Social Security: Tax Deduction for Social Insurance Premium of Spouse

Japanese Version

 It is not uncommon that both husband and wife work among couples of world talents in Japan. A typical case is that a husband works on full time basis and a wife does on part time basis (up to 28 hours a week). Even a wife, working on part time basis, has to enroll Japan’s social security schemes (health insurance, pension) and to pay premium by herself when she earns more than a threshold amount. Amount of the premium to social insurance can be however deducted from income before tax and be compensated partly by reduction of income and residential tax. This is called as “tax deduction for social insurance premium”.

 In case spouse’s annual income and status of spouse’s employer fall into the case below, spouse’s premium to social insurance can be deducted from income of a main household for larger tax deduction. Should your family case be applicable, I recommend to read the rest of this article. Even if not, you understand better how the tax deduction for social security insurance premium works by reading the rest of this article.

  • Case: Spouse’s annual salary is more than JPY 1.06 M or 1.30 M AND Spouse or its employer does not enroll Employee Pension nor health insurance union so that Spouse enrolls National Pension and National Health Insurance by itself.

 Full article of this topic is here, which covers overview of tax deduction for social insurance premium. For details please contact HR department of your employer, a national tax office nearby or a tax accountant.