Things You Should Know Before Moving to Japan

An opportunity to move to Japan should be considered as an exciting adventure. No matter your cultural heritage, you will, no doubt, be challenged from time to time to make sense of the Japanese way of doing things.

It is, however, always wise to remain respectful and understand that you will be going to Japan as a guest—even if you intend to stay for an extended period or even forever.

There are several aspects of modern Japanese culture that at first may seem familiar, but you may later come to realize that just underneath the surface things may not be as they seem. That’s okay. It’s all part of the experience and chance to stretch your ability to adapt and thrive in a very different culture.

Here are some important things you should know before relocating to Japan:

Visa Requirements

Before moving to Japan, you must ensure you have the appropriate visa. The type of visa you require depends on the purpose of your stay, such as work, study, or tourism. Here are some of the common visa categories available:

• Work Visa
  • Engineer/Specialist in Humanities/International Services Visa: This visa is for individuals engaged in technical or professional work.
  • Intra-Company Transferee Visa: For employees transferred to a Japanese branch or subsidiary of their company.
  • Highly Skilled Professional Visa: For individuals with exceptional skills and qualifications in specific fields.
  • Skilled Labor Visa: For individuals engaged in industries facing a shortage of labor, such as construction, agriculture, etc.

• Student Visa
  • College Student Visa: For individuals enrolled in universities, colleges, or vocational schools.
  • Pre-college Student Visa: For individuals studying at Japanese language schools or preparatory schools.
  • Technical Intern Training Visa: For individuals participating in technical training programs.

• Research Visa: For individuals engaged in academic research or collaboration with Japanese universities or research institutions.

• Dependent Visa: This visa is for family members of individuals holding a valid work, student, or research visa.

• Cultural Activities Visa: For individuals engaged in cultural or artistic activities, including training in traditional arts, tea ceremony, martial arts, etc.

• Working Holiday Visa: Available for citizens of countries with a bilateral agreement with Japan, allowing them to work and travel in Japan for a specified period. Almost 20 countries have such an agreement including Australia, Canada, Denmark, France, Germany, Hong Kong, Ireland, New Zealand, Norway, Poland, Portugal, Slovakia, South Korea, Spain, Sweden, Taiwan, and the United Kingdom.

• Specific Skills Visa: Introduced in 2019, this visa category is designed to fill specific labor shortages in certain industries. It includes two subcategories. Specified Skilled Worker Type 1 industries include the following:
  • Accommodation: Staff for hotels and similar establishments.
  • Agriculture: Workers involved in agriculture, including farming, fishing, and forestry.
  • Automobile Maintenance: Technicians engaged in automobile repair and maintenance.
  • Aviation: Aircraft maintenance technicians.
  • Building Cleaning: Cleaning staff for commercial buildings, hotels, and hospitals.
  • Fisheries: Workers engaged in fishing and related activities.
  • Food and Beverage Manufacturing: Workers in food processing and production facilities.
  • Industrial Machinery Manufacturing: Employees involved in the manufacturing of industrial machinery and equipment.
  • Electronics and Electrical Industries: Workers in the electrical and electronics manufacturing sector.
  • Nursing Care: Nurses and caregivers for elderly care facilities and home care.

Specified Skilled Worker Type 2 covers additional industries beyond Type 1, such as construction, shipbuilding and ship machinery, automobile manufacturing, parts, and tooling industries, and more. The specific industries covered under Type 2 may vary and expand based on Japan’s labor market needs.

These are just a few examples of the visa categories available in Japan. The requirements and eligibility criteria for each visa may vary, and it is important to consult the official website of the Embassy or Consulate General of Japan in your country for the most up-to-date and accurate information.

Register at Your Local City Hall or Ward Office

When you first move to Japan, there are several important services and registrations that you need to complete at your local city hall or ward office. These registrations are necessary to ensure that you are properly documented and have access to various essential services. Here are some of the registrations you may need to complete:

• Residence Registration (Jūminhyō): Within 14 days of arriving in Japan, you must register your residence at the local city hall or ward office. This registration is necessary for obtaining various documents and services in Japan. You will need your passport, residence card, and a completed application form.

• Alien Registration (Gaikokujin Toroku): If you are a non-Japanese resident planning to stay in Japan for more than 3 months, you must apply for Alien Registration at the local city hall or ward office.

• My Number Card Registration: The My Number system is a unique identification system in Japan. Once you have registered your residence, you may be required to apply for a My Number Card at the local city hall or ward office. This card is used for various administrative procedures, such as taxes and social security.

