Money in Japan: Yen Basics, Paying, ATMs, and Practical Tips

Understanding the Japanese yen (JPY)

When traveling in Japan, visitors will need to use the Japanese currency: the Japanese yen. The official currency code is JPY and the currency symbol is ¥. In everyday local use, yen is pronounced “en” and is often shown with its kanji, 円.

Japanese yen comes in 10 denominations in total: six coins and four banknotes. While cashless options have expanded, it is still useful to understand the physical currency because cash remains widely used, especially outside major urban centers.

Cash and cashless payments: what to expect

As of 2025, the number of ways to pay in Japan has grown considerably. Cash is still often described as “king,” but code-based and cashless payment is increasingly widespread. Even so, Japan is predominantly considered a cash-based society, which is especially true in rural areas or when visiting small, independent businesses.

A practical approach for many travelers is to carry some cash even if you plan to pay by card most of the time. Small denominations are particularly helpful: 10 yen and 100 yen coins, plus 1,000 yen notes. Many ticket machines and vending machines may not accept larger denominations, especially 5,000 and 10,000 yen bills.

Carrying larger amounts of cash can feel unfamiliar, but Japan has one of the lowest crime rates in the world. While it’s still important to be careful, you may be more likely to lose money by dropping or leaving it behind than having it stolen.

Using credit and debit cards

Credit and debit cards are increasingly accepted across Japan, but acceptance can vary by business. It helps to check in advance whether a place accepts cards, and many businesses indicate this near the shopfront.

• Even if you mainly use a credit card, it is still recommended to carry or have access to sufficient cash.
• Most credit card companies charge a surcharge (usually 1–3%) for foreign-issued cards.
• Commonly accepted card brands include MasterCard, Visa, and JCB, followed by American Express and Diner’s Club.

Some travelers use services such as a Wise card to avoid foreign transaction fees and convert at the real exchange rate, including when using local ATMs. With an associated app, it can also provide features such as currency alerts or auto-conversion.

Transit IC cards and mobile options

Transit IC cards are commonplace in Japan’s major cities. Well-known examples include Suica and PASMO. The 10 main IC operators across Japan also include Icoca, Pitapa, Toica, Manaca, Kitaca, Suogca, Nimoca, and Hayakaken.

These IC cards are interoperable, meaning you can generally use one card on another IC card network. However, you cannot travel between IC card areas on a single card.

IC cards are predominantly used for train and bus fares, but they can also be used for payments in urban areas, including vending machines, station kiosks, shops, cafes, and restaurants.

Both iPhone and Android offer digital versions of Suica and PASMO via their official apps (Mobile Suica and Mobile PASMO) for contactless payment. Android devices need to support Osaifu-Keitai/FeliCa (only installed on phones sold within Japan). Apple devices including iPhone 8 or later and Apple Watch Series 3 or later should work fine.

QR-code and app-based payments

If you have a Japanese phone number and residency, a number of local payment apps are available. These apps can typically be topped up at ATMs or by connecting a bank account, credit card, or mobile service provider (carrier billing). Payments may be made via contactless terminals, scanning a vendor’s QR code, or having a vendor scan your in-app QR code. Examples include PayPay, MerPay (by Mercari), and Rakuten Pay.

ATMs in Japan that work with international cards

If you need access to cash, local ATMs can help. However, not all ATMs support foreign-issued cards, so it’s useful to know the major networks that do.

• Japan Post ATMs: Located at more than 26,000 locations nationwide (denoted with the “JP” logo). Each post office has at least one, and they can also be found at shopping malls and supermarkets. Service hours vary by location, and English services are available.
• 7-Eleven (Seven Bank) ATMs: Over 20,000 ATMs across Japan, located at 7-Eleven convenience stores. Services are offered virtually 24/7 and are currently available in 12 languages (Japanese, English, Korean, Simplified Chinese, Portuguese, Traditional Chinese, Thai, Malay, Indonesian, Vietnamese, French, and German).
• E-net ATMs (Family Mart): Can offer service to international cards, including MasterCard.

Be aware that service charge fees may rise for transactions made outside traditional operating hours (usually 9am–5pm on weekdays).

Exchanging currency in Japan

Vendors displaying an “Authorized Foreign Exchange” sign can exchange currencies. These include banks and money changers, often located at airports and in major cities. Hotels and large department stores may also offer currency exchange services, though they may charge extra fees and provide less favorable rates.

