Japan vs South Korea

Foreigners commonly set up a Kabushiki Kaisha (KK) or the simpler Godo Kaisha (GK). Formation involves preparing articles (notarised for a KK), depositing capital and registering with the Legal Affairs Bureau, followed by tax and social-insurance filings.

Foreign-invested companies register with the court commercial registry (searchable via IROS) and report the investment under the Foreign Investment Promotion Act; a stock corporation (jusik hoesa) is common. A business registration certificate from the tax office follows.

Japan's banking mixes megabanks, regional banks and Japan Post Bank, and cash is still widely used. Foreigners can open accounts, usually needing a residence card, a Japanese address and often a phone number; some banks require a few months of residence.

Korean banking is highly digital. Foreign residents can open accounts, generally needing an alien registration card (ARC); some banks limit features until you have residency. The Bank of Korea is the central bank.

Japan promotes inward investment through JETRO, with generally free capital movement. Investments in designated sensitive sectors need prior notification under the Foreign Exchange and Foreign Trade Act (FEFTA); incentives include subsidies, special zones and support for R&D and regional projects.

South Korea actively attracts FDI through Invest Korea (KOTRA) under the Foreign Investment Promotion Act. Most sectors are open with a short restricted list; you file a foreign-investment notification and can access cash grants, tax reductions and foreign-investment zones. Capital moves freely with reporting under the Foreign Exchange Transactions Act.

Japan levies national income tax (National Tax Agency) plus local inhabitant tax, and a consumption tax on most goods and services. Residents are taxed on worldwide income, with distinct rules for non-permanent residents.

South Korea's taxes are run by the National Tax Service (NTS): income tax, corporate tax and VAT, filed via Hometax. Residents are taxed on worldwide income, with a local income tax added on top.

Foreigners work in Japan on a status of residence matching the job — most commonly 'Engineer/Specialist in Humanities/International Services'. You usually need a Certificate of Eligibility (CoE) obtained by the employer before applying for the visa. The Immigration Services Agency oversees the system.

Foreign nationals need a work visa matching the job (e.g. E-7 for skilled roles, D-8 for corporate investors, E-9 for non-professional employment); HiKorea is the government immigration portal. Most work visas are employer-linked.

Studying in Japan requires the "Student" status of residence. The accepting school usually applies on your behalf for a Certificate of Eligibility (CoE) at a regional immigration bureau; with the CoE you apply for the visa at a Japanese embassy or consulate and receive a residence card on arrival. The CoE is valid for three months, within which you must enter Japan. Part-time work needs separate permission first.

South Korea issues the D-2 visa for degree study (associate through doctoral and research) and the D-4 visa for language training and certain other courses. After your university issues a Certificate of Admission you apply at a Korean embassy or consulate. You must complete alien registration within 90 days of arrival, and most later steps — extensions, part-time work permits — are handled online through HiKorea.

Japan grants short-term-stay status for tourism and business, typically up to 90 days. Nationals of many countries are visa-exempt for short visits; everyone else applies for a short-term-stay visa at a Japanese embassy or consulate. The Ministry of Foreign Affairs publishes which nationalities are exempt and on what conditions. Short-term visitors cannot work.

South Korea allows short tourist visits, generally visa-free for nationals of many countries, who normally need a Korea Electronic Travel Authorization (K-ETA) before flying. Everyone else applies for a short-term visit (C-3) visa. Visa-free or K-ETA stays are typically up to 90 days, and tourist entry does not permit work.

Japanese permanent residence usually requires around ten years of continuous residence (less for spouses of Japanese nationals or high-skilled professionals under a points system), a stable income and good conduct. The Immigration Services Agency decides.

South Korea grants F-5 permanent residency, typically after holding a long-term status (such as F-2 resident) for the required years, or via points, investment or marriage routes, under the Korea Immigration Service. It lets you live and work without visa renewals; naturalization is a separate, longer process, and Korea restricts dual citizenship for most adults.

Japanese naturalization generally requires about five years of continuous residence, good conduct, stable finances and renouncing other nationalities (Japan does not permit dual nationality for adults). The Ministry of Justice decides applications.

General naturalization in South Korea requires about 5 years of continuous residence, passing the Korea Immigration & Integration Program (KIIP) or a naturalization test and interview, showing Korean-language ability and means of support. Korea generally requires renouncing your former nationality within one year, though limited dual nationality is allowed (e.g. marriage migrants, special-merit, and returnees aged 65+).

Japanese employment is governed by the Labour Standards Act: prefectural minimum wages, capped overtime (via a '36 Agreement'), and paid annual leave from 10 days after six months. Dismissal is difficult and must be objectively reasonable; workplaces with 10+ staff need written work rules. The Labour Standards Inspection Office enforces the law.

Korean employment is governed by the Labor Standards Act: a national minimum wage set annually, a 52-hour week cap (40 regular plus 12 overtime), 15 days' paid annual leave after a year, and a statutory retirement (severance) allowance of about one month's pay per year of service. The Labor Office and Labor Relations Commission handle disputes.

Japanese imports and exports clear through Japan Customs via the NACCS electronic system. You classify goods by HS code to find customs duty, pay consumption tax (10%) on imports, and check whether METI licences apply under the Foreign Exchange and Foreign Trade Act. Advance rulings give classification certainty; disputes go through Customs.

