Imagine if you could afford anything you want. It might seem like a far-fetched fantasy, but with a philosophy known as Kaizen, it’s more achievable than you might think. This Japanese word, meaning ‘change for better’, can be a game-changer for your finances.
What is Kaizen?
Kaizen is a way of life that emphasizes small, incremental changes that lead to significant improvements over time. Think of it like a snowball rolling down a hill, it starts off small but as it rolls, it gathers more snow and grows larger. This concept is not just popular in business circles, but also in self-development, fitness, and finance.
Kaizen in Finance
When it comes to finance, the principle of Kaizen centers on the idea of small savings accumulating over time into large amounts of cash. But that’s not all. Kaizen also encourages finding ways to supplement your income in small ways and finding cheaper alternatives for your needs.
How to Use Kaizen to Afford Anything You Want
Small Savings, Big Results
Let’s say you want a new computer that costs $1000 and will be released in three months. That’s 90 days away. Now, divide the cost of the computer by the number of days until the release date, and you get $11.11. This is the small amount you need to save each day.
- $1000 (Cost of Computer) ÷ 90 (Days until release) = $11.11 (Daily Savings)
Saving $11.11 a day might seem trivial, but when accumulated, it can make a significant difference.
Add to Your Savings Pot
If saving $11.11 a day seems daunting, you could adjust it to a more manageable amount, say $8, and supplement it with other Kaizen-inspired strategies.
- Spare Change: Create a ‘change jar’ and add any leftover change at the end of the day.
- Sales: Find items you don’t need, like old DVDs or your old computer, and sell them. Add the proceeds to your savings pot.
- Cost-Cutting: Cut out unnecessary expenses, like your morning coffee or monthly clothing purchases. Instead, add the money you would have spent on these items to your savings pot.
Kaizen: The Key to Affordability
When you combine these techniques, you’ll find you can afford almost anything in a short time. The power of Kaizen is in its focus on small, consistent changes, much like a dripping tap filling a bucket over time.
To recap, here are the steps to affording anything you want with Kaizen:
- Identify what you want and its cost.
- Decide when you want it by.
- Divide the cost by the number of days to find out how much you need to save daily.
- Adjust the daily saving amount to fit your financial capacity.
- Supplement your savings with spare change, sales, and cost-cutting.
With Kaizen, your financial goals are within reach. So, start your Kaizen journey today and before you know it, you’ll be able to afford anything you want.