Don't Struggle with Money Anymore - Smart Financial Management for Life Overseas

Struggle no more with money woes by adopting smart financial habits. This guide from an overseas Japanese advisor offers proven tips for managing cash flows


Yuko Oshiro

5/31/20247 min read

Even if you're living abroad, you don't have to worry about having enough for retirement. I'm Yuko Oshiro, a Japanese financial advisor based in Kuala Lumpur, Malaysia, and former banking consultant in New Zealand. As someone from a culture known for being among the biggest savers in the world, let me share Japanese money wisdom to help you take control of your finances overseas!

Too many single people live paycheck to paycheck nowadays. Schools don't really teach the fundamentals of money management. Countries like New Zealand have huge household debt issues with credit cards and loans. It's time to get smart with a guideline for managing your own money properly.

The Financial Struggle is Real

These days, far too many people are living paycheck to paycheck, with no savings buffer to fall back on. This financially precarious situation is incredibly stressful and leaves people vulnerable to the slightest income disruption or unexpected expense.

Part of the problem is that personal money management skills are rarely taught in schools. Most people aren't learning the fundamentals of budgeting, saving, investing, and planning for major goals like retirement and their children's education. This lack of financial literacy sets people up for struggles down the road.

The debt crisis in countries like New Zealand underscores how widespread the issue is. With households carrying enormous credit card balances, car loans, student loans, and mortgages, many families are stretched extremely thin. A job loss or medical emergency could easily push them into bankruptcy.

It doesn't have to be this way. By getting smart about personal finance and implementing some core money management principles, anyone can regain control over their financial situation. The path to security and prosperity begins with a guideline for properly managing your money.

woman sitting on floor wearing brown dress
woman sitting on floor wearing brown dress

Save for Major Goals

The first priority is having a concrete plan to save for your biggest life goals and needs. This includes building a retirement nest egg and a dedicated college fund for your children's education if you have kids or plan to have them.

Make it easy by taking advantage of tax-advantaged savings vehicles like workplace retirement plans. If your job offers a 401(k), 403(b), or similar plan, sign up and commit to contributing at least 15% of your gross salary, including any employer match. This allows you to supercharge your retirement savings through automated payroll deductions and compounding over decades.

Other countries have their own versions - like the KiwiSaver program in New Zealand. Maximize these tax-friendly accounts to grow your money faster for retirement.

person holding silver iPhone 6
person holding silver iPhone 6

Establish an Emergency Fund

Following the prudent Japanese approach, maintain a dedicated emergency fund with enough cash reserves to cover 3-6 months' worth of your core living expenses. This protected savings pool exists solely to help you weather any temporary crises like a job loss, major home repair, medical issue, or other rainy day.

By giving yourself this financial cushion, you'll be able to comfortably handle unpredictable hurdles without racking up high-interest debt or being forced to make rash decisions like raiding your retirement savings early. An emergency fund provides true peace of mind knowing you're prepared for life's inevitable curveballs.

Don't allow yourself to get caught by surprise without savings to fall back on. Having this buffer keeps you secure and prevents short-term challenges from derailing your long-term financial plans. Make building a robust emergency fund one of your top priorities.

coin bank
coin bank

Track Fixed Costs Closely

One of the most important things you can do to get a handle on your finances is to meticulously track your fixed, non-discretionary expenses each month. Fixed costs are the bills you have to pay regularly no matter what, like:

  • Rent/Mortgage

  • Utilities (electric, gas, water, cable/internet)

  • Insurance Premiums (health, auto, home/rent)

  • Car Payments

  • Student Loan Payments

  • Other Debt Payments

By knowing exactly how much you're spending each month on these fixed outlays, you can budget properly and make adjustments where possible. Review these recurring expenses at least once annually to identify any wasteful spending or better deals.

For example, I was able to lower my monthly mobile phone bill by $30 simply by shopping around and comparing plans between the major telecoms. Similar savings may be available for you on cable/internet, insurance policies, or even your rent/mortgage if you refinance.

Leave no stone unturned when analyzing your fixed costs. Any dollars shaved off burdensome recurring bills is more money freed up for savings and fun!

black and silver desk phone on white knit table mat
black and silver desk phone on white knit table mat

The Cost of Living Overseas

When you're living abroad, the cost of living can vary dramatically from place to place. Some essentials may be far more affordable in your new location, while other expenses spike relative to your home country.

Here in Malaysia, basic living costs like groceries, eating out, and public transportation tend to be quite inexpensive compared to Western nations. However, the trade-off is that housing in major cities like Kuala Lumpur carries a premium price tag.

To keep my overall expenses reasonable, I've made the choice to minimize what I spend on rent by living in a smaller flat outside the city center. My lower rent frees up more funds for saving, travel, and miscellaneous living costs.

Depending on where overseas you're residing, you may need to make similar trade-offs and spending adjustments to keep your budget balanced. Do plenty of research to understand the typical costs for housing, utilities, transportation, groceries, and everyday goods and services in your new locale. Build your budget accordingly.

aerial view photography of boats on seashore
aerial view photography of boats on seashore

Have Fun on a Budget

One common misconception is that living a financially disciplined life means you can never have any fun. This couldn't be further from the truth! It's all about being creative and open-minded when it comes to social activities and entertainment.

Rather than constantly indulging in pricey restaurant brunches, concerts, vacations, and so on, look for ways to have an amazing time on a tighter budget. The Japanese people excel at this mindset of finding joy in simple, affordable pastimes and making the most of gatherings with friends and family.

