What is a Chingin Daicho (賃金台帳) and Why Every Employer Needs One

Running a business in Japan means more than paying salaries on time. Employers are required by law to keep detailed payroll records, and one of the most important documents is the Chingin Daicho (賃金台帳). For many global companies, this requirement comes as a surprise—but failing to maintain a proper ledger can lead to penalties and compliance risks.At Outsourcing Japan, we help employers understand and manage their statutory obligations, ensuring payroll practices remain both compliant and efficient. The Chingin Daicho is not just paperwork—it is a cornerstone of labor compliance in Japan.

1. What is a Chingin Daicho (賃金台帳)?

A Chingin Daicho is a statutory payroll ledger that records each employee’s wages, working hours, and deductions. It is required under Japan’s Labor Standards Act (労働基準法), and every employer—regardless of size—must maintain one.Typical entries include:Employee name and hire dateWorking days and hoursOvertime, holiday, and late-night hoursBase salary, allowances, and bonusesDeductions (income tax, social insurance, etc.)Net wages paid and payment dateThe format is not strictly defined by law, but the information must be clear, accurate, and up to date.

2. Why Employers Must Keep It

The Chingin Daicho serves several purposes:Legal Compliance – Labor inspectors (労働基準監督署) may request to see payroll ledgers during audits or investigations. Missing or inaccurate records can result in fines.Employee Protection – It provides employees with proof of proper wage calculation, ensuring transparency and fairness.Corporate Governance – Accurate payroll data helps companies manage costs, budget properly, and avoid disputes.In short, it is both a legal obligation and a risk management tool.

3. Common Challenges for Global Companies

For foreign companies entering Japan, maintaining a Chingin Daicho can be unexpectedly complex:Language Barriers – The ledger must be prepared in Japanese for compliance purposes.Regulatory Nuances – Japan has strict rules on overtime, allowances, and deductions that differ from other countries.System Gaps – Global payroll software often does not generate compliant Japanese ledgers.Without local expertise, companies risk errors that could result in penalties or employee dissatisfaction.

4. How Outsourcing Solves the Problem

At Outsourcing Japan, we provide payroll services that automatically generate compliant Chingin Daicho records. Our solutions ensure:Accuracy – Every entry (salary, overtime, deductions) is calculated correctly.Compliance – Records meet the requirements of Japanese labor law.Efficiency – Employers avoid spending excessive time and resources on manual record-keeping.This allows global companies to focus on growing their business in Japan while staying fully compliant.

Summary

A Chingin Daicho (賃金台帳) is more than a payroll form—it is a legal requirement and a safeguard for both employers and employees. By maintaining accurate records, companies protect themselves from compliance risks and build trust with their workforce.With Outsourcing Japan as your partner, payroll compliance becomes seamless, allowing you to focus on strategy and growth.