Civil servants, who were once regarded as synonymous with "iron rice bowls" and "lifetime stability," may now face serious family financial crises. Schematic diagram. (Reuters)
[Financial Channel/Comprehensive Report] Civil servants who were once regarded as synonymous with "iron rice bowls" and "lifetime stability" may now also face serious family financial crises. Tetsuya Saito (pseudonym), a 53-year-old national civil servant in Japan, has a monthly salary of about 540,000 yen (approximately NT$108,000). After deducting taxes and social insurance, he actually receives about 410,000 yen (approximately NT$82,000). However, due to heavy housing loans, children’s education fees and living expenses, he still cannot make ends meet every month, and even has to rely on bonuses to fill the family financial deficit. More pressure is yet to come, because his salary is expected to shrink significantly after he turns 60, but he still has to pay his mortgage until he is 65. This shows that the number of families in financial difficulties is increasing due to factors such as high mortgage payments, education fees and rising prices.
Japanese media "THE GOLD ONLINE" reported that Tetsuya Saito entered the national civil service after graduating from university and has served for more than 30 years. He currently serves as an acting section chief. His monthly salary includes various allowances of about 540,000 yen, and his actual income is about 410,000 yen. Although it seems good, the problem lies in family expenses. Mr. Saito bought a sub-sale apartment 13 years ago at the age of 40 for 60 million yen (approximately NT$12.01 million). At that time, his colleagues were buying houses, and the real estate agent also told him that "if you are a civil servant, you can get a full loan." His wife Naomi (51 years old, pseudonym) also encouraged him to buy a house, believing that even with a little bit of reluctance, he could buy a house that would become an asset.
Since civil servants have high social credit, Mr. Saito successfully obtained the full loan when he applied for a mortgage. Now the monthly mortgage loan costs 180,000 yen (approximately NT$36,000). In addition, apartment management fees and maintenance deposits have increased significantly in recent years, and monthly housing-related expenses have reached 220,000 yen (approximately NT$44,000).
In addition, the monthly tuition and living expenses for the eldest son, who is in the third year of college, are about 100,000 yen (approximately NT$20,000), and the tutoring fees for the second son, who is in the third year of high school, cost another 60,000 yen (approximately NT$12,000) per month. In addition to basic living expenses such as food, water and electricity, the family The monthly deficit is about 100,000 yen. Even if his wife’s part-time income is included, the monthly shortage is still about 20,000 to 30,000 yen (approximately NT$4,000 to NT$6,000). He can only make up for it by transferring bonuses in summer and winter. For a long time, he has been stuck in a turnover life of "removing one wall to pay for the other."
At present, Mr. Saito's family only has about 3 million yen (approximately NT$600,000) in savings, half of which is expected to be used after his second son is determined to enter college. What's even more troublesome is that Mr. Saito may face a "salary cut" after turning 60. It is estimated that his monthly actual income after the age of 60 may drop to about 250,000 yen (approximately NT$50,000), but his mortgage payment will still