Is it really hard to live alone on a monthly salary of 160,000 yen?
If you live alone on a take-home pay of 160,000 yen, you may be concerned about whether you can live on it, whether you can save, and how much leeway you have. In conclusion, it is possible to live on it, but it may be difficult depending on where you live and how you manage your expenses. Here, we will explain in detail the breakdown of income for a take-home pay of 160,000 yen, an estimate of living expenses, and the actual standard of living.
Breakdown of take-home pay of 160,000 yen (nominal salary, taxes, deductions)
A take-home pay of 160,000 yen is the amount you actually receive after taxes and social insurance premiums are deducted. To get this take-home pay, you need a gross salary (total payment) of about 200,000 yen.
Example of salary calculation for take-home pay of 160,000 yen (after social insurance and tax deductions)
| item | Amount (estimate) |
| Gross salary | 200,000 yen |
| Health Insurance | Approximately 10,000 yen |
| Employee's pension insurance | Approximately 18,000 yen |
| Employment insurance | Approximately 1,000 yen |
| Income tax | Approximately 3,000 yen |
| Resident tax | Approximately 12,000 yen (may not be charged for new graduates in their first year) |
| Take home amount | Approximately 160,000 yen |
In particular, the burden of employee pension insurance and local resident tax is heavy, with about 20% of the face value being deducted. Also, whether or not you receive a bonus will affect your annual income, so without a bonus you will earn 1.92 million yen a year, and with a bonus (2 months' worth) you will earn about 2.3 million yen.
Major living expenses and estimated amounts
Let's take a look at what expenses you will incur if you live alone on a monthly take-home pay of 160,000 yen.
Below is a summary of estimated monthly expenses, including rent, food, and utility bills.
Breakdown of living expenses (example for Tokyo)
| item | Amount (estimate) |
| rent | 50,000 to 70,000 yen (50,000 yen range possible outside Tokyo's 23 wards) |
| Utility bills | 10,000 yen (electricity, gas, water) |
| Communication costs (smartphone + Wi-Fi) | 7,000 yen (lower than 5,000 yen is possible with a low-cost SIM) |
| Food expenses | 30,000 yen (mainly self-catering) |
| Transportation costs | 5,000 to 10,000 yen (depending on location) |
| Daily necessities and miscellaneous expenses | 5,000 yen |
| Entertainment and entertainment expenses | 10,000 yen |
| saving | 10,000 to 20,000 yen |
| total | Approximately 130,000 to 160,000 yen |
It is possible to save money by cutting back on rent and food costs, but you can see that there is not much room for savings. You also need to prepare for unexpected expenses (medical expenses, replacing home appliances, weddings and funerals).
Actual standard of living (what you can and can't do)
It is possible to live alone on a monthly take-home pay of 160,000 yen, but what you can and cannot do will become clear depending on your lifestyle.
What you can do with a take-home pay of 160,000 yen
- If you live in a property with a rent of less than 50,000 yen, you can save money
- If you cook at home, you can keep food costs down (around 20,000 to 30,000 yen)
- Reduce fixed costs by reviewing low-cost SIMs and power companies
- Take advantage of free or low-cost entertainment (parks, libraries, subscriptions)
What you can't do with a take-home pay of 160,000 yen
- If you live in a Tokyo apartment with rent of more than 70,000 yen, you will be in the red.
- It's hard to spend money on weekly drinking parties, eating out, and hobbies
- It is difficult to cover the costs of maintaining a car (gasoline, insurance, parking fees)
- It is difficult to prepare for unexpected expenses (weddings, funerals, medical expenses, broken home appliances)
In particular, the rent is a major factor in determining how comfortable you can be. Rent is cheaper in rural areas, but living alone in the city means you have to live on the edge or save money.
Simulation of living expenses with a take-home pay of 160,000 yen
If you live alone on a monthly salary of 160,000 yen, the extent to which you can control your rent and living expenses will determine how comfortable you are. In urban areas, rent is expensive, so saving is essential, but in rural areas, rent is easier to keep low, and it tends to be easier to live comfortably. Here, we will compare the difference in living expenses between urban and rural areas, and provide a detailed explanation of what life will be like for each rent amount and the possibility of saving.
