Summer in Japan always makes me nostalgic for .. summers of Japan past? Not really, but it was a shock when I realized a few weeks ago that it had been precisely 10 years since I first set foot in the land of the Rising Yen. As an impressionable university student, I had zero financial sense, and everything seemed mystical, fun, and slightly wacky. Ten years later, it still does (the wacky part, at least), but I do know a bit more than I used to about money, and saving it, in Japan.
So, in honor of all those new to Japan, or those who will be arriving soon (be you fresh-faced English teachers , backpackers, Expo tourists, or exchange students), here are my Top Five Frugal Things I'd Wish I'd Done.
1) I wish I'd brought more cash.
Japan is certainly more overseas credit-card/ATM friendly than it was in 1995, but regardless - it is still the land of cash. I had no idea how expensive things would be, and when I couldn't read or write Japanese, I really couldn't find out. I used my credit cards at hotels, train stations, and ... wherever I could. Anyone familiar with the US credit card system knows that, well, ... it takes forever to pay those things off. In terms of total payment, taking more cash (or using a debit card) for my travels would have been a lot smarter.
2) I wish I'd been a more adventurous eater.
Japanese food grows on you. The longer you are here, generally, the more of the stranger foods you can eat. In all respects, eating like a local is probably cheaper than eating foreign foods. In particular, I wish I'd had the courage to try the great lunch/dinner specials available at restaurants, strange Japanese ingredients at supermarkets on specials, and unfamiliar vegetables. Would have saved me a fortune! (I once, embarrassingly, spent 3,000 yen ordering 12 frozen bagels from Hokkaido!)
3) I wish I'd started an automatic withdrawal savings plan.
If you're in Japan on a year-long work contract or longer, chances are you draw a monthly salary. Chances also are you are hoping to pay back some of your school loans or save money while you are here. Starting a "teiki yokin" or automatic withdrawal savings plan is the idiot-proof way to make sure that happens. Banks, post office savings, and other financial institutions offer this service, which simply "adds" a special savings account that automatically withdraws a specific amount of money from your main account on a certain day of the month. Start with 1/10th of your monthly salary at first, and build up if you like. Personally, I could have saved at least $15,000 over my three years of low- cost/reasonably paid single lifestyle if I'd known about this. DO IT!
4) I wish I'd not bought so much *stuff*.
If you're in Japan "temporarily" (less than a year or two), there really is no reason to fill your apartment with stuff. You'll just have to sell it, give it away, or trash it when you leave. The market for used electronics, furniture, clothes, and other items in Japan (even among other foreigners)is not great: you should probably expect to get maybe 10-20% of your initial investment back. If it's not absolutely necessary, why buy it? You'll not only save some money, you'll save yourself a headache as you pack up to move.
5) I wish I'd traveled smarter.
Unlike many young intrepid foreigners in Japan, I limited most of my travels to within Japan (very expensive), trips back home (also expensive), and only one trip to a third country. I also traveled mostly at peak times. If I had to do it again, I'd make a special "travel fund" that I contributed to each month. I'd also try and travel off season as much as possible. Travel (where to go and how to do it) is such a personal choice, but I do wish I'd done it smarter.
"20-20 hindsight" frequently makes us wiser about our past than our future, but I hoped some of my recent thoughts on the matter might be helpful for budding Frugalites in Japan out there too.
By Wendy J. Imura. Copyright 2005.