How do Japanese people pay for things?

Paying for things on your trip in Japan Cash is still predominantly used throughout the country, especially in small businesses, like tiny souvenir shops. While credit cards, debit cards, and other methods are steadily becoming more prevalent, having cash on your person is essential.



In 2026, Japan has successfully transitioned into a "high-tech, low-cash" society, though physical money is still respected. The most common way people pay for things is through QR code payment apps, with PayPay being the undisputed leader, followed by Rakuten Pay and dBarai. For transit and small retail purchases, IC Cards (like Suica and Pasmo) remain ubiquitous; most Japanese people have these integrated into their smartphones via Apple Pay or Google Pay. Furthermore, "Touch Payment" (NFC) via standard credit cards has seen a massive surge in 2026, with most convenience stores and major retailers now accepting tap-to-pay. While you might still need physical yen for small temples, rural guesthouses, or traditional "Gashapon" machines, even the smallest ramen shops now often feature digital kiosks. For a traveler in 2026, a smartphone equipped with a digital Suica and a linked credit card is sufficient for roughly 95% of all transactions across the country.

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Japan is a cash society, but credit cards and debit cards are accepted in most places in Japanese cities. Establishments such as local restaurants, markets and rural inns (ryokans) are cash-only. In the places where you can use your card, you may have issues if your card doesn't have your name on the front.

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Cash-based country For years, Japan was primarily a cash economy. People preferred physical banknotes over cashless transactions. In fact, back in 2021 cashless payments were just 15.1% of total transactions and only rising slowly. Comparatively, in the UK this statistic was 27% in the same year.

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The best way to get Japanese cash is from an ATM in Japan (do not buy yen before coming to Japan as the rate will be terrible). You can use your home bank card with many Japanese ATMs. 7-11 ATMs are the easiest to use and accept the most foreign cards.

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Assessing the reasons why Japanese consumers prefer cash, Statista notes its security and reliability are highly valued. Over 55 percent of respondents cited concerns over personal information leakage as being a major drawback of cashless options.

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In Japan, you'll use a Suica (or Icoca) card for local transport and most small purchases, and a credit card for big purchases (hotels etc). But you still need Japanese cash for places that don't take cards.

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Payment Options in Japanese Supermarkets These options usually include cash, credit card, IC cards, point cards, and various “cashless” phone apps (e.g., PayPay, LinePay, etc). However, it is always a good idea to have cash on you in case you end up in a supermarket that does not accept your preferred form of payment.

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Tipping in Japan is not customary. Indeed, as stated in many Japan travel guide, attempting to tip staff can be offensive. If you do try and tip in Japan, you will find in most cases that the tip is politely refused as tipping is not part of the Japanese culture and not expected.

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