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If you live and work in Japan, chances are you regularly send money to family back home — or move your savings to your home account. And if you've ever done it through a Japanese bank, you already know the pain: paperwork, high fees, and an exchange rate that quietly takes more than the fee itself.

This guide compares the main ways to send money out of Japan, explains where the hidden costs are, and shows you what documents you need to get set up.

The Hidden Cost Nobody Tells You About: the Exchange Rate

Most people compare only the transfer fee. But the bigger cost is usually the exchange rate markup: many banks and remittance shops convert your yen at a rate 1–3% worse than the real market rate ("mid-market rate") and keep the difference.

On a 100,000 yen transfer, a 2% markup is 2,000 yen — often more than the visible fee. So when comparing services, always check the total amount your family actually receives, not just the fee.

Your Main Options from Japan

1. Japanese Bank International Transfer (銀行の海外送金)

Available at major banks, but typically the most expensive route: transfer fees of several thousand yen, plus correspondent bank charges along the way, plus an exchange-rate markup. Processing can take several business days, and some banks require you to visit a branch with extensive paperwork. Reasonable for very large one-off transfers; painful for monthly remittances.

2. Remittance Shops & Cash Services (Western Union, etc.)

Useful when the recipient needs cash pickup or has no bank account — strong in corridors like the Philippines, Vietnam, and Nepal. Fees vary widely by destination and amount, and exchange-rate markups apply. Convenient, but rarely the cheapest for bank-to-bank transfers.

3. Online Transfer Services — Our Pick: Wise

Wise (formerly TransferWise) is a licensed money-transfer provider in Japan and has become the default choice for many foreign residents. Here's why:

  • Real mid-market exchange rate — no markup; you see the same rate as Google
  • One transparent fee, shown upfront — you know exactly what the recipient gets before you press send
  • Fast — many popular routes arrive within hours, some within minutes
  • Fully online — sign up, verify, and send from your phone in English (and several other languages)
  • Multi-currency account — you can also hold foreign currencies and receive money from abroad

The honest caveats: Wise is bank-to-bank (no cash pickup), per-transfer limits apply depending on the route, and for some rare currency corridors a specialist service may still win. For the common case — salary earned in Japan, sent to a bank account back home — it's very hard to beat.

[AFFILIATE LINK: Wise — button text: "Check Wise's Rate for Your Country (Free to Sign Up)"]

What You Need to Get Set Up (Japan Residents)

International remittance from Japan is regulated, so every legitimate service will verify your identity. Have these ready:

  1. Residence card (在留カード) — with a valid visa status
  2. My Number — required by law for international remittance services in Japan
  3. A Japanese bank account to fund your transfers
  4. Your recipient's bank details (account number, bank name; requirements vary by country)

Verification is done online with a photo of your documents and usually completes within a few days. Do this once, then future transfers take minutes.

Quick Comparison

Bank Transfer Cash Services Wise
Total cost High (fee + markup + intermediary charges) Medium–High Low (one fee, real rate)
Speed Days Minutes–hours Minutes–hours (route dependent)
Cash pickup No Yes No
English support Limited Varies Yes
Best for Large one-off transfers Recipients without bank accounts Regular remittances

FAQ

Q: Is it legal to send my salary overseas?
A: Yes, completely — as long as the money was earned legally and you use a licensed service. That's also why services ask for your My Number and residence card: it's a legal requirement, not a red flag.

Q: Do I pay tax when sending money home?
A: Sending money you already earned (and paid Japanese taxes on) is not taxed again when you transfer it. However, large gifts to family members may have tax implications in your home country — check local rules for big amounts.

Q: What's the cheapest day or time to send?
A: Exchange rates move constantly, but for regular remittances, consistency beats timing. Some services let you set rate alerts so you can send when the yen is stronger.

Q: My country isn't supported — what now?
A: Coverage differs by service. If one doesn't support your corridor, check a cash-based service, or ask in our community — someone from your country has usually solved this already.

The Bottom Line

For most foreign residents in Japan, the winning setup is simple: use an online service with the real exchange rate for regular bank-to-bank remittances, and keep cash-pickup services as a backup for family members without bank accounts. Set it up once, and sending money home becomes a two-minute task instead of a monthly headache.

Questions about remittance from Japan to your specific country? Join our Discord community for foreign residents — ask and compare real experiences. [DISCORD INVITE LINK]

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