Yakusho was born in Isahaya, Nagasaki, the youngest of five brothers. After graduation from Nagasaki Prefectural High School of Technology in 1974, he worked at the Chiyoda municipal ward office, or kuyakusho, in Tokyo, from which he later took his stage name. In 1976, he saw a production of Maxim Gorky's The Lower Depths and was inspired, first to watch, and then later to take part in, as many plays as possible.
In the spring of 1978 he auditioned for Tatsuya Nakadai's the Mumeijuku (Studio for Unknown Performers) acting studio, and was one of four chosen out of 800 applicants. While at the school he met actress Saeko Kawatsu, whom he married in 1982. Their son was born in 1985.
In 1983, he landed the role of Oda Nobunaga in the year-long NHK drama Tokugawa Ieyasu and was catapulted to fame. He also appeared in a TV version of Miyamoto Musashi from 1984 to 1985. For several years, he played Kuji Shinnosuke (or "Sengoku"), one of the title characters in the jidaigeki Sambiki ga Kiru!. He played a major character in Juzo Itami's 1986 Tampopo.

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