This article examines the wealth inequality in Japan, looking at the impacts of government policies, the COVID-19 pandemic, and other factors on wealth distribution. It is found that approximately 70% of wealth is concentrated among 10% of households and that 15 million people are living below the poverty line. Factors contributing to this inequality include income disparities between men and women, inheritance laws favouring wealthier families over poorer ones, corporate taxes allowing large companies to pay lower taxes than smaller businesses do relative to their total income level, and low wages for part-time workers. Government policies implemented to reduce wealth inequality include raising corporate taxes on larger companies, introducing measures such as paid parental leave and childcare subsidies for working parents, increasing pension benefits for low-income seniors, providing free education up until high school level, and increasing minimum wages. The COVID-19 pandemic has had a significant impact on wealth inequality due to its effects on employment levels across different sectors leading to increased poverty levels among vulnerable populations.