Is it tough to live alone on a monthly salary of 180,000 yen? A realistic simulation of living expenses
If you are living alone on a take-home pay of 180,000 yen, it is important to balance "rent," "living expenses," and "savings." In particular, the rent you set can have a big impact on how much you can afford each month. Here, we will explain in detail the approximate rent and living expenses simulation for living comfortably on a take-home pay of 180,000 yen.
The estimated rent for a monthly salary of 180,000 yen is 60,000 yen
Generally speaking, rent should be within one-third of your take-home pay. If your take-home pay is 180,000 yen, the appropriate rent would be around 60,000 yen, but this is just an average guideline.
In reality, the amount of your take-home pay will vary depending on your annual income, monthly income, and taxes. For example, if your annual income is 2.8 million yen (monthly income is 233,000 yen) and you don't have a bonus, your take-home pay will be about 180,000 yen after deducting social insurance and resident taxes. If you don't have a housing allowance, keeping your rent in the 50,000 yen range is one option to keep your fixed costs down.
In particular, in areas with high living costs such as Tokyo, there are only a limited number of properties available for under 60,000 yen, so you will need to take the following measures.
- Choose an area a little further away from the station (e.g. within 15 minutes' walk from the station)
- Consider older properties
- Utilizing shared houses and UR rental properties
- Choose a municipality that offers rent subsidies and relocation subsidies
It is said that "ideally, rent should be one-third of your take-home pay," but in reality, it is important to adjust your rent amount based on your lifestyle and savings policy.
Living simulation by rent
The ease of living and the ability to save money will vary depending on the amount of rent. Here, we will simulate cases where the rent is 50,000 yen, 60,000 yen, and 70,000 yen.
Rent under 50,000 yen: Easy to save and possible to save money
By keeping rent below 50,000 yen, monthly fixed costs will be reduced and the burden of living expenses will be lightened. It is easy to save on living expenses and you will be able to save several tens of thousands of yen each month, so it is suitable for people who value preparing for the future. However, since the properties are often older or in suburban areas, you will have to compromise on location and facilities.
- Choose an area with low average rent (suburbs or rural areas)
- Consider an older apartment or condominium
- Use a shared house and live cheaply with common area fees included
Rent in the 60,000 yen range: You can live comfortably, but you'll need to be creative in saving money
Choosing a property with a rent in the 60,000 yen range will balance quality of life and cost. You can choose a property close to the station or a relatively new building, making it easier to live comfortably. However, since the proportion of rent will be high, you will need to save on food and entertainment expenses in order to increase your savings.
- You can live in a relatively livable area even in urban areas.
- Saving is possible if you save (stable if you use your bonus)
- It is important to properly manage food and entertainment expenses.
Rent over 70,000 yen: Saving is essential and there are restrictions on hobbies and social expenses
If your rent is over 70,000 yen, it will take up about 40% of your take-home pay. This means you will have to control your living expenses more strictly, limiting the money you can spend on food and hobbies. It's a good choice for people who value quality of life, but in order to save money and live comfortably, you will need to significantly cut down on other expenses.
- Rent accounts for nearly 40% of take-home pay, so managing fixed costs is important
- Restrictions on entertainment and hobby expenses
- Make a list of your living expenses and check off the items you can cut
Actual breakdown of living expenses (fixed and variable)
When living alone, you will have to pay various living expenses in addition to rent. Understanding the balance between fixed and variable expenses will enable you to plan your life in a way that is not too difficult.
<Fixed expenses (expenses that are unlikely to change from month to month)>
- Rent: 50,000 to 70,000 yen
- Utility costs (electricity, gas, water): 8,000 to 12,000 yen
- Communication costs (smartphone/internet): 5,000 to 8,000 yen
- Insurance (health insurance, life insurance, etc.): 5,000 to 10,000 yen
Fixed expenses are difficult to change once they are decided, so it is important to make a solid plan from the beginning. By keeping your rent low, it will be easier to control your overall living expenses. When reviewing your fixed expenses, it is important to choose a property that uses city gas to keep utility costs down, and to switch to a low-cost SIM to save on communication costs.
<Variable expenses (expenses that change depending on monthly usage)>
- Food expenses (cooking at home/eating out): 30,000 to 50,000 yen
- Daily necessities and miscellaneous expenses: 5,000 to 10,000 yen
- Entertainment expenses/hobbies: 10,000 to 30,000 yen
- Transportation costs: 5,000 to 15,000 yen
Variable expenses can be reduced with some ingenuity, so if you want to save money, it's a good idea to review your food and entertainment expenses. In particular, if you focus on cooking at home, you can live a healthy lifestyle while keeping food expenses down.
