Really worried about my financial future

[TokyoInk]

Sorry if this sounds a bit panicky but I am starting to panic a little!

So I’m married to a Japanese national and self employed as a tattoo artist in Tokyo. Business is pretty good right now but not very stable long term. I currently rent a spot at a studio and then get to keep 100% of what my clients pay. This means I’m taking home about ¥6m a year. From this, I pay my own pension and city tax etc. Life is pretty comfortable, for now.

So a couple of years ago, myself and my wife started a family. We have one kid now and another one on the way. This has led me to really start thinking about my future very closely and try to come up with a plan but I’m totally lost.

We have about ¥5m in savings and I opened a NISA three years ago which is just ticking along on its own, no problems there. I plan to open an iDeCo account this year too. My worries come more when thinking long term. My line of work (and honestly my appearance) mean I can’t consider a regular job. The lack of “employee” status has excluded me from qualifying for a mortgage and I don’t want to be renting at 80 years old. I also can’t keep going at this career until that age either as my eyes and hands won’t be as they are now.

I’m just about to turn 40 too so that’s kind of contributing to the sense of panic. Ideally, I’d like to buy a house and retire once that’s paid for but I really don’t see that working out.

Anyone got any tips?

[Haystack]

Deep breathe. You have a years+ savings, and have started a Nisa and iDeco. You are ahead of many people.

General Questions:
1. Does your spouse work?
2. Do they have a Nisa/iDeco?
3. Are you saving for your child's education? (J-Nisa?)
4. Do you have PR?

Specific Questions:
1. What talents and skills do you have that you can leverage into other careers?
2. What about diplomas, certificates, or qualifications?
3. What hobbies or interests do you have that could lead to other careers?
4. Many tattoo artists transitioned into other careers....what did they go on to?

[RetireJapan]

I’m just about to turn 40

You're in good shape. I often talk to people who are less prepared than you are who are in their 60s

Keep doing what you are doing, maybe try to accelerate your investing. iDeCo should really help with that. Look at building other income streams maybe?

Everything going online now has really opened up possibilities (for RetireJapan, being able to do workshops/coaching/seminars online has been a game changer).

[mighty58]

If the time you can spend productively doing your profession is finite, and other lines of work are not really feasible to pursue, then the one thing you need to focus on is how to increase your income while you still can. I don't know how exactly that's done in your line of work, but could you, for example, own your shop, charge more per customer, increase the number of customers, or have people renting space from you rather than the other way around?

[TokyoInk]

Thanks for the replies so far!

I understand some of your questions may have been rhetorical but I'll answer them anyway below!

General Questions:
1. Does your spouse work?
2. Do they have a Nisa/iDeco?
3. Are you saving for your child's education? (J-Nisa?)
4. Do you have PR?

1. No, she's a full time mother right now. Wants to go back to work when the kids hit elementary school but even then she's in food service so minumum wage
2. No to this one too!!
3. I just found out about J-Nisa. The ¥5m we have was to go towards the kids' futures but I'll get on that asap
4. I don't. Applied last year but was rejected. Told to reapply in 2023

The more specific questions. I've actually never thought about another career because I've never looked that far ahead but I guess I'll have to start! I've just got a high school diploma. I'm from South America and college was never really on the cards for anyone from my family.

I guess it's the housing thing I'm most worried about. I really want to have somewhere to call my own and a permanent place for the kids to grow up.

[Haystack]

Thanks for the replies so far!

I understand some of your questions may have been rhetorical but I'll answer them anyway below!

General Questions:
1. Does your spouse work?
2. Do they have a Nisa/iDeco?
3. Are you saving for your child's education? (J-Nisa?)
4. Do you have PR?

1. No, she's a full time mother right now. Wants to go back to work when the kids hit elementary school but even then she's in food service so minumum wage
2. No to this one too!!
3. I just found out about J-Nisa. The ¥5m we have was to go towards the kids' futures but I'll get on that asap
4. I don't. Applied last year but was rejected. Told to reapply in 2023

The more specific questions. I've actually never thought about another career because I've never looked that far ahead but I guess I'll have to start! I've just got a high school diploma. I'm from South America and college was never really on the cards for anyone from my family.

I guess it's the housing thing I'm most worried about. I really want to have somewhere to call my own and a permanent place for the kids to grow up.

PR needs to be a priority. It will help you get a mortgage. It will also secure your future in Japan.

I would not recommend formal schooling at 40 with only a high school diploma. Think professional skills and trades. You need to ask yourself what else you could do with your current skill set, what you enjoy doing, and how that could be leveraged into a career.

You presumably speak either Spanish or Portuguese, along with Japanese and English? That is a specific skill set that some employers are looking for.

Off the cuff I am thinking guided bilingual tours of the indy and alt. scenes in Japan. (Can I get a founder's discount? )