Simulation of life in urban areas (Tokyo and Osaka)
If you live alone in urban areas such as Tokyo or Osaka, the biggest challenge is the high rent and living expenses. Since the average rent is particularly high, it is highly likely that you will have a hard time living if you do not save money.
Simulation of living expenses in urban areas (Tokyo's 23 wards and Osaka city)
| item | Tokyo (rent: 65,000 yen) | Osaka city (rent 60,000 yen) |
| rent | 65,000 yen | 60,000 yen |
| Utility bills | 10,000 yen | 9,000 yen |
| Communication costs (smartphone + Wi-Fi) | 7,000 yen | 7,000 yen |
| Food expenses (home cooking + eating out less) | 30,000 yen | 27,000 yen |
| Transportation expenses (passenger fare + daily transportation) | 10,000 yen | 8,000 yen |
| Daily necessities and miscellaneous expenses | 5,000 yen | 5,000 yen |
| Entertainment and entertainment expenses | 10,000 yen | 10,000 yen |
| saving | 5,000 yen | 10,000 yen |
| Total Expenses | 142,000 yen | 136,000 yen |
- When rent is in the 60,000 yen range, it takes up most of your living expenses.
- If you don't save on food and communication costs, it's almost impossible to save money.
- Money saving tips are essential for life in the city (considering low-cost SIM cards, self-catering, and shared housing)
If you live in Tokyo or Osaka, you will likely find it difficult to live comfortably if the rent exceeds 60,000 yen, so you need to choose your area to live carefully.
Simulation of life in rural areas (government-designated cities and suburbs)
Living in rural areas or suburban areas reduces the burden of living expenses as rent is cheaper.
However, car maintenance and transportation costs can be higher than in urban areas, so it's important to consider the overall balance.
Simulation of living expenses in rural and suburban areas (Sendai, Fukuoka, Chiba)
| item | Sendai City (rent: 45,000 yen) | Fukuoka City (rent: 50,000 yen) | Suburban Chiba Prefecture (rent 55,000 yen) |
| rent | 45,000 yen | 50,000 yen | 55,000 yen |
| Utility bills | 8,000 yen | 8,000 yen | 9,000 yen |
| Communication costs (smartphone + Wi-Fi) | 6,000 yen | 6,000 yen | 7,000 yen |
| Food expenses (mainly self-catering) | 25,000 yen | 26,000 yen | 28,000 yen |
| Transportation costs (car/train) | 12,000 yen (with car) | 7,000 yen | 9,000 yen |
| Daily necessities and miscellaneous expenses | 5,000 yen | 5,000 yen | 5,000 yen |
| Entertainment and entertainment expenses | 10,000 yen | 10,000 yen | 10,000 yen |
| saving | 20,000 yen | 15,000 yen | 10,000 yen |
| Total Expenses | 131,000 yen | 127,000 yen | 133,000 yen |
- Cheaper rent means it's easier to save money than in urban areas
- In rural areas, you need to be careful about car maintenance costs (gasoline and insurance)
- Transportation costs tend to be high in the Kanto suburbs, such as Chiba
In rural and suburban areas, there are many properties with rent of less than 50,000 yen, and it is easy to keep fixed costs down, making it possible to live a relatively comfortable life.
Tips for living comfortably on a monthly salary of 160,000 yen
If you live alone on a monthly salary of 160,000 yen, the stability of your life depends on how much you can save on your monthly living expenses. In particular, by reviewing costs such as rent, fixed expenses, food, and communication fees, you can achieve a comfortable life without strain. Here, we will explain specific ways to reduce your living expenses while living a stress-free life.
Tips for keeping rent low (selecting the area and property)
Rent is your largest monthly expense, so it's important to keep it as low as possible.
However, prioritizing cheapness alone can result in long commute times and poor living conditions, so choose your area and property carefully.
Ways to reduce rent
- Choose an area a little further away from the city center: If you live in an area about 30 minutes by train from the city center, rent can be significantly cheaper.
- Choose an older property: Properties that are over 20 years old tend to have cheaper rent than new or recently built properties.
- Look for a property that is more than 10 minutes' walk from the station: Properties close to stations tend to be more expensive, so choosing a location a little further away will help keep costs down.
- Take advantage of a shared house: If living alone is too difficult, choosing a shared house can significantly reduce rent and utility costs.
