This is the first post from our new author Leon. Leon is a web developer and is raising a family in Japan, so he knows all too well the importance of frugality. Be sure to leave and comment, and if you’d like to hear more from Leon and I, then subscribe to the feed!
Being frugal about your transport in Japan takes a little knowledge. I prefer a motorbike for everyday use, but I also have a car for the family and transporting stuff around.
While you can pick up a late model car for a fraction of what it would cost you back home, you need to be aware of the fees structure here. A 5-door regular sedan will cost you upwards of ¥100,000 a year for registration, taxes and jibaiseki (mandatory 3rd party insurance).
A “k-car” or keijidousha on the other hand – which is any car with about 660cc of grunt – will only set you back a few man per year for the same.
It is usually easier to find a good price on a futsusha, regular sedan or bigger car. But when you factor in the increase in fuel, fees and parts costs, the total cost of ownership of a k-car will be significantly lower.
K-cars also get a discount when you use highways or toll roads. A ¥700 toll, for example would usually be ¥500 yen in a k-car (or 250cc motorbike!). Keep in mind though that k-cars are only allowed to carry 4 people at a time, including the driver for a combined weight of I think 200 – 350kgs.
When buying a car, I strongly encourage budding frugalistas to pay the extra for nihoken or 2nd level insurance. This is similar to fully comprehensive cover back home and there are various plans available. Why spend the extra money? The mandatory jibaiseki, which is illegal to drive without, only covers you up to ¥1,000,000. The minimum cost of damages just for hitting a jidouhanbaiki (a vending machine) is ¥5,000,000! You can imagine how many more lifetimes worth of pay-checks you will be paying if you injure a real person!
As with all frugal things and life in general: failing to plan is planning to fail.
Stay tuned for a follow up on 2-wheeled frugalistic fun!