Tips for finding a house to reduce living expenses for single people
Many people who live alone want to keep rent and living expenses as low as possible. In particular, by being creative with fixed costs such as rent, utility bills, and communication fees, it is possible to significantly reduce monthly living expenses. Here, we will explain in detail the points you should keep in mind when looking for a house.
How to save on rent
Rent is the largest part of the living expenses for a single person. Therefore, it is important to find ways to keep rent low when choosing a property. Keep the following points in mind to find a place that offers good value for money.
Choose an area with low rent prices
Rent varies greatly depending on the area. Properties in popular urban areas or near train stations tend to be expensive, but by choosing an area a little further away, you can significantly reduce the rent for the same floor plan. Research areas with low average rent while taking into consideration commuting time and transportation convenience.
Don’t worry too much about the age of the building
Older properties tend to have lower rents than newer or recently built properties. Renovated properties often come with full facilities, so if you don't care about the age of the property, you have more options for living comfortably while saving on rent.
Expand to within 15 minutes' walk from station
Properties close to the station are popular and tend to have higher rents. If you insist on a place within a 10-minute walk of the station, the rent will be higher, but if you expand the range to about a 15-minute walk, it will be easier to find a relatively cheap property. Also, if you use a bicycle, you can ensure convenience even if you are a little far from the station.
Choose a 1K or one-room apartment
Larger properties such as 1LDK and 2K tend to have higher rents, but you can keep the rent down by choosing a 1K or one-room property. Especially for those living alone, it is recommended to prioritize ease of living over a large space.
Find a property with low initial costs (no deposit or key money)
One way to keep moving costs down is to choose a property with no deposit or key money. Recently, the number of "zero-zero properties" (properties without deposit or key money) has increased, making it possible to find a property with low rent while keeping initial costs down. However, management fees and common area fees may be set high, so be sure to check the overall costs.
Choosing a property that can save on utility and communication costs
You can further reduce your monthly fixed costs by choosing a property that allows you to save on not only rent but also utility and communication fees. Check the facilities and contract details of the property you will be living in in advance to reduce unnecessary expenses.
Choose a property with city gas
There are two types of gas: city gas and propane gas. City gas is cheaper than propane gas, so it helps to keep your monthly utility bills down. Gas bills tend to be higher in winter, so when choosing a property, be sure to check whether it is city gas compatible.
Find properties with Wi-Fi
If you use the internet frequently, you can save on communication costs by choosing a property that offers free Wi-Fi. A property with Wi-Fi will reduce your monthly internet bill (approximately 4,000 to 6,000 yen), reducing the burden on your living expenses. Another benefit is that there is no need for a contract or the hassle of installation, so you can start using the internet right away.
Save on utility costs by living in a shared house
For those who want to keep their living expenses down, a shared house is also an option. Not only do shared houses have low rent, but they also often include utilities and internet fees in the common area fees, allowing you to significantly reduce your fixed expenses. However, if you are not used to communal living, it is important to consider the rules of the shared house and how well you will get along with the residents.
Money saving tips to live comfortably on a monthly salary of 180,000 yen
If you live alone with a take-home pay of 180,000 yen, the amount of money you can spend will be limited when you consider rent and fixed expenses. However, by reviewing your expenses and saving efficiently, it is possible to live a comfortable life without straining yourself. Here, we will explain specific methods for reducing living expenses and ideas for increasing your income.
How to reduce your monthly expenses
When it comes to living expenses as a single person, it's important to strike a balance between fixed and variable costs. By being especially conscious of saving on variable costs, it becomes easier to control your monthly spending. Keep the following points in mind and practice reasonable savings.
<Food expenses: Cook more meals at home and buy in bulk>
The more often you eat out, the bigger the food costs will be. By cooking more at home, you can keep your monthly food costs down to around 20,000 to 30,000 yen. Here are some tips for saving money:
- Buy in bulk once a week: This helps you avoid unnecessary purchases and plan your food consumption.
- Make use of inexpensive ingredients: Choose cost-effective ingredients such as bean sprouts, chicken breast, and tofu.
- Make use of prepared meals: Avoid eating out on busy days at work
- Try to save money while maintaining a balanced diet.