We will go into more detail about how to utilize a shared house later.
How to reduce fixed costs (utilities, communication, and food)
Reducing your fixed expenses each month can lead to big savings.
In particular, it is important to optimize utility, communication, and food costs.
How to reduce your energy bills
- Review your contract with the electricity company and switch to a cheaper plan.
- Set the air conditioner at the appropriate temperature to reduce unnecessary electricity bills.
- Save on gas bills by shortening your shower time.
How to reduce communication costs
- By switching to a low-cost SIM, you can keep your smartphone bill below 3,000 yen per month.
- Review your home internet connection and make use of mobile Wi-Fi, etc.
How to save money on food
- Cook your own meals as much as possible and eat out less often.
- Buy in bulk to cut down on unnecessary purchases.
- Use cheap supermarkets and wholesale supermarkets to keep costs down.
Reduce living costs with self-catering and money-saving techniques
Cooking your own meals is the most effective way to save money on food. However, to continue doing so, you need to find ways to reduce the amount of work and make it easier.
Tips for continuing to cook at home
- Use easy-to-make recipes to prepare meals quickly.
- Make use of prepared meals to create an environment where you can cook for yourself even when you're busy.
- Plan menus that focus on inexpensive ingredients to keep food costs down.
Here are some other techniques to help you save money:
- Use 100 yen shops to reduce the cost of everyday items.
- Use coupons and points to reduce your shopping expenses.
You can save 5,000 yen a month just by reviewing your smartphone and subscriptions
By reviewing your smartphone charges and subscription services, you can save more than 5,000 yen per month.
How to review your smartphone bill
- By switching to a low-cost SIM, you can reduce your monthly smartphone bill by more than half.
- Change your data plan to an appropriate one and reduce unnecessary data usage.
Organize your subscriptions
- Cancel any subscriptions you are not using, such as video streaming services, music services, and online courses.
- Focus on one service and cut down on unnecessary spending.
For example, if you save 3,000 yen on your smartphone communication fees and cancel two unnecessary subscriptions, you can save more than 5,000 yen per month.
If you find it difficult to live alone on a monthly salary of 160,000 yen, we recommend a shared house!
If you live alone with a monthly salary of 160,000 yen, the burden of rent and living expenses will be large, and it may be difficult to save money. In such cases, we recommend a "share house." A share house is an attractive option for people with a monthly salary of 160,000 yen, as it keeps rent and utility costs down, comes with furniture and appliances, and has low initial costs.
Here, we will explain in detail how shared houses work, their advantages and disadvantages, and provide a simulation of actual living expenses.
What is a share house? A place to live that significantly cuts rent and utility costs
A share house is a home where multiple residents share one house.
Generally, you will be provided with a private room, and the kitchen, living room, bathroom, etc. will be shared.
Share house features
- Rent is cheap (average rent is around 30,000 to 60,000 yen even in Tokyo)
- Utility fees and Wi-Fi charges are often included in the common area fee.
- Furniture and appliances are included, so initial costs are kept low
- Interact with other residents
For example, renting a one-room apartment in Tokyo typically costs more than 60,000 yen in rent plus 10,000 yen in utility fees.
Living in a shared house can mean rent of 40,000 yen plus common area fees of 10,000 yen, allowing you to make significant savings.
The pros and cons of living in a shared house
While shared houses have the great advantage of keeping living costs down, they also have some disadvantages that come with communal living.
Here, we will compare the advantages and disadvantages of living in a shared house.
<Benefits of living in a share house>
- Low rent and utility costs
- Rent is about 10,000 to 20,000 yen cheaper than regular rental properties
- Utility fees and Wi-Fi charges are often included in the common area fee.
- Furniture and appliances are provided
- The apartment is equipped with a bed, desk, refrigerator, washing machine, etc.
- The initial costs are kept to a minimum, so moving is less of a burden.
- Increased interaction between residents
- Enjoy meals and events with your sharemates
- It's easy to make new friends and exchange information.
<Disadvantages of living in a shared house>
- Less privacy
- Although there are private rooms, the living room, kitchen, and bathroom are shared.
- Depending on the lifestyle of other residents, it can get noisy.
- Stress of communal living
- If residents' values do not match, it can lead to trouble.
- You need to follow the rules, take turns cleaning, and observe etiquette.
