This is an English translation of our Japanese article. The Japanese version and the source documents published by Japan's Ministry of Health, Labour and Welfare are authoritative. Prefectural minimum wage figures below include amounts that are still at the recommendation stage, so confirm the final rate and effective date with your Prefectural Labour Bureau.
Last updated: 31 August 2026. Based on the Ministry of Health, Labour and Welfare's "Guidelines for the FY2026 revision of regional minimum wages", the subcommittee document "Public Assistance and the Minimum Wage", and the ministry's "Method for calculating livelihood assistance standards (April 2026)".
The short answer. The claim that "you get more on welfare than by working" does not hold anywhere in Japan today. In the ministry's own comparison, the minimum wage measured after income tax, resident tax and social insurance exceeds the public assistance standard in all 47 prefectures, by 325 to 420 yen per hour. But that figure compares only livelihood assistance plus housing assistance. Medical assistance, which makes hospital visits free for recipients, is not counted at all. This article walks through how the ministry actually runs the comparison, the number for every prefecture, and why the two cannot be read as a simple ranking.
From October 2026 the minimum wage averages 1,176 yen
On 28 July 2026 the Central Minimum Wage Council issued its guideline for the FY2026 revision. The recommended increases were 54 yen for Rank A, 56 yen for Rank B and 56 yen for Rank C, giving a national weighted average rise of 55 yen, or 4.9%, from 1,121 yen to 1,176 yen.
The previous year's guideline was 66 yen and 6.3%, so both the amount and the rate fell. Even so, 55 yen is historically large, and double-digit annual increases remain the norm.
Each prefecture's council then deliberates and the Director of the Prefectural Labour Bureau sets the actual rate. As of the end of August 2026, Tokyo had been recommended at 1,280 yen, Osaka at 1,231 yen and Hokkaido at 1,131 yen. Most effective dates fall between 1 and late October; Tokushima and Ehime take effect on 1 November and Kyoto on 16 November. As of 30 August, four prefectures — Iwate, Saga, Kumamoto and Okinawa — had not yet issued a recommendation.
For the full prefectural list and how this interacts with the removal of the so-called 1.06 million yen social insurance threshold in the same month, see October 2026 changes everything for part-time workers.
Why the two are compared at all
This is not a talking point; it is a statutory requirement. Article 9(3) of the Minimum Wage Act states that in setting regional minimum wages, consideration shall be given to consistency with public assistance policy, so that workers can maintain a minimum standard of wholesome and cultured living.
The clause was added in the 2007 amendment to the Act. At the time, in some prefectures a worker on the minimum wage working close to full time actually took home less than the public assistance standard. That is what is meant by the reversal.
The reversal is usually discussed as a problem of work incentives, but the statute is built the other way round. The Act does not reference public assistance in order to push benefits down. It references it as a floor beneath which wages must not fall. The purpose of the comparison is to raise the bottom of the wage scale, not to cut assistance.
To verify that consistency, the ministry submits a document titled "Public Assistance and the Minimum Wage" to the Central Minimum Wage Council's subcommittee each year, showing the result prefecture by prefecture. The figures below come from the latest edition.
How the ministry runs the comparison
Most articles on this topic never state their assumptions. The ministry's method is set out explicitly in the document, so it is worth starting there.
Public assistance side (monthly)
Population-weighted average of the livelihood assistance standard (Category 1 + Category 2 + year-end lump sum) plus actual housing assistance
Note: the livelihood assistance standard used is that for a single person aged 18 to 19, including the winter supplement.
Minimum wage side (monthly)
Minimum hourly wage × 173.8 hours × 0.824
Note: 173.8 hours is the assumed working month. 0.824 is the ratio of disposable income to gross income for someone earning 951 yen an hour over 173.8 hours, after tax and social insurance.
Three things follow from this.
First, the wage side is measured net. The 0.824 coefficient strips out income tax, resident tax and social insurance contributions. Nothing is compared on a gross basis. That ratio rose from 0.807 the previous year because Japan's 2024 fixed-amount tax cut (30,000 yen of income tax and 10,000 yen of resident tax) is now reflected in it.
Second, the assistance side covers only two of the eight benefits. Public assistance comprises livelihood, education, housing, medical, long-term care, maternity, occupational and funeral assistance. Only livelihood and housing enter the comparison.
Third, the two sides come from different years. The latest document uses FY2024 data for public assistance and FY2025 data for the minimum wage, because assistance figures take longer to finalise. The wage increase therefore lands in the comparison first.
The minimum wage is higher in all 47 prefectures
Every prefecture shows a negative gap. The gap here is "public assistance level minus minimum wage (net)", converted to an hourly figure, so a negative number means the minimum wage is higher. A reversal would show up as a positive number.
Tokyo's gap, for example, is minus 365 yen: take-home pay at the minimum wage exceeds the public assistance standard by 365 yen for every hour worked. Over 173.8 hours that is roughly 63,000 yen a month.
