◆ What percentage of your salary is 10,000 yen? Is a cup of coffee really 350 yen?
Converted to US dollars? From the income level of other countries? It is not a story. What I want to think about here is that the value of 10,000 yen changes depending on your behavior pattern and the amount of money you can freely use.
It may be an unpleasant analogy, but don’t you think that 10,000 yen for a person with an annual income of 10 million yen and 10,000 yen for a person with an annual income of 3 million yen are different in value?
I moved from Tokyo to Okinawa in 2013, but the value standard for money has changed significantly from when I lived in Tokyo. There are differences in working styles and annual income, but more than that, the meaning of spending 10,000 yen has changed.
The first big difference is that the speed at which your wallet runs out of cash has changed. Except for fund transfers such as utility bills, we divide spending items into three major categories: food, gasoline, and other household goods, and use credit cards for each to manage household budgets easily. What leaks to it is what goes out in cash.
When I was living in Tokyo, the cash in my wallet was running out one after another. Yes, it’s gone by eating out and doing a little shopping. However, since I moved to Okinawa, the speed at which I run out of cash has dropped dramatically, and 10,000 yen in my wallet has come to stay for a long time.
The big factor was that I stopped stopping at cafes and convenience stores. Starbucks is also expanding here in Okinawa, and it is often used by young people. Starbucks coffee (tall size, 330 yen, tax-excluded price, reduced tax rate 8%) for 356 yen per cup at takeout is the same 356 yen coffee in Tokyo and Okinawa.
But the value of money is quite different. Considering the salary level, Starbucks coffee bought in Okinawa can be regarded as 536 yen per cup
. I’m always wondering why young Okinawans can buy such expensive coffee. This is not limited to Okinawa, but it may be possible to ask again whether coffee in a cafe is really worth it compared to your salary level.
In the same way, everything related to life is basically offered at the same price. Of course, the price will differ depending on how cheap you can buy the same product, but the meaning here is that everyone is offered the same price if the person who got the cheap price information and the conditions of the discount are met. It means that anyone can buy milk for sale at the supermarket at the same price.
With that in mind, some people are cheaper and some are more expensive, depending on their salary level, when it comes to basic living expenses. What looks the same at first glance is actually different.
* According to the Ministry of Health, Labor and Welfare data (Reiwa 1st year wage structure basic statistical survey), the average wage in Tokyo is 379,000 yen, while that in Okinawa prefecture is 251300 yen. Dividing by this ratio, coffee of 350 yen in Tokyo becomes coffee of 530 yen in Okinawa.
◆ What is a bargain depends on the person
I was able to buy this much for 10,000 yen! What I thought was actually a waste of 10,000 yen. Do you have any experience? New Year’s lucky bags may be close to this.
Not only in supermarkets, but also in online shopping, there are sales, and what percentage of off characters are jumping every day. Especially in online shopping, you can buy products by clicking on the spot, so you tend to buy them casually. Especially when you are making ends meet with savings, you will react to the words “% off”.
But this does not save money. This is because we are constantly looking at price trends and often not checking if they are really cheap. In addition, it’s often the case that you don’t usually buy a product, that is, it’s not really an essential product.
But for some people, if you happen to be able to buy what you normally buy at a percentage off, it means that you have the maximum value for your money. Even if you spend the same 10,000 yen, it is a bargain for some people, but even if it is worth 10,000 yen or more for some people, it is a waste for me. In other words, the value can be zero.
Thinking in this way, I see that in household management, it is better to keep the percentage for each expense item, but the values of items consumed by each person are different, and the value of the money that goes out differs depending on the difference. Therefore, the numbers such as what percentage of communication costs, what percentage of entertainment expenses, and what percentage of clothing costs are just a relief.
No matter how much you spend within the average spending ratio, if that 1000 yen is worthless to you, you should stop it quickly, and that 10,000 yen is an indispensable expense for you, 10,000 yen or more. If you think it’s worth it, you shouldn’t cut it. Whether the price of a cup of coffee in the cafe at the beginning is high or low actually depends on the person. Usually, it’s a hassle to stop by at a cafe thinking that much.
However, food expenses (excluding eating out expenses) and utilities are at least indispensable for living, and it is difficult to change the value standard of money. However, other than that, you can manage your household budget by considering whether you really need to pay that much. Check your household spending once again to see if each spending is reasonable.
In October 2019, the consumption tax became 10%. Food, drinking water, etc. remain at 8% at the reduced tax rate, but some people may have stocked up on other products that are 10%. But one year after the tax increase, the cashless business campaign battle has begun. There is also a way to buy more profitably than before the tax increase.
However, everyone wants to buy as cheaply as possible, and while points redemption and campaigns should be used well, it is also possible to over-respond. It is also important to calmly think whether it is really necessary shopping or whether you are doing unnecessary actions in terms of household management.
◆ Savings are the same. Think about maximizing the value of 10,000 yen
Worth 10,000 yen. The same is true for savings. For example, 10,000 yen, which is the source of savings, is 10,000 yen regardless of annual income. The deposit interest rate is basically the same for everyone. Therefore, it depends on the person whether or not this 10,000 yen can make a difference.
Furthermore, 10,000 yen for a person with an annual income of 10 million yen and 10,000 yen for a person with an annual income of 3 million yen have different weights at the start, so especially for those with a low annual income, this 10,000 yen Need to be further valued.
10,000 yen is 10,000 yen. If you leave it in your wallet as it is, it will not increase by even 1 yen and will disappear before you know it. Even if you deposit it in a savings deposit, the interest rate is now 0.001%. Even if you deposit it for one year, you will not earn interest.
If you are an online bank, the interest rate is 0.02%, which is 20 times different from ordinary banks. If you deposit a lot of money, the difference cannot be ignored.
You can’t increase the value of your money as long as you think it’s the same no matter where you deposit it.
The longer the period, the more overwhelming the difference will be whether you leave it at 10,000 yen, which does not generate any value, or look for something with a higher interest rate. How to utilize 10,000 yen for funded savings and funded investment will be very important in the future.
Now, how much is your 10,000 yen worth?
Sentence = Kanako Ito (Money Guide)