A realistic simulation of living expenses for people who actually live in a share house
Let's do a simulation in Tokyo to see how much you can reduce your living expenses by living in a shared house.
Comparison of living expenses between a typical one-room apartment and a share house
| item | Studio | Share House |
| rent | 65,000 yen | 40,000 yen |
| Utility bills and Wi-Fi | 12,000 yen | 10,000 yen * Often set as a common area fee |
| Food expenses | 30,000 yen | 25,000 yen |
| Transportation costs | 10,000 yen | 10,000 yen |
| Daily necessities and miscellaneous expenses | 5,000 yen | 5,000 yen |
| Entertainment and entertainment expenses | 10,000 yen | 10,000 yen |
| Total Expenses | 132,000 yen | 100,000 yen |
Tips for living in a share house
- Living in a shared house can save you over 30,000 yen per month compared to a one-room apartment!
- You can use the money you save for savings or hobbies!
If you would like to know more about the initial costs of living in a shared house, please read this article.
"How much are the initial costs for a share house? An explanation with details and market price"
What kind of people are share houses suitable for?
Shared houses are recommended for people who want to keep rent low but also want to live a comfortable life.
Who is a share house suitable for?
- People who want to reduce rent and living expenses
- People who want to move without buying furniture or appliances
- People who don't like the loneliness of living alone
- People who want to keep initial costs down and live for a short period of time
If you would like to know more about the characteristics, age group, and lifestyle of people who live in share houses, please read this article.
People who are not suited to living in a share house
- People who value privacy
- People who don't like living with others
- People who get home late at night because of work (there is a possibility of noise problems)
If you're unsure whether a shared house is right for you, or if you want to know alternatives if it's not for you, check out this article!
How to Find and Choose a Share House
The way to search for a shared house is different from that of a regular rental property, so it's important to keep the key points in mind when searching.
How to find a share house
- Search on a share house specialist website: Use "Cross House"
- Visit the property to see the actual atmosphere: Check the residents' attitude and the management situation
- Check the rules and contract details carefully: Make sure cleaning duties, noise rules, etc. are not stressful.
Points to consider when choosing
- Accessibility (distance to station/commuting time)
- Total amount of rent and maintenance fees (Can you keep fixed costs down?)
- Resident demographics (age group and lifestyle)
- Size and soundproofing of the private room (can you stay comfortably?)
Strategies to increase your income with a take-home pay of 160,000 yen
If you live alone with a take-home pay of 160,000 yen, the burden of rent and living expenses can be heavy, and you may find it difficult to save money. However, it is possible to have more leeway in your life by increasing your income. Here, we will explain how to increase your take-home pay by taking on a side job, improving your skills, or changing jobs.
Earn an extra 30,000 yen a month through a side job or part-time job
If you want to increase your income right away, a side job or part-time job is the easiest way. By utilizing your free time, you can earn an additional income of more than 30,000 yen per month. Some side jobs that are easy for beginners to start include web writing, data entry, video editing, and reselling. Delivery work such as UberEats is also popular because it allows you to earn instant cash by utilizing your spare time. Choose a side job that suits your skills and lifestyle, and increase your income little by little.
Gain a salary increase by acquiring qualifications and improving your skills
If you want to increase your income from your main job, obtaining qualifications and improving your skills are effective methods. If you work in an office job, obtaining qualifications such as Microsoft Office Specialist or bookkeeping will give you an advantage when seeking a raise or changing jobs. If you work in sales, English qualifications such as TOEIC may be useful. In the real estate industry, obtaining a license as a real estate agent may provide you with a qualification allowance. By improving your skills, you can expect a stable increase in income over the long term.
How to aim for a take-home pay of 200,000 yen or more by changing jobs
If you can't expect a pay raise in your current job, one option is to consider changing jobs. In particular, the IT industry and sales positions are occupations in which you can aim for a relatively high income even if you have no experience. Incentives are often paid according to results in sales positions, so it is possible to increase your annual income if you work hard. In factory work and logistics-related jobs, night shift allowances and overtime pay can increase your take-home pay in some cases. In order to successfully change jobs, it is important to use a recruitment agency to search for jobs with better conditions.