The table lists the latest gap for each prefecture — FY2024 assistance data with the FY2025 minimum wage applied — ordered from the smallest margin upward. The higher a prefecture appears, the closer the two levels are.
| Prefecture | Gap | Prefecture | Gap |
|---|---|---|---|
| Miyagi | −325 yen | Hokkaido | −330 yen |
| Aomori | −341 yen | Okayama | −342 yen |
| Yamagata | −349 yen | Ehime | −352 yen |
| Saitama | −354 yen | Okinawa | −354 yen |
| Niigata | −355 yen | Kyoto | −355 yen |
| Akita | −356 yen | Hyogo | −357 yen |
| Iwate | −358 yen | Hiroshima | −359 yen |
| Fukushima | −361 yen | Nara | −361 yen |
| Kagawa | −362 yen | Fukuoka | −362 yen |
| Tokyo | −365 yen | Tottori | −367 yen |
| Ishikawa | −368 yen | Nagasaki | −371 yen |
| Kochi | −372 yen | Miyazaki | −374 yen |
| Chiba | −375 yen | Wakayama | −375 yen |
| Tochigi | −376 yen | Shizuoka | −377 yen |
| Kumamoto | −379 yen | Kagoshima | −379 yen |
| Gunma | −380 yen | Gifu | −382 yen |
| Shiga | −382 yen | Fukui | −384 yen |
| Shimane | −384 yen | Saga | −387 yen |
| Nagano | −388 yen | Oita | −388 yen |
| Toyama | −392 yen | Kanagawa | −394 yen |
| Osaka | −395 yen | Yamaguchi | −399 yen |
| Yamanashi | −403 yen | Ibaraki | −410 yen |
| Aichi | −411 yen | Mie | −416 yen |
| Tokushima | −420 yen |
Source: Ministry of Health, Labour and Welfare, "Public Assistance and the Minimum Wage" (Central Minimum Wage Council subcommittee, Document No. 3). Assistance data FY2024, minimum wage data FY2025. A negative figure is the hourly margin by which the minimum wage exceeds the assistance level. Shaded rows are the six narrowest margins.
The narrowest margin is Miyagi at 325 yen and the widest is Tokushima at 420 yen. Tokyo, Kanagawa and Osaka — the metropolitan areas where reversals once occurred — now sit at 365, 394 and 395 yen respectively.
It is worth noting where that headroom came from. The ministry also decomposes the year-on-year change. In Miyagi the gap widened by 79 yen, of which 65 yen came from the minimum wage increase and 15 yen from the disposable income ratio rising from 0.807 to 0.824 — that is, from the fixed-amount tax cut. Because that cut applied only to 2024 income, the 15 yen may move in the opposite direction in future editions.
What the assistance standard actually pays
The gap figure is abstract, so here is the assistance side in yen. Using the ministry's April 2026 standards for a single person aged 20 to 40:
| Component | Class 1-1 (central Tokyo) | Class 3-2 (rural towns) |
|---|---|---|
| Livelihood assistance, Category 1 | 46,930 yen | 38,950 yen |
| Livelihood assistance, Category 2 | 27,790 yen | 27,790 yen |
| Special supplement (per person) | 1,500 yen | 1,500 yen |
| Transitional supplement | 200 yen | 0 yen |
| Livelihood assistance subtotal | 76,420 yen | 68,240 yen |
| Housing assistance (cap, actual cost) | 53,700 yen | 40,900 yen |
| Minimum cost of living | 130,120 yen | 109,140 yen |
Calculated by our editorial team from the ministry's standard tables. Single person, no disability or single-parent supplements, winter supplement excluded. Housing assistance is shown at the cap; in practice the actual rent paid is covered up to that cap.
Set against the minimum wage — Tokyo's recommended 1,280 yen for FY2026, 173.8 hours, net ratio 0.824:
A difference of roughly 53,000 yen a month. Stopping there, however, would be a misreading.
Public assistance is not a payment of that amount to anyone with no income. Where a household has income, only the shortfall is paid. In an area with a 130,000 yen minimum cost of living, a household earning 100,000 yen receives the remaining 30,000 yen. The comparison above sets two benchmark lines side by side; it does not mean recipients receive more than people who work.
Three reasons the comparison is not a ranking
1. Medical and long-term care costs are excluded
Public assistance includes medical assistance: treatment at designated providers carries no patient charge, and long-term care assistance works the same way. For someone with a chronic condition and monthly appointments, that is worth thousands to tens of thousands of yen. A minimum wage worker pays health insurance premiums, then 30% at the counter, and claims back through the high-cost medical expense benefit. None of that difference is inside the 53,000 yen.
2. Housing assistance is a cap, not a payment
Housing assistance covers the rent actually paid, up to the cap. A recipient in a 30,000 yen flat receives 30,000 yen; the difference from Tokyo's 53,700 yen cap is not paid out in cash. Because the table above uses the cap, many households actually receive less than it shows.
3. The benchmark household is a single person aged 18 to 19
The livelihood assistance standard used in the gap calculation is that of a single person aged 18 to 19. Larger households have a higher minimum cost of living, and disability, single-parent and child-rearing supplements change it again. Workers with dependants likewise need more. A margin derived from a single-person model does not transfer to a household with children.
