaikaku), significant changes were made to overtime premiums. The most important change: overtime exceeding 60 hours per month now requires a 50% premium (up from 25%). It has applied to large companies since April 2019, and after a grace period that ended March 31, 2023, it now applies to small companies (under 51 employees) as well.

The base overtime rate is 25% premium (125% of regular hourly rate) for hours beyond 8 per day or 40 per week. This stacks with late-night premium (25% additional, for 22:00-05:00) and holiday premium (35% for statutory holidays).

Monthly overtime in Japan is legally capped at 45 hours under ordinary circumstances, with an absolute maximum of 100 hours per month and 720 hours per year (including special exemptions). Exceeding these limits can trigger administrative guidance from labor standards inspection offices.

The calculator applies Japan's overtime premium structure:

Premium rates (the 60h+ 50% premium applies to all company sizes since April 2023):

• Regular overtime (over 8h/day or 40h/week): 125%
• Overtime over 60h/month: 150% (the additional 25% applies to hours 61+)
• Late night work (22:00-05:00): 125% + 25% = 150% (if also overtime)
• Statutory holiday work: 135% (for hours on the holiday)
• Holiday late night: 135% + 25% = 160%

Hourly rate calculation: For salaried workers, the hourly rate is calculated as Monthly Salary / Monthly Hours. The 2018 reform requires that hourly rates cannot fall below minimum wage. Bonus components and commuting allowances are excluded from the hourly rate base.

1. Enter your monthly salary (to derive your hourly rate).
2. Enter your monthly working hours (default 174 for standard full-time).
3. Enter your regular overtime hours per month.
4. Enter late-night overtime hours (22:00-05:00), if any.
5. Enter statutory holiday work hours, if any.
6. Click Calculate to see your overtime pay breakdown.

What is the legal overtime limit in Japan?

Under the 2018 Work Style Reform, regular overtime is capped at 45 hours per month and 360 hours per year. In exceptional circumstances with a labor-management agreement (Article 36 / rokujo kyotei), overtime can reach up to 100 hours per month (but not more than 720 hours per year). Exceeding these limits triggers administrative guidance from labor standards offices.

How is overtime hourly rate calculated for salaried workers?

Hourly Rate = Monthly Salary / Monthly Working Hours. For example, a worker earning 300,000 yen/month working 174 hours has an hourly rate of about 1,724 yen. Overtime at 25% premium = 1,724 x 1.25 = 2,155 yen/hour. Commuting allowance, bonus, and housing allowance are excluded from this calculation.

What is the "36 agreement" (rokujo kyotei)?

The Article 36 Agreement (named after Article 36 of the Labor Standards Act) is a labor-management agreement that allows companies to require overtime beyond the statutory limits. It must be filed with the labor standards inspection office and specifies maximum overtime hours and conditions. Without this agreement, any overtime is technically a labor law violation.

Do small companies still get the 25% overtime exemption?

No. The small-company grace period ended on March 31, 2023. Since April 1, 2023, every company — regardless of size — must pay the 50% premium for overtime beyond 60 hours per month (large companies already since April 2019). The 25% base premium, late-night premium, and holiday premium apply to all companies as well.

Can I refuse to work overtime in Japan?

Yes, within limits. Under the Labor Standards Act, you can refuse overtime that is not agreed upon in the Article 36 agreement or that exceeds agreed limits. However, refusing reasonable overtime requests can be grounds for performance evaluation impact. If you are working overtime that is not being paid, consult a labor lawyer or the labor standards inspection office.

This tool is for informational purposes only and does not constitute financial advice. Consult a qualified financial professional for advice specific to your situation.

Keep records of your hours: Under the 2018 reform, companies with 51+ employees must record actual working hours, not just scheduled hours. If you are not being paid correctly, your time records are your evidence at the labor standards inspection office (rodo kijun kantokusho).

Manager-track employees (kanrishoku): Under the 2018 reform, the discretionary labor system for managers was tightened. "Managers" must genuinely have management authority and discretion over their work schedule. If your title is manager but you have set hours and no real authority, you may be entitled to overtime pay regardless.

The 60-hour threshold matters: The extra 25% for hours 61+ per month adds up quickly. If you regularly work 70-80 hours of overtime, you should be receiving 150% for the hours above 60. Many companies still only pay 125% for all overtime, which is a labor law violation.