<Utility bills: Tips for saving on electricity, gas, and water>
Utility bills are an item where you can make big savings if you are conscious of them. Specific ways to save money are as follows.
1. Save on electricity bills
- Instead of turning off the air conditioner frequently, keep it at the right temperature.
- Switch to LED bulbs
- Unplug appliances you are not using
- Save on gas bills
2. Shorten your shower time
- Choose a property with city gas whenever possible (it is cheaper than propane gas)
- Use an electric kettle to reduce gas usage
3. Save on water bills
- Don't leave the water running when washing dishes
- Use leftover bath water for laundry
- Small savings can add up to thousands of dollars in savings each year.
<Communication costs: Switch to low-cost SIM>
Communication costs are one of the easiest fixed expenses to save on. If you are using a plan with a major carrier, you can save more than 5,000 yen per month by simply switching to a low-cost SIM.
- Check your monthly data usage and choose the best plan for you
- Save mobile data when you have Wi-Fi
- Consider using a low-cost SIM card (Rakuten Mobile, UQ Mobile, mineo, etc.)
Simply reviewing your communication costs can lead to savings of more than 50,000 yen per year.
<Reviewing subscriptions and fixed costs: Canceling unnecessary services>
Monthly subscription services (video streaming, music, gym, etc.) can add up and become a surprisingly large expense. You can reduce fixed costs by keeping only what you really need and canceling unnecessary services.
- Stick to one video streaming service
- Review unused gyms and subscriptions
- Check your credit card statements to identify wasteful spending
Saving just 1,000 yen a month will add up to saving 12,000 yen a year.
<Entertainment expenses and hobbies: Decide how much you can spend and manage it>
It is important to enjoy your social and hobby expenses while managing them well. By setting limits in advance, such as "10,000 yen per month for social expenses" or "5,000 yen per month for hobbies," you can plan your spending.
- Limit drinking parties to once or twice a month
- Find a hobby that doesn't cost money (reading, walking, working out, etc.)
- Utilize cashless payment points
Try to spend wisely so you don't get stressed out over trying to save money.
Increase your income through side jobs and points
In addition to saving money, increasing your income will also lead to a more comfortable life. Try to increase your income even a little by taking on a side job or using points, which are particularly easy to start.
Side job options (freelance, part-time work, investment, etc.)
- Side jobs are gaining attention as a way to increase income outside of your main job. There are the following options:
- A side job that utilizes your skills (writing, programming, design, etc.)
- Part-time jobs that can be done in a short time (data entry, survey monitoring, posting, etc.)
- A side job on weekends or in your free time (UberEats, delivery part-time, etc.)
- Additional income through asset management (investment trusts, stock investments, virtual currencies, etc.)
In particular, side jobs that utilize your skills are recommended as they require little initial investment and have the potential to increase your income in the future.
Utilizing cashless payment and point activities
By being creative with your everyday shopping and payment methods, you can reduce unnecessary spending and earn points.
- Take advantage of credit card reward points
- Take advantage of QR code payment and e-money campaigns
- Use point sites to increase your return on online shopping
By simply making cashless payments for your everyday payments, you can earn more than 10,000 yen in points per year.
Initial costs and measures for living alone for the first time
When you start living alone for the first time, you will incur many initial costs, including not only rent, but also rental contract fees, moving costs, and the cost of purchasing furniture and home appliances. By understanding the approximate costs in advance and taking measures to keep costs down as much as possible, you can start your new life smoothly while reducing your burden. Here we will explain the approximate initial costs of living alone and specific measures you can take to keep costs down.
Estimated initial costs for living alone
The main initial costs when you start living alone are rental contract fees, moving costs, purchasing furniture and appliances, and preparing daily necessities. It is important to understand the approximate costs for each item and manage your budget carefully.
<Rental contract costs (deposit, key money, agency fee)>
When signing a contract for a rental property, you will be required to pay initial costs such as a deposit, key money, and brokerage fee. The general guidelines are as follows:
- Deposit (1-2 months' rent): Money to be deposited as repair costs when moving out
- Key money (1-2 months' rent): Remuneration paid to the landlord (not refundable)
- Brokerage fee (0.5 to 1 month's rent): Fee paid to the real estate agency
- Advance rent (1 month's rent): First month's rent paid at the time of signing the contract
- Fire insurance premium (15,000 to 20,000 yen): Insurance required when moving in
Estimated total rental contract cost: Approximately 4 to 6 months' rent
For example, if you rent a property with a rent of 60,000 yen, the signing costs will be around 240,000 to 360,000 yen.