The question "is it better to work or to receive assistance" is itself badly formed. Public assistance rests on the right to life under Article 25 of the Constitution of Japan, and is paid only after assets, capacity to work, family support and every other scheme have been exhausted — and then only to cover the shortfall. It is not a scheme whose advantage can be judged by comparing incomes.
Two significant changes to public assistance in 2026
Supreme Court ruling and retroactive payments (claim by 31 July 2027)
On 27 June 2025 the Supreme Court held that the deflation adjustment within the phased reductions to livelihood assistance standards from 2013 was unlawful, finding errors and omissions in the process by which the Minister reached that judgement. Retroactive payments are now being made.
| Item | Detail |
|---|---|
| Who qualifies | All households that received assistance between August 2013 and September 2018. Also, among households receiving assistance between October 2018 and March 2026, certain long-term hospital or facility residents, disability supplement recipients and year-end lump sum recipients |
| Amount | Based on the difference between the "new" and "former" livelihood assistance levels. Uplift rates: 0.8% for Aug 2013–Mar 2014, 1.6% for Apr 2014–Mar 2015, 2.4% from Apr 2015 |
| Currently receiving | No claim needed; municipalities pay automatically |
| No longer receiving | You must claim from the municipality that administered your case |
| Claim window | 1 August 2026 to 31 July 2027 |
The point most often missed is that people who are no longer on assistance also qualify. If you received assistance then and have since become self-supporting, nothing is paid unless you come forward. The deadline is 31 July 2027, and the ministry has set up a dedicated advice centre.
The special supplement rises to 2,500 yen in October 2026
The special supplement to livelihood assistance, introduced in FY2023 in response to rising prices, went from 1,000 to 1,500 yen per person per month in October 2025. From October 2026 it is set to rise by a further 1,000 yen to 2,500 yen. For a single-person household that adds 1,000 yen to the subtotal above. The timing and amount are fixed by ministerial notification, so confirm the latest position with the official announcement.
Working while receiving assistance
It is often said that earnings simply reduce the benefit one for one. That is not accurate. Earned income attracts an employment deduction, so part of what you earn is not counted as income at all.
There are three: the basic deduction, the new-employment deduction and the minor's deduction. The basic deduction, the main one, rises in proportion to earnings, so the household's total resources increase the more you work. The exact amount varies with earnings, household composition and area, so check with your caseworker at the welfare office.
The useful comparison is between combinations of schemes, not between "assistance" and "work". A working household on low earnings may qualify as a resident-tax-exempt household, which brings reduced National Health Insurance premiums, a lower cap under the high-cost medical expense benefit, and various municipal payments. Our take-home boost checklist collects the practical moves.
What to do today
- Check your prefecture's FY2026 minimum wage and its effective date. Some take effect on 1 October, Kyoto not until 16 November. In the month the change lands, pay is split between the old and new rates, so check your payslip.
- If you have ever received public assistance, check whether the retroactive payment applies. Anyone who received it between August 2013 and September 2018 qualifies. If you are no longer receiving assistance you must claim, and the deadline is 31 July 2027.
- If your household income is near the minimum cost of living, check the resident-tax exemption threshold. It may unlock premium reductions and municipal payments.
Frequently asked questions
Is there really no prefecture where the minimum wage falls below public assistance?
In the ministry's latest document to the Central Minimum Wage Council, the gap is negative in all 47 prefectures, meaning the minimum wage measured after tax and social insurance exceeds the public assistance level everywhere. The margin ranges from 325 yen in Miyagi to 420 yen in Tokushima. That comparison covers only livelihood and housing assistance; medical and long-term care assistance are excluded.
Are the 325 and 420 yen figures monthly or hourly?
Hourly. The ministry divides the monthly assistance level by 173.8 hours to reach an hourly figure, and compares it with the minimum hourly wage multiplied by the disposable income ratio of 0.824. Miyagi's 325 yen corresponds to roughly 56,000 yen a month.
Why is assistance data from FY2024 compared with FY2025 wages?
Assistance figures, particularly actual housing assistance, take time to finalise, so the most recent usable data is a year older. Minimum wages are revised every October, so a newer figure is available. As a result the wage increase is reflected first and the gap tends to appear slightly wider.
If I take a part-time job while on assistance, does my benefit fall by the same amount?
No. Earned income attracts an employment deduction (basic, new-employment and minor's deductions), so a portion is not counted as income. The basic deduction rises with earnings, so the household's total resources increase the more you work. The exact figure depends on household composition and area, so ask your caseworker.
I received assistance in the past but not now. Can I get the retroactive payment?
Yes, if you meet the conditions. Households that received assistance between August 2013 and September 2018 qualify even if they no longer receive it. In that case you must claim from the municipality that administered your case. The claim window runs from 1 August 2026 to 31 July 2027.
Sources
This article is general information on Japan's tax and social security systems and does not determine eligibility or amounts in any individual case. For questions about applying for or receiving public assistance, contact the welfare office of your municipality. For questions about wages and the minimum wage, contact your Prefectural Labour Bureau or Labour Standards Inspection Office.