• National Health Insurance (Kokumin Kenko Hoken): If you plan to reside in Japan for an extended period (over 1 year), you are required to join the National Health Insurance program. You must apply for this at the city hall or ward office. You will need your residence card, passport, and other necessary documents as specified by the local government. See below for more details.

• Pension and Social Insurance: You may need to enroll in the National Pension Scheme and Employee Health Insurance or Employee’s Pension Insurance if you are employed. These registrations are typically handled by your employer, but it is essential to confirm the process with your company’s human resources department.

Health Insurance

In Japan, health insurance is mandatory for all residents, including foreigners living in the country. The national health insurance system in Japan is known as “kokumin kenko hoken” or National Health Insurance (NHI). Here’s how health insurance works in Japan:

• Enrollment: All residents in Japan, including foreign residents staying for more than three months, are required to enroll in the National Health Insurance system. Enrollment is typically done at the local city or ward office where you reside. Upon enrollment, you will receive a health insurance card.

• Premium Payments: Health insurance premiums are based on your income and are generally paid monthly. The premium amount is calculated as a percentage of your annual income. If you are employed, your employer will deduct the premium directly from your salary. If you are self-employed or not employed, you will need to pay the premiums directly to the local city or ward office.

• Coverage: Once enrolled, you are entitled to various health services and benefits. The National Health Insurance covers a significant portion of medical expenses, typically around 70% to 80%. The remaining 20% to 30% is your responsibility and is known as “co-payment.” The co-payment amount can be reduced for individuals with low incomes or certain medical conditions.

• Health Services: With National Health Insurance, you have access to a wide range of healthcare services, including consultations with doctors, hospitalization, surgeries, medication, preventive care, and emergency treatment. You can choose any medical institution or doctor that accepts National Health Insurance.

• Insurance Card: Your health insurance card, known as “kenko hoken card,” is an important document to carry with you whenever you visit a medical institution. It contains your personal information, insurance details, and a unique identification number. Please note that the My Number Card will replace the separate insurance card from some point in autumn 2024 (actual dates are likely to vary by municipality).

• Medical Procedures and Reimbursement: When you receive medical treatment or purchase prescribed medication, present your health insurance card at the reception desk or pharmacy. The medical institution will submit a claim to the insurance system, and you will be responsible for paying the co-payment amount at that time. Later, you will receive a reimbursement for the insurance-covered portion through your bank account or as a deduction from future premiums.

It is worth noting that some foreign residents may be eligible for coverage under the Employees’ Health Insurance system, depending on their employment status and income level.

It is, moreover, important to keep your health insurance premiums up to date and carry your health insurance card with you at all times. If you have specific questions or need detailed information, it is recommended to consult the local city or ward office or the National Health Insurance section of the Health and Welfare Bureau for specific guidance related to your situation.

Cost of Living

Japan has a reputation for being an expensive country, although lately the Japanese yen has lost much of its value relative to the U.S. dollar.

While this can vary depending on the location, cities like Tokyo, Osaka, and Kyoto tend to have higher living costs.

Rent, utilities, transportation, and groceries can be significant expenses. Research and plan your budget accordingly.

Housing

Finding accommodation in Japan can be challenging, especially in popular urban areas.

The rental market often requires a substantial upfront payment, including a security deposit, key money, and agency fees.

Consider using a real estate agent such as Tokyo Portfolio to assist you in finding suitable housing.

Banking

While companies like Wise would, for example, like you to believe that you can take care of all of your banking needs in multiple countries without the need for local banking accounts, at this point the reality is that for many reasons life will be a whole lot easier by opening a local bank account in Japan.

Here are some steps for setting up a bank account in Japan:

• Choose a Bank: Research and select a bank that suits your needs. Japan’s three most well-known “megabanks” include Mizuho Bank, MUFG Bank, and Sumitomo Mitsui Banking Corporation (SMBC). SMBC is also Japan’s largest personal credit card issuer. Thus, if you intend to try to link as many financial services under a single roof as possible, SMBC, which is, by the way, called Mitsui Sumitomo Bank in Japanese, may be a good option. There are also many convenient internet banks, a few of which cater to foreign (English speaking) consumers such as Sony Bank, Shinsei Bank, and Rakuten Bank. Many of the internet banks now offer a limited number of monthly transactions (e.g., 4x per month) for no-fee cash withdrawals from ATMs located at any of Japan’s 50,000 convenience stores. Another option would be to visit any post office and open up a bank account at the Japan Post Bank. Please note, however, that while the ability to do banking at any post office in Japan can be convenient, this particular bank seems to have various Japan-specific protocols that can sometimes make it difficult to transfer money overseas. Especially if you end up living in the countryside, you may find, however, that it is necessary to use a local or regional bank to set-up an automatic payment schedule to pay taxes and social welfare premiums.

