Smart Money Japan – Life & Finance for Foreigners in Japan

Introduction If you are coming to Japan as an international student, one of the most important things to prepare is  health (medical) insurance . Japan has both  public health insurance  and  private insurance options . This guide explains  which type you must join , what options are available, and how to protect yourself from expensive medical bills. ✅ Do International Students Need Health Insurance in Japan? Yes! All international students staying in Japan for  more than 3 months  are  legally required  to join  National Health Insurance  (NHI / 国民健康保険). Even if you are healthy, joining NHI is essential because: It  covers 70% of your medical costs Without it,  a hospital visit can cost hundreds of thousands of yen 🏥 1. National Health Insurance (NHI) 📌 What is it? NHI is a  public insurance system  managed by the city or ward office. It is for students, freelancers, part-time workers, or anyone not covered b...

  Introduction If you live and work in Japan, you may have heard about  Resident Tax  (住民税,  juuminzei ). But what is it exactly? And do  foreign residents  have to pay it too? In this article, we’ll explain  what the Resident Tax is ,  how it’s calculated , and  whether foreigners need to pay it  — in simple English. ✅ What Is Resident Tax? Resident Tax is a  local tax  paid to your  city and prefecture  based on your  income from the previous year . It is separate from: Income Tax (所得税) : Paid to the national government Resident Tax (住民税) : Paid to local governments 📌 You pay  Resident Tax to the city/ward where you lived on January 1st  of the current year. 💡 Do Foreigners Have to Pay It? ✅  Yes , foreigners who live in Japan are  required to pay Resident Tax , just like Japanese citizens — if they meet certain conditions. You must pay if: You have lived in Japan  as of January 1st Y...

  Introduction If you're a foreign resident in Japan and want to invest in stocks, ETFs, or mutual funds, the first step is to  open a securities account . This guide will walk you through  how foreigners can open a brokerage account in Japan , what documents are needed, and which companies are foreigner-friendly. ✅ Can Foreigners Open a Securities Account in Japan? Yes!  Foreigners with a valid residence status can open a securities account in Japan. You’ll need to: Have a  residence card (在留カード) Have a  My Number (マイナンバー)  card or notification Be  at least 18 years old Have a  Japanese address and phone number 📝 Note: You must also  not be a U.S. citizen , as many Japanese brokers do not accept U.S. residents due to tax regulations (FATCA). 📁 Required Documents To open your account, you'll typically need: Document Description 🪪 Residence Card Must be valid and show your visa type & address 🧾 My Number Either the card or notific...

Introduction If you’re living in Japan as a foreigner, one important part of your life is  health insurance . But Japan has  two types  of health insurance systems: Public Health Insurance  (required) Private or Voluntary Insurance  (optional) In this article, we’ll explain the difference between these two, and help you understand  which one you need , and  why both can be useful . ✅ 1. What Is Public Health Insurance in Japan? Japan has a  universal healthcare system , and  everyone living in Japan for more than 3 months  must join one of the two types of public health insurance: a) Employees’ Health Insurance (Shakai Hoken / 社会保険) For full-time company workers Premiums are shared between you and your employer Includes pension and unemployment insurance Automatically deducted from your salary b) National Health Insurance (Kokumin Kenkō Hoken / 国民健康保険) For students, freelancers, part-time workers, or unemployed You pay the full premium y...

  Introduction If you live in Japan and are interested in investing, you’ve probably heard of  NISA  — a tax-free investment account. In 2024, Japan launched a  new version of NISA  with improved benefits. But many foreign residents wonder: “Can I use it?”  and  “How does it work?” This article explains the new NISA system in simple English and answers key questions for foreigners living in Japan. ✅ What Is NISA? NISA (Nippon Individual Savings Account)  is a Japanese government program that allows individuals to  invest without paying taxes  on profits. It’s similar to a  Roth IRA or ISA  in other countries. The goal is to help people grow their money through long-term investing. 🌟 What’s New in the 2024 NISA? In January 2024, Japan  reformed the NISA system . Here are the main changes: Feature Before 2024 After 2024 (New NISA) Tax-free period 5–20 years Unlimited (no time limit!) Investment limit ¥1.2–¥1.8 million/year ...