Can I work a side job in Japan? What should I be aware of?

Hey there! Seeing you ask this question shows you're really motivated. Having a side hustle in Japan is becoming more and more common these days, and I know quite a few friends who are doing it.

In short, the answer is: Yes, but only if you understand a few key points clearly, otherwise you could run into trouble.

Don't worry, it's not that complicated. I'll break it down for you step by step to make sure you understand.

Level 1: Does Your Company Allow It?

This is the first thing you need to confirm, and it's the most direct hurdle.

In Japan, while there's no legal prohibition against employees having side jobs, the vast majority of companies spell it out clearly in their "house rules" – the 《就業規則》(Work Rules).

You definitely signed this document when you joined, or you can find it on the company intranet. Regarding side jobs, company policies usually fall into a few categories:

Prohibited in Principle: Some more traditional or strictly managed large companies explicitly state "side jobs prohibited." If you do it secretly and get caught, consequences range from a warning to disciplinary action or even dismissal.
Requires Application/Permission: This is the most common type nowadays. The company doesn't completely ban it, but you must first report it, explaining what the side job is. The company will assess it (e.g., ensuring it won't affect your main job, isn't for a competitor, etc.), and if approved, will give you the green light.
Notification Only: Some more progressive companies, especially in IT or startups, may only require you to "notify afterward" or "inform in advance," without needing complex approval.
Completely Free: This is rarer, but it exists. These companies don't interfere with your time outside work at all.

🔑 What You Should Do:

Step 1: Find your company's 《就業規則》 and look for the clauses regarding 「副業」(fukugyou - side job) or 「兼業」(kengyou - concurrent job).
Step 2: If it requires permission, communicate honestly and sincerely with your supervisor or HR department. Explain clearly that your side job won't affect your main duties – they are usually reasonable.
Never: Start doing it without knowing the company rules. If discovered, explaining yourself will be difficult and put you in a weak position.

Level 2: Does Your Visa (Residence Status) Allow It?

This is a legal matter and extremely important for us foreigners!

The "Status of Residence" written on your Residence Card (the photo ID card) determines what kind of work you are allowed to do in Japan.

"Engineer/Specialist in Humanities/International Services" and other Work Visas: This is the type held by most Chinese residents in Japan. The implication of this visa is: "We allow you to come to Japan because we value your professional skills in this specific field."
- If your side job is the "same type" as your main job: For example, you're a programmer (Engineer) doing freelance coding gigs on the side. This is usually fine because it falls within the scope of activities permitted by your visa.
- If your side job "crosses over" into a different field: For example, you're an office worker (Specialist in Humanities) but want to wait tables at a friend's restaurant on weekends (this is "simple labor"), or you do manual labor. This is not allowed! It exceeds the scope permitted by your visa.
Solution? Apply for "Permission to Engage in Activity Beyond the Status of Residence"! If the side job you want to do falls outside your current visa's scope, you need to apply to the Immigration Services Agency for 「資格外活動許可」(Permission to Engage in Activity Beyond the Status of Residence).
- This acts like a "patch," allowing you to legally engage in other types of work alongside your main job.
- Important: This permission usually comes with restrictions (e.g., cannot exceed 28 hours per week) and prohibits illegal activities like working in the adult entertainment industry.
"Permanent Resident," "Long-Term Resident," "Spouse or Child of Japanese National" Visas: Congratulations! If you hold one of these visas, there are no work restrictions. You can do any side job you want, as long as it's legal – start a company, open a shop, do part-time work, it's all up to you.

🔑 What You Should Do:

Step 1: Take out your Residence Card and confirm your "Status of Residence."
Step 2: Determine if your intended side job falls within the scope permitted by your visa.
Step 3: If it crosses over, you absolutely must apply for "Permission to Engage in Activity Beyond the Status of Residence" at the Immigration Bureau. Don't take chances; this is a red line.

Level 3: Tax Issues – How to Pay?

You're making money from your side hustle, great! But don't forget, the Japanese tax office is watching.

There's one crucial number here: 200,000 Yen.

If your annual side job profit (income minus necessary expenses) exceeds 200,000 Yen: You must file a 「確定申告」(Final Tax Return) at the tax office between February 16th and March 15th of the following year. Report your side income and pay the corresponding taxes.
If your annual side job profit is less than 200,000 Yen:
- Income Tax (National Tax): You generally don't need to file a Final Tax Return.
- Residence Tax (Local Tax): However! There is no 200,000 Yen exemption for residence tax! Theoretically, even if you earn 1 yen, you need to report it to your local city/ward office. This is usually handled when you file your Final Tax Return. If you don't file one, you need to report your residence tax separately.

⚠️ A Very Important Reminder: How to Avoid Your Company Finding Out?

Many people worry: "If I file taxes, won't my company find out about my side job?" Yes, that's possible. Because when your company handles your residence tax withholding (called 「特別徴収」), the tax office will notify the company of the total tax amount calculated based on all your income (main job + side job). The company might think, "Huh? Why is this person's tax so high?" – and you're exposed.

Here's the Solution!

When filing your 「確定申告」(Final Tax Return), there is an option regarding the "Residence Tax Payment Method." You must select 「自分で納付」(Pay Myself), also known as 「普通徴収」(Ordinary Collection).

This way, the residence tax on your main job income is still withheld and paid by your company. However, the residence tax generated by your side income will be calculated separately, and the payment slips will be sent directly to your home address. You pay them yourself at a convenience store or bank. This way, your company won't notice the change in your income.

🔑 What You Should Do:

Step 1: Develop a good habit of bookkeeping – record every bit of income and necessary expenses from your side job.
Step 2: Calculate your annual profit each year to see if it exceeds 200,000 Yen.
Step 3: If it does, remember to file your 「確定申告」(Final Tax Return) and select the "Pay Myself" option for residence tax.

To Summarize, Three Simple Steps:

Check Company Policy: Look at the "house rules" first. Find out if the company prohibits, permits, or tacitly allows it. This is about navigating workplace norms.
Check Visa Type: Then look at the "national law." Ensure your side job is within your visa's permitted scope; if not, apply for permission. This is the legal bottom line.
Calculate Income & Report Taxes: Finally, manage your "money bag." If your income exceeds 200,000 Yen, be sure to report taxes and choose to pay residence tax yourself. This is your financial responsibility.

Get these three things sorted out, and your side hustle journey in Japan will be secure and sustainable.

Wishing you success with your side hustle in Japan! Good luck! 💪