Presse Santé

Save money with the Kakebo method.

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Looking for a way to take control of your finances? If so, you may have heard of the Kakebo method. But what is it exactly? And can it help you control your money? Keep reading to find out!

The Kakebo method: what is it?

The Kakebo method is a Japanese financial management system. It was created by Hisako Takamizawa in the early 20th century and has been used by Japanese households for generations. The Kakebo method is based on the principle of saving 10% of your income each month. This money is then divided into three different categories: savings, investments and expenses.

Savings can be used for long-term goals, such as retirement, traveling around the world, or buying property. Investments are intended for medium-term goals, such as starting a business or going back to school. Finally, expenses are for short-term needs, such as groceries or electricity bills.

By following the Kakebo method, you can slowly but surely build up your savings and reach your financial goals. If you are looking for a way to control your finances, the Kakebo method may be for you!

How to put in order the expenses according to the Kakebo method?

The key principle of the kakebo method is that all income and expenses must be recorded in a notebook, which makes it easier to know the spending habits. This information can then be used to create a budget that allocates money to necessary savings and expenses. The Kakebo notebook must have three columns. Spending, Investing and Saving.

So here is how to apply the method in real life:

First, determine the monthly financial resources and enter the amounts collected at the top of the list. Then, you must complete the columns containing the three categories. Start with the “Expenses” category, estimate an amount equivalent to monthly expenses such as internet access, electricity, food and transportation. Then, complete the “Investment” category if you have a medium-term project, such as continuing your studies, enrolling in specialized training, enrolling in language courses, etc. The “savings” category must contain 10% of the monthly income.

After completing your notebook, consider withdrawing the sum of the two categories “expenses” and “investment”. Put them aside, then give up your bank card. When you leave your credit card at home, you will be obliged to respect the amount you have estimated for your daily expenses. It should be noted that the use of cash makes it possible to reduce the accounts to be managed and the bank statements to be analysed. Then, you must never forget to use your notebook to take notes of all expenses. And finally, budget planning should be done on a monthly basis. This allows you to have good visibility of the sums of money available in your account.

What should you learn from the Kakebo method?

The kakebo method has proven to be an effective way to save money, as it helps individuals become more mindful of their spending habits. In addition, the kakebo method can also help reduce debt and improve financial security. All in all, it’s a great tool for anyone looking to promote their future and project themselves into new endeavors.

Using a simple Kakebo notebook is not enough to properly plan your expenses and succeed in saving. It requires real willpower and awareness. The method is only a tool. So, several rules must be applied for a budget management optimal. It is also necessary to fully understand the usefulness of the notes in your notebook.

It is completely normal to fail to follow the rules during the first use, but if you show patience and perseverance, you will eventually adapt and you will have access to a beautiful reward which is your savings, which you deserve so much!

Another advantage of the Kakebo method.

In addition to managing and planning day-to-day expenses, the kakebo method would consist in using this support to plan the finance over a longer period. It can therefore be used for an entire year as a calendar. The user could thus find himself with a nice sum intended only for his leisure activities while enhancing several projects that were once on his wish list.

* Presse Santé strives to transmit health knowledge in a language accessible to all. In NO CASE, the information given can not replace the advice of a health professional.

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