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‘Kakeibo’: The Japanese method
‘Kakeibo’: The Japanese method of saving money
Kakeibo, pronounced “kah-keh-boh,” translates as “household financial ledger.”
Invented in 1904 by a woman named Hani Motoko (notable for being Japan’s first female journalist), kakeibo is a simple, no-frills approach to managing your finances.
For the past 116 years, kakeibo has been effective in helping people make smarter financial decisions.
The acts of mindful
The acts of mindful spending and saving are very much interlinked, and the small changes you make using kakeibo will make a difference on your bank account.
More importantly, you’ll make wiser decisions about how to invest that money for things that really matter.
No technology—just a notebook
No technology—just a notebook and pen
According to the kakeibo method, you must ask yourself the following questions before purchasing any non-essential items:
- Can I live without this item?
- Based on my financial situation, can I afford it?
- Will I actually use it?
- Do I have the space for it?
- How did I come across it in the first place?
- What is my emotional state in general today?
- How do I feel about buying it?
The goal is to change your bad habits through mindfulness and incremental changes.
How to spend more
How to spend more mindfully
Here are some simple kakeibo-themed strategies to ensure that you spend more mindfully:
- Leave the item for 24 hours.
- Don’t let “blowout sales” tempt you.
- Check your bank balance regularly.
- Spend in cash.
- Put reminders in your wallet.
- Change the environments that cause you to spend.
