I am just curious if it is normal for Japanese companies to delay the year-end bonus and salary increase to help prevent higher income tax for its employees.
For context, although my company already informed us about our bonus and salary increase this month, they still said that they will give it to us next year so that our income tax wont be higher.
For me and my coworkers, this system is not proper.
https://www.reddit.com/r/japan/comments/181ukk0/bonus_and_salary_in_japan/
9 comments
Any company that doesn’t pay bonuses in full and when scheduled was built on a red flag burial ground.
Paying out large bonuses in installments over a period of time is not unheard of.
Lol… they want to have better results for 2023 or cannot even pay the bonus as it is scheduled. they don’t care about your income tax…
Sounds a bit dodgy but honestly despite my company not being a black company at all, it does sound like
Something they’d do.
Uhhh…then won’t next year’s taxes be higher?
This is actually disheartening because this company provides a very relaxed working environment.
When I first came to Japan, the company I was working for announced that they were delaying the summer bonus payments. A month later they stopped being able to make payroll at all and within a few months declared bankruptcy and the company founder & president was in jail.
If they’re withholding bonuses and raises and trying to make you think they’re doing you a favour, that’s a good sign that you should be moving on.
Idk anything about Japanese taxes, but logically that’ll just raise your taxes next year as well as push you up the bracket, making you pay much more overall next year. Additionally, it’ll delay your bonus next year, pushing back every subsequent bonus hurting all of you long term. The company is just trying to pad their working capital cycle at your cost, lol.
It would make zero difference, since your salary – next year – would be higher.
Unless they are going to delay your bonus forever…