• Gather the Required documents: Prepare the necessary documents for opening a bank account. Typically, you will need:
  • Residence Card or Valid Visa: Non-residents will need their residence card or an appropriate visa.
  • Proof of Address: Provide a document that verifies your current address, such as a utility bill or a rental agreement.
  • Personal Seal (hanko): In Japan, it is common to have a personal seal for official documents. Some banks may accept a signature instead, but having a personal seal is recommended.
  • Personal Identification: Carry your passport or another valid form of identification.
  • Inkan Certificate (if applicable): If you have a registered personal seal (inkan) at your local municipal office, you may need to obtain an inkan certificate.

• Visit the Bank Branch: Register on-line or go to a branch of the chosen bank and request to open an account. It is best to contact the bank in advance to confirm the required documents and make an appointment if necessary.

• Complete the Application Form: Fill out the account opening application form provided by the bank. Ensure that you provide accurate information.

• Submit the Required Documents: Present all the necessary documents to the bank staff. They will verify your information and process your application.

• Deposit Initial Funds: Depending on the bank’s policy, you may need to make an initial deposit to activate the account. The required amount can vary, so it is advisable to inquire beforehand.

• Receive your Bankbook or Debit Card: Once your account is opened and activated, the bank will provide you with a bankbook (tsūchō) or a debit card (cash card). The bankbook is commonly used for transactions and keeping track of your balance, while the debit card allows you to withdraw cash from ATMs.

Paying Taxes

In Japan, taxes are paid on an annual basis, and the tax year follows the calendar year, starting from January 1st and ending on December 31st. Here are the key points regarding how and when to pay taxes in Japan:

• Income Tax
  • Filing: If you earn income in Japan, you are generally required to file an annual income tax return. The tax return filing period is from February 16th to March 15th of the following year. However, the deadline may vary depending on individual circumstances or if you use a tax accountant.
  • Withholding: If you are employed by a Japanese company, your employer will deduct income tax from your salary through the withholding tax system (pay-as-you-earn). The tax is withheld based on your estimated annual income, and adjustments may be made when filing the tax return.
  • Final Tax Payment: After filing your tax return, if there are any outstanding tax liabilities or adjustments, you may need to make a final tax payment by the deadline specified in the tax return notice.

• Consumption Tax
  • Value Added Tax (VAT): Consumption tax, also known as VAT, is levied on goods and services in Japan. The current standard rate is 10%. It is typically included in the price of goods and services you purchase.
  • Collection: Businesses collect consumption tax from consumers on behalf of the government. When making purchases, the tax is already included in the total amount payable.

• Local Taxes
  • Residence Tax: Local governments levy residence tax (juminzei) based on your income and assets. The tax is calculated separately from national income tax and is payable to your local municipality. The payment is divided into two installments, due in June and December each year.
  • Property Tax: If you own real estate in Japan, you may be subject to property tax levied by the local government. The payment period and procedures may vary depending on the municipality.

It is important to note that tax rules and regulations may change, so it’s advisable to consult with a tax professional, such as a tax accountant or the local tax office, to ensure you have accurate and up-to-date information regarding your specific tax obligations in Japan. They can provide guidance on tax deductions, exemptions, and other relevant details based on your individual circumstances.

Transportation

Japan has an extensive and efficient transportation network, including trains, subways, buses, and taxis. Owning a car in urban areas can be expensive due to high parking costs and traffic congestion. Public transportation is, therefore, generally reliable and widely used.

School Options for Your Children

If you have children, research the education system in Japan and consider the options available for their schooling. International schools are an option for expatriate families, but they can be expensive. Public schools are also available but primarily teach in Japanese. For a detailed list of the most popular international schools, please refer to “The Best International Schools in Tokyo, According to Expats” (https://tokyoportfolio.com/best-international-schools-in-tokyo/).

Work Culture

Japanese work culture is known for its long working hours and dedication to one’s job. Overtime work is common, and there is a strong emphasis on teamwork and hierarchy.

Understanding and adapting to the cultural expectations in the workplace is crucial. To get along with your fellow associates on the job at a Japanese company in Japan, here are some tips to keep in mind:

• Respect Hierarchy and Seniority: Japanese companies have a strong hierarchical structure. Show respect to your superiors and address them using appropriate honorifics. Avoid interrupting or contradicting them publicly. It’s also common to use more formal language when speaking to senior colleagues.