<Moving expenses>
Moving costs vary depending on the distance, amount of luggage, and moving season.
- Moving within the same city: 30,000 to 60,000 yen
- Moving between prefectures: 50,000 to 100,000 yen
- Prices are higher during peak season (March to April)
Tips for reducing costs
- Avoid peak seasons (try the off-season when moving companies offer more discounts)
- Reduce your luggage and choose a compact plan
- Use a single-person package or a shared ride
<Purchase costs for furniture and home appliances>
To start living alone, you will need basic furniture and appliances such as a refrigerator, washing machine, microwave, bed, and curtains.
Estimated cost of furniture and appliances
- Refrigerator: 20,000 to 50,000 yen
- Washing machine: 20,000 to 40,000 yen
- Microwave oven: 5,000 yen to 15,000 yen
- Rice cooker: 5,000 to 10,000 yen
- Bed/mattress: 15,000 to 40,000 yen
- Curtains: 5,000 yen to 10,000 yen
Estimated total cost of purchasing furniture and appliances: 100,000 to 200,000 yen
To keep costs down, it is effective to make use of recycle shops and flea market apps.
<Preparation list of daily necessities>
In addition to furniture and appliances, you will also need to prepare items necessary for daily life. Use the list below as a reference and prepare the bare minimum.
- Kitchen utensils (knives, cutting boards, frying pans, tableware)
- Cleaning and laundry supplies (vacuum cleaner, laundry detergent, hangers)
- Daily necessities (shampoo, toothbrush, towels, toilet paper)
- Bedding (futon, pillow, sheets)
If you were to purchase all of these items in one go, it would usually cost around 10,000 to 30,000 yen, but you can save even more by taking advantage of 100 yen shops and discount stores.
Tips for reducing initial costs
The initial costs of living alone can be a big burden, but it is possible to reduce costs by being smart about your property selection and purchasing method.
Search for properties with no deposit or key money
By choosing a "zero-zero property" that does not require a deposit or key money, you can significantly reduce rental contract costs. However, you should be aware of the following points.
- Cleaning fees may be expensive when you move out
- Rent may be a little higher than market price
- In many cases, it is necessary to use a guarantee company
While properties with no deposit or key money have the advantage of reducing initial costs, it is important to carefully check the contract terms.
Choose a property with furniture and appliances
Recently, there has been an increase in "properties with furniture and appliances" that come equipped with refrigerators, washing machines, microwaves, etc. By choosing this option, it is possible to save tens of thousands to hundreds of thousands of yen in initial costs.
- Common in properties for single-person employees and students
- Particularly recommended for short-term stays
However, since the cost of furniture and appliances is included in the rent, it may end up being more expensive in the long run, so be sure to check the terms of the contract.
Use second-hand shops and flea market apps
Buying new furniture and home appliances can be expensive, but you can get them cheaply by using recycle shops or flea market apps (such as Mercari and Jimoty).
- Used refrigerators and washing machines can often be purchased for less than 10,000 yen.
- There are many posts on Jimoty saying "I'll give it away for free."
- You can buy new items at low prices by taking advantage of the outlet sections of large stores.
In particular, during moving season (March to April), the number of people moving increases, making it a time when cheap used furniture and home appliances are likely to be put up for sale.
If life is tough, a shared house is always an option!
If you feel that the cost of living alone is too high, we recommend that you consider the option of living in a shared house. Shared houses have low rent and many properties come with furniture and appliances, so you can live comfortably while keeping initial costs and living expenses down. You can also build new relationships by interacting with your roommates.
Here, we will explain in detail the advantages and disadvantages of shared houses, who they are suitable for, and how to choose the right one.
Benefits of a share house
Shared houses have many advantages that ordinary single-person living does not have. They are an especially attractive housing option for people who want to keep their living expenses down and build new relationships.
1. Low rent (some properties are 40,000 to 60,000 yen including maintenance fees)
Share houses tend to have lower rent than regular rental properties. Depending on the area, there are properties with rents ranging from 40,000 to 60,000 yen including maintenance fees, making it a reasonable place to live even in urban areas.