When deciding when to exchange, it can depend on the currency, but it is generally better to exchange yen in Japan than in your home country due to lower commission and better exchange rates. You’ll typically get better rates away from major airports.

For a general idea of exchange rates, some travelers check a currency converter tool before exchanging.

Traveler’s checks: limited but sometimes useful

Because the number of ATMs that support foreign-issued cards can be relatively limited, traveler’s checks can be more useful than some visitors expect. They tend to carry more favorable rates than money changers and ATMs and are accepted by leading banks, hotels, ryokan, and stores in major cities. However, very few places accept them elsewhere.

Everyday money etiquette and costs

• Tipping: Japan has a no-tip policy. Leaving a tip at a restaurant or for a taxi driver will often result in the money being returned. If you do want to leave a tip (for example, for a maid at a ryokan or a tour guide), put the money in an envelope and give it in person.
• Handling cash: Many restaurants, shops, and even taxis provide a small tray for placing money instead of handing it directly to the cashier. This tray is also used when receiving change.
• Consumption tax: Pre-tax prices are commonly displayed, though the final price should be indicated. Consumption tax is currently 10%, but for cafes, restaurants, or other businesses serving food to take away, the tax is 8%.

Yen coins: quick characteristics to recognize

Japan’s six coins have distinct sizes, colors, and designs that make them easier to identify in daily use.

• 1 yen: The smallest and lightest coin, made of 100% aluminium and weighing exactly 1 gram. It is sometimes used as a weight and can float on water if placed carefully. The design includes a young tree symbolizing healthy growth.
• 5 yen: Gold color with smooth edges and a hole in the middle. The front includes a rice stalk, a gear, and the sea (symbolizing agriculture, industries, and fisheries). The back includes two leaf buds, symbolizing forestry and democracy. It is the only coin that does not depict its value numerically.
• 10 yen: Bronze color (95% copper) with smooth edges. The front shows the Byodo-in Phoenix Hall (Ho-o-do) and the back includes an evergreen tree. Ridged-edge 10 yen coins (giza-jyuu) minted from 1951–58 are rare and considered a collector’s item.
• 50 yen: Silver color with ridged edges and a hole in the middle. Three chrysanthemums are depicted on the front.
• 100 yen: The current design depicts sakura blossoms. Limited edition designed 100 yen coins exist to celebrate various events.
• 500 yen: The largest and heaviest coin at 7 grams. The front depicts the paulownia; the back includes bamboo and tachibana leaves. When tilted, “500円” can be seen as a hologram inside each zero on the back. Some older 500 yen coins minted until 2000 remain in circulation, and limited edition designs also exist.

Banknotes in circulation, including redesigned notes

Japan’s banknotes were redesigned and newly issued in 2024, but older notes remain legal tender. Key notes and notable designs include:

• 1,000 yen: Features Kitasato Shibasaburō on the front and “The Great Wave off Kanagawa” on the back. Kitasato Shibasaburō was a bacteriologist and pioneer in Japanese medicine who researched infectious diseases such as bubonic plague and tetanus. The artwork is a famous ukiyo-e by Katsushika Hokusai depicting Mount Fuji on the horizon.
• 2,000 yen: Issued in 2000 to commemorate the millennium and the 26th G8 Summit held in Okinawa. The front features the Shurei-mon gate of Shuri Castle in Okinawa. The back features a scene from the Tale of Genji and a portrait of the author, Murasaki Shikibu. Due to its limited number, it is considered a novelty in Japan.
• 5,000 yen: Features Tsuda Umeko on the front and wisteria flowers on the back. Umeko was a pioneer in women’s education during the Meiji era, founded Tsuda University, and advocated for women’s English education. The Japanese wisteria (fuji) has been beloved across Japan since ancient times.
• 10,000 yen: Features Eiichi Shibusawa on the front and the Tokyo Station Marunouchi Building on the back. Shibusawa is considered the “father of capitalism” in Japan and founded a number of companies, including Japan’s first national bank. The red brick Marunouchi Building on the west side of Tokyo Station dates to 1914 and has been a National Important Cultural Property since 2003.

Practical takeaway for travelers

For day-to-day spending in Japan, a mix of payment methods tends to work best: keep small cash denominations for machines and smaller businesses, use cards where accepted, and consider IC cards (physical or mobile) for transport and convenient urban purchases. Planning where you will withdraw cash—such as Japan Post ATMs or Seven Bank ATMs—can reduce stress once you arrive.