• Observe Proper Etiquette: Punctuality is highly valued in Japanese business culture. Arrive on time for meetings and appointments. Maintain a professional and respectful demeanor, both in formal settings and during casual interactions. Politeness and modesty are appreciated.

• Group Harmony (wa): Japanese culture emphasizes the concept of “wa” or harmony within the group. Strive to maintain positive relationships with your colleagues and avoid actions that may cause conflict or disrupt the group dynamic. Cooperation and consensus-building are valued.

• Communication Style: Japanese communication tends to be indirect and nuanced. Pay attention to non-verbal cues and read between the lines. Listen actively and avoid dominating conversations. When expressing disagreement, do so tactfully and respectfully.

• Building Relationships: Engage in informal social activities with your colleagues, such as after-work outings (known as “nomikai”) or team-building exercises. Participating in these activities helps strengthen relationships and fosters a sense of camaraderie.

• Teamwork and Collaboration: Japanese companies place great importance on teamwork. Contribute actively to group projects and be willing to offer assistance to your colleagues. Sharing knowledge and supporting one another is highly valued.

• Dress Code: Observe the company’s dress code and adhere to appropriate business attire. Dress professionally, even if the company has a more casual environment.

• Business Cards (meishi): Exchanging business cards is a common practice in Japan. Carry your own business cards and present them with both hands, ensuring that the text faces the recipient. Receive business cards respectfully and take a moment to examine them before putting them away.

• Continuous Learning: Show enthusiasm for learning about Japanese culture and language. Demonstrating an interest in understanding the local customs and language can be appreciated by your colleagues.

Remember that cultural practices and expectations may vary among companies and individuals. Be observant and adapt to the specific environment and dynamics of your workplace. Building positive relationships and demonstrating respect for Japanese customs can contribute to a harmonious and productive work experience in a Japanese company.

Ways to Lessen Culture Shock

• Language: While English is taught in Japanese schools, the overall English proficiency in Japan is relatively low. It is, therefore, beneficial to learn basic Japanese phrases and expressions to navigate daily life, especially outside major cities where English usage is less common.

• Cultural Etiquette: Japanese culture places great importance on politeness, respect, and adherence to social norms. Familiarize yourself with basic Japanese etiquette, such as bowing, removing shoes indoors, and proper table manners. Respecting local customs will help you integrate better into the community.

• Social Integration: Engage in social activities and join local communities to meet people and make friends. Learning about and participating in Japanese traditions and festivals can enhance your experience and help you build connections.

When moving into a new neighborhood in Japan, it is common for Japanese people to introduce themselves to their neighbors to establish a friendly relationship. Here are some typical ways Japanese people introduce themselves in such situations:

• Greeting in Person: Japanese people may personally visit their neighbors’ houses to introduce themselves. They might bring a small gift, such as a box of sweets or a plant, as a gesture of goodwill. They will usually bow and say, “Konnichiwa” (Hello) and introduce themselves with their name and the fact that they have recently moved into the neighborhood. They may also express their desire to get along well with their neighbors. Please note that—particularly in Tokyo—you may find that your neighbors do not abide by this traditional practice. You may, moreover, be surprised to find that you may never meet some of your neighbors.

• Introduction Letter: Another method is to write an introduction letter to be delivered to the neighbors’ mailboxes. The letter typically includes information about the individual or family moving in, their names, and sometimes a brief personal background. They may also include contact information, such as their phone number or email address, to facilitate communication.

• Neighborhood Association Meetings: In some neighborhoods, there may be regular neighborhood association meetings or gatherings where new residents are introduced. These events provide an opportunity for newcomers to meet their neighbors and introduce themselves in a more formal setting.

• Community Events: Participating in community events and festivals can also be an excellent opportunity to meet neighbors and introduce oneself. These events often foster a sense of community and provide a friendly atmosphere for neighbors to get to know each other.

• Online Platforms: With the increasing use of social media and online platforms, some Japanese neighborhoods have dedicated online communities or groups where residents can introduce themselves, ask questions, and interact with their neighbors virtually.

Regardless of the method chosen, it is generally appreciated to be respectful, polite, and mindful of local customs when introducing oneself to neighbors in Japan. Taking the initiative to reach out and establish a positive relationship with neighbors is considered a valued aspect of community life in Japanese culture.

Remember that every individual’s experience may vary, and immersing yourself in the local culture will enrich your time in Japan. Research, plan ahead, and maintain an open mind to make your transition to living in Japan a smooth and enjoyable one.