Korean trade clears through the Korea Customs Service using the UNI-PASS electronic system. You file import/export declarations, classify goods by HS code for customs duty plus 10% VAT on imports, and check requirement confirmations for controlled goods. Korea's many FTAs can cut duty with a certificate of origin; advance rulings give certainty.

Japanese trademarks are registered with the Japan Patent Office (JPO). You search the register, file an application classifying goods/services under Nice, and the JPO substantively examines both absolute and relative grounds. After you pay the registration fee the mark registers, with a two-month post-registration opposition window. A Japanese trademark lasts 10 years and is renewable.

Korean trademarks are registered with the Korean Intellectual Property Office (KIPO). You search the register, file under Nice classes, and KIPO substantively examines both absolute and relative grounds before publishing for a two-month opposition period and registering. A Korean trademark lasts 10 years and is renewable; KIPO also grants patents and designs.

Hello Work, run by the Ministry of Health, Labour and Welfare, is Japan's official public employment service — and unusually it includes offices with desks that specialise in supporting foreign workers, so it offers in-person help rather than only listings. The rule that shapes everything else is matching: a foreign worker needs a work-related status of residence that matches the job type. Categories such as Specified Skilled Worker cover defined labour-shortage sectors.

Work24 is Korea's official integrated employment service and job board, and it consolidated the former WorkNet in 2024 — so references to WorkNet are dated. Foreign workers need a visa that allows employment, such as the E-series work visas or, for some sectors, the Employment Permit System. The point worth knowing is that work rights do not only come from work visas: some residence visas, including F-2, F-5 and F-6, also allow work.

Japan's minimum wage is set regionally, by prefecture — so the national figure you may see quoted is a weighted average rather than a rate anyone is actually entitled to. Check your own prefecture through the Ministry of Health, Labour and Welfare, and note that some industries have separate, higher industry-specific minimums on top. For wage data, the MHLW's Basic Survey on Wage Structure is the official source, and unusually it breaks figures down by age as well as occupation and region.

South Korea is the simplest of the region's systems: a single national minimum wage, set each year by the Minimum Wage Council, applying nationwide across all sectors — no regional variation and no industry carve-outs to check. The monthly equivalent is conventionally derived from a 209-hour month, which is worth knowing because it is how monthly figures are quoted. Statistics Korea and the Ministry of Employment and Labor are authoritative for wage data.

Japan's main government scholarship is MEXT (the Japanese Government Scholarship), available through either an embassy recommendation or a university recommendation, covering tuition, a monthly stipend and travel. JASSO also offers grants, and many universities have their own awards. Explore options on Study in Japan and apply by the relevant deadline.

South Korea's flagship scholarship is the Global Korea Scholarship (GKS), run by the National Institute for International Education (NIIED), covering tuition, a stipend, airfare and Korean-language training. Many universities also offer their own awards. Explore options on the Study in Korea portal and apply by embassy or university track deadlines.

To study in Japan you apply to the school, which then obtains a Certificate of Eligibility (CoE) from immigration on your behalf; with the CoE you apply for the 'Student' visa at a Japanese embassy. Undergraduate applicants often take the EJU exam. After arrival you register your residence. Explore options on Study in Japan and apply by the deadline.

To study in South Korea you apply to the university; on admission you get an acceptance letter and apply for a D-2 visa (for a degree) or D-4 visa (for language training). Many programs require a TOPIK Korean-language level. After arrival you complete alien registration through HiKorea. Explore options on Study in Korea and apply by the deadline.

Japan places no restriction on foreigners buying property — you can own land and buildings freehold with no residency requirement. Renting, however, often requires a guarantor or guarantee company plus 'key money' (reikin), a deposit (shikikin) and an agent fee. Purchases are registered (tōki) via a judicial scrivener and carry acquisition and registration taxes.

South Korea places no restriction on foreigners buying property, though a foreign buyer must report the acquisition to the local authority. Renting has two models: jeonse (a large lump-sum deposit, often 50–80% of value, with no monthly rent, returned at the end) and wolse (a smaller deposit plus monthly rent). Purchases are registered and carry an acquisition tax.

Japan has universal coverage through public insurance that is mandatory for residents staying three months or more — either employees' health insurance through an employer, or National Health Insurance enrolled at your local municipal office. Patients generally pay 30% of costs, less for children and older people, with the scheme covering the rest. Premiums are income-based, so keep payments current.

South Korea runs a single-payer universal system, National Health Insurance, and it is mandatory. Foreign residents are generally required to enrol after staying more than six months — and some, such as students and certain workers, from arrival. Premiums are income-based, or assessed for those without employment income. The scheme covers a large share of medical costs and patients pay the remainder.

Beyond health cover, Japan's social insurance has two main parts: public pension — either the National Pension or the Employees' Pension, handled by the Japan Pension Service — and employment plus work-injury (rōsai) insurance for employees. Pension enrolment is mandatory for residents, not just for employees, which is the point most often missed. For drivers, compulsory automobile liability insurance (jibaiseki) is required, and private insurers are supervised by the Financial Services Agency.

South Korea's social insurance is built on four major schemes: the National Pension, National Health Insurance, Employment Insurance and Industrial Accident Compensation Insurance. They are generally mandatory for workers, and contributions are shared between employee and employer — so what you see deducted is your half rather than the full cost. Motor liability insurance is compulsory for drivers while other private cover is optional, and private insurers are supervised by the Financial Supervisory Service.