2. Low initial costs (many properties do not require a deposit or key money)
When signing a lease for a rental property, you are usually required to pay a deposit, key money, and brokerage fees. However, in shared houses, there are many cases where a deposit and key money are not required, allowing you to significantly reduce your initial costs. This means that the hurdle of moving is low, and you can easily start a new life.
3. Many properties come with furniture and appliances, so you can move in right away
Many share houses come equipped with furniture and appliances such as a refrigerator, washing machine, microwave, and bed, so you can start living there immediately after moving in. This further reduces initial costs and the hassle of moving in.
4. Utility and internet fees are fixed
In a share house, utilities and internet charges are often included in the common area fee, so monthly expenses are fixed and it is easy to manage your household finances. Another big advantage is that you don't have to worry about sudden fluctuations in electricity and gas bills.
5. You can interact with your roommates and feel less lonely
Living alone can make you feel lonely, but in a share house you can enjoy life by interacting with your roommates. You also have more opportunities to make new friends through meals and conversations in the common areas.
For more information on the advantages and disadvantages of shared houses, please see "A thorough explanation of the advantages and disadvantages of shared houses! How to choose the right one and tips for comfortable living."
Disadvantages of a share house
Living in a shared house has many benefits, but since it involves a different lifestyle than living alone, it is important to understand the disadvantages as well.
1. Limited privacy (even private rooms have shared spaces)
Share houses come with private rooms and dormitories (shared rooms), but in either case, you will share common spaces such as the kitchen, living room, and bathroom with other residents, so it can be difficult to have completely private space.
2. Not getting along with your roommate can be stressful
Since a share house is a communal life, it is important to get along with the other residents. If your lifestyle and values differ, you may feel stressed. There is also a possibility of trouble arising regarding noise or how to use the common spaces, so it is important to check the rules in advance.
3. There are many rules depending on the property (cleaning duties, visitor restrictions, etc.)
Each share house has its own rules for cleaning duties, visitor restrictions, and rules for using shared spaces. It is important to check the rules in advance and decide whether it is the right environment for you.
Who is a share house recommended for?
A share house is especially recommended for the following people:
1. People who want to keep rent and living expenses down
A share house is ideal for people who want to live in a city while saving on rent and utility costs. It is especially suitable for those who want to keep their initial costs low when moving.
2. People who are anxious about living alone for the first time
If you are worried about being completely alone when moving out of your parents' home and starting to live on your own, a shared house is a safe option. Having roommates to interact with can help reduce feelings of loneliness.
3. People who want to value connections with others through work and hobbies
In a share house, you can expand your work and hobby network through interactions with your roommates. For creative people and freelancers in particular, it can be an environment where you can get new stimulation.
4. People who want to keep property search and initial costs to a minimum
For those who want to save as much on initial costs as possible, a shared house with furniture and appliances provided has the advantage of being able to start living immediately.
If you want to know who is and isn't suited to living in a share house, please take a look at "Who is suitable for living in a share house? An explanation of the characteristics and benefits" and "What are the characteristics of people who are not suitable for living in a share house? Points to consider when choosing a home that suits you."
How to choose a share house
When choosing a share house, be sure to check the following points in advance.
1. Check the total amount of rent and maintenance fees
Even if a property appears cheap at first glance, it may have high common area fees. Check the total amount of rent and common area fees to calculate your monthly fixed costs.
2. Check the rules
- Is there cleaning duty?
- Can friends and family visit?
- Are there any time restrictions or restrictions on how to use the shared space?
It is important to choose a property whose rules suit your lifestyle.
3. Choose between a private room or a dormitory
Private rooms offer privacy, but the rent is higher.
Dormitories are cheap, but since you share a room with other people, you are more likely to be affected by the living environment.
4. Consider the location
Consider the convenience of commuting and living, and check the distance from the station and the surrounding environment.
5. Check out what kind of residents there are
Depending on the property, the type of residents varies, such as those for working adults or foreigners. Choose an environment that suits your lifestyle.
summary
When living alone on a monthly salary of 180,000 yen, it is important to balance rent, living expenses, and ways to save. If you keep your rent below 50,000 yen, you will have room to save, and if it is in the 60,000 yen range, you can live comfortably, but if it is over 70,000 yen, saving money is essential. Reviewing your living expenses and reducing fixed costs are key, and you can reduce expenses by using low-cost SIM cards and cooking at home. Also, if you choose a shared house, you can live a social life while keeping rent and utility costs down. Choose a home that suits you and live a comfortable life.