For instance, instead of meeting up at an expensive cafe every weekend, organize a potluck dinner rotating at each other's homes. Plan hikes, beach trips, picnics, or other outdoor adventures that get you out into nature without breaking the bank.

Check your local community calendar for free museum days, music festivals, art shows, and other cultural events that allow you to explore your new city's rich cultural offerings. Or host a game night with drinks and snacks at your place - entertaining at home is far cheaper than always going out.

With a little creativity, you can fill your social calendar with fun, memory-making activities that don't require spending lavishly. Prioritize experiences over material indulgences. Your finances and your life will be greatly enriched as a result.

woman in white shirt and blue denim jeans riding red and black kick scooter
woman in white shirt and blue denim jeans riding red and black kick scooter

The Long-Term Savings Mindset

Truly taking control of your financial future requires developing a long-term savings mindset. This shifts your perspective from just getting by paycheck-to-paycheck to proactively building wealth over decades. It's a paradigm shift that allows you to break the endless cycle of living hand-to-mouth.

The first key is prioritizing consistent savings contributions as absolutely essential - not just an afterthought once all your other expenses are covered for the month. Wealthy individuals follow the "pay yourself first" principle by automatically routing portions of incoming cash directly into savings and investment accounts before it ever hits their regular checking account.

You can implement this habit easily by setting up automated transfers on payday so 10-20% of your paycheck flows directly into a dedicated savings vehicle like a workplace retirement plan or regular savings account. That money is then off the table and can't be spent frivolously. Over time, this commitment allows you to accumulate a substantial nest egg.

The second tenet of the long-term savings mindset is conscious spending below your means. Even if you can technically afford pricey luxuries, the wealthy build net worth by embracing lifestyles free of excessive consumption. Consistent frugality allows you to divert more cash into productive assets and compounding investment accounts.

Finally, you need a strategic investment approach to truly grow your wealth over decades. The wealthy don't just leave savings sitting idle in a checking account. They make their money work harder through prudent investing across a diversified range of assets like stocks, bonds, real estate, and other sectors. With discipline and a sound plan, you can achieve exponential growth to achieve financial freedom.

Building wealth is not a short-term game of frantic cost-cutting. It's a marathon of making the right money moves day after day, year after year. Develop the mindset of living below your means, paying yourself first, and investing consistently. This long-game approach is how ordinary people become wealthy.

woman holding magnetic card
woman holding magnetic card

Japanese Money Wisdom

As someone raised in Japan's culture of diligent saving and financial prudence, I can share invaluable wisdom on mastering money flows, asset allocation, and multi-generational wealth planning.

The Japanese have refined certain personal finance disciplines to an art form, including maximizing every possible tax-advantaged savings vehicle for rapid tax-free growth. From dedicated personal pension accounts to college funds to tax-exempt investment reserves, we carefully structure cash flows to secure the fullest benefits.

We also tend to be careful asset allocators who diversify prudently across a range of investment classes and vehicles according to personalized risk profiles. Younger people may weight towards higher equity exposures, while families nearing retirement adjust into more conservative income-generating investments. Balanced, diverse portfolios are essential for reliable long-term returns.

Finally, the Japanese take a very long-range perspective on legacy planning to preserve and grow family wealth carefully over multiple lifetimes and generations. Detailed trusts and contractual frameworks are established to ensure disciplined stewardship of assets, providing a substantial inheritance for descendants.

Let me guide you in developing a Japanese-style finance strategy optimized for your individual goals and family situation. With some simple adjustments to cash flows, savings, investing, and generational planning, you can gain control and achieve long-term financial prosperity.

Take Action Today

With some adjustments to your lifestyle and cash flow management, you can absolutely avoid money struggles and retire comfortably overseas…even on a modest income. Take charge of your finances today by following this guidance - your future self will thank you!

  • Q: How much time will I need to dedicate to this course each week?

    A: The course is designed to be flexible and can be completed at your own pace. On average, dedicating 2-3 hours per week should be sufficient to cover the material and implement the strategies discussed.

  • Q: Do I need any prior knowledge or experience in budgeting to take this course?

    A: No prior knowledge or experience is required. This course is designed for beginners and will guide you through the fundamentals of budgeting and financial management using the Kakeibo method.

  • Q: What makes the Kakeibo method different from other budgeting techniques?

    A: The Kakeibo method is a Japanese budgeting technique that emphasizes mindfulness and intentional spending. It helps you reflect on your financial habits, understand your spending patterns, and make thoughtful decisions to achieve your saving goals.

  • Q: Will this course help me get out of debt?

    A: Yes, the course includes strategies for managing and reducing debt. You will learn practical tips and techniques to develop a debt repayment plan and improve your financial situation.

  • Q: Are there any additional resources provided with the course?

    A: Yes, the course includes worksheets, templates, and a Kakeibo journal setup guide to help you apply what you learn. You will also have access to additional resources and tools for continued learning and support.


  1. Achieve Financial Control:

    This course empowers you to take control of your finances by teaching you practical and effective budgeting techniques using the Kakeibo method.

  2. Mindful Spending:

    Learn how to become more mindful of your spending habits, which can lead to significant savings and a more intentional approach to managing your money.

  3. Comprehensive Financial Education:

    From setting saving goals to understanding compound interest and managing debt, this course covers all essential aspects of personal finance.

  4. Actionable Strategies:

    Gain access to practical saving tips and debt management strategies that you can implement immediately to see positive changes in your financial health.

  5. Support and Resources:

    Benefit from worksheets, templates, and additional resources provided throughout the course, along with continued support to ensure your financial success.

Why Should People Sign Up for This Course?

a japanese woman in a white suit and a black blouse
a japanese woman in a white suit and a black blouse

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