Tokyo was rated as the fourth most expensive city in the world to live in for 2007, according to the Mercer Cost of Living Survey. Depending on your job and where you live, saving is not an impossible goal, but it does take some planning. Though Japanese households boast a savings ratio much higher than that of many other industrialised countries, interest rates can put a limit on how much that money can grow while in a bank account. Unlike the 5% interest rates in the US and 3% rates in Europe, Japan has maintained interest rates below 1% for investments and savings since 2003. Consulting an independent financial planner is the easiest way of gaining access to a broad range of investment options. Most recommend starting by keeping three to six month’s monthly living expenses in savings; check out members of the Japan Association for Financial Planners (JAFP). Many banks offer financial planning, though they will most likely steer you towards their own products. Off-shore accounts and investing are not common, but foreign exchange investments and foreign currency accounts have gained popularity. It’s best to maintain an active bank account in your home country, and a Japanese account is strongly recommended.