Tips for finding employment or changing jobs to a company that offers bonuses and allowances
Even if your take-home pay is 160,000 yen, you can increase your annual income by choosing a company that offers generous bonuses and allowances. Large manufacturers and companies in the financial industry can sometimes offer annual bonuses of over 1 million yen. Also, by choosing a company that offers housing allowances and qualification allowances, you can increase your income while keeping your monthly fixed costs down. When considering changing jobs, check not only the basic salary but also the bonuses and allowances offered, and aim to increase your overall income.
The real voices of people who actually live on a take-home pay of 160,000 yen
Many people feel that it is difficult to live alone on a take-home pay of 160,000 yen, but when you listen to the voices of people who actually live on this income, there are cases where it is possible to live without problems if you use ingenuity. On the other hand, there are also people who feel that it is impossible and have returned to their parents' homes, or who are living comfortably in shared houses. Here, we will introduce the real life of a take-home pay of 160,000 yen, including success stories and failure stories.
"You can get by surprisingly well if you save money!" Examples of successful people
Many people who are successfully living alone on a take-home pay of 160,000 yen are thorough in their efforts to save money. It is especially important to keep rent low, and people who live in suburban properties with rents of around 40,000 yen seem to be able to get by without any problems. There are also many cases where people have made it a habit to cook their own meals to keep food costs under 20,000 yen, and have reduced fixed costs by switching to a cheaper smartphone SIM or electricity company. There are also people who earn 10,000 to 30,000 yen a month from a side job, giving them more leeway in life.
"It turned out impossible after all..." Lessons learned from failure stories
On the other hand, some people have given up, finding it difficult to continue living alone on a take-home pay of 160,000 yen. In particular, many people who lived in properties with rents of 60,000 yen or more report that they were unable to save money due to the pressure on living expenses, which led to a heavy mental burden. There are also cases where people were unable to keep monthly food and entertainment expenses down, and before they knew it, they had become reliant on credit card revolving payments, causing their debts to balloon. What can be learned from these failures is the importance of keeping rent to less than one-third of take-home pay and managing spending in a reasonable manner.
"How does it compare to living at home?" Comparing the costs of living at home vs. living alone
When comparing living with your parents and living alone, you can see that there is a big difference in the cost of living. When living with your parents, you don't have to pay rent or utility bills, so it's easier to save more each month. On the other hand, living alone gives you more freedom, but the burden of fixed expenses is large, so unplanned spending can make life difficult. It's a good idea to save a certain amount at your parents' house and then start living alone once you have some extra funds.
"Living in a share house was the right decision!" Real reviews from residents
Some people who find it difficult to live alone on a monthly salary of 160,000 yen say that their lives have improved since they switched to a shared house. The appeal of a shared house is that the rent is low and utilities and internet fees are often included in the common area fee, so fixed costs can be kept low. In addition, since furniture and appliances are provided, the initial cost of moving can be significantly reduced. Another benefit is that residents can enjoy interacting with each other, and many people appreciate the fact that they can live without feeling lonely. However, since communal living requires rules and manners, it may not be suitable for people who value privacy.
summary
It is not impossible to live alone on a monthly salary of 160,000 yen, but careful spending management is required. In particular, keeping rent and fixed expenses low will help you to have more leeway in life. In urban areas, high rents can be a big burden, but in rural areas, a relatively stable life is possible.
It is possible to save money by adjusting your living expenses while being conscious of saving money. For example, keeping rent low, cooking your own meals, and switching to a low-cost SIM card for your smartphone are some effective ways to do this. Furthermore, by utilizing a shared house, you can significantly reduce your housing and utility costs, making it a recommended option for people who find living alone difficult.
It is also important to increase your income by taking on a side job, improving your skills, changing jobs, etc. If you can earn an extra 30,000 yen a month from a side job, you can have more leeway in your life, and you can also aim for a stable increase in your income in the long term by obtaining qualifications or changing jobs.
On the other hand, there are cases where unreasonable rent settings and overspending can make life difficult, so careful planning is required. In particular, if you neglect to review your rent and living expenses, you may not be able to save money and may end up living on the edge, so it is important to manage your money in a planned manner.
Ultimately, you can live comfortably on your own even with a monthly take-home pay of 160,000 yen if you use your ingenuity. By determining the lifestyle that suits you and combining reasonable expense management with ways to increase your income, you can lead a stable life.
