Main image via Daily Express
In this day and age where living costs are on the rise, we’re all looking for ways to cut corners, and budgeting is a great way to map out your finances and identify where you’re spending money that can be saved.
Kakeibo is a Japanese budgeting method which helps you divide your finances between four ‘pillars’ – survival (necessary costs like rent and groceries), optional (eating out, shopping etc.), cultural (entertainment costs like movie tickets) and extra (unexpected costs).
Image via AccessJ
These four pillars help us plan our finances based on how much money we have, how much we’re spending, how we can improve on it, and how much we’d like to save. According to Japanese financial blogs, this technique can help people save as much as 35 per cent of household finances.
Looks like we know what to do when we get our next allowance!
via GIPHY
Article via HuffPost
Filled Under :
*We reserve the right to delete comments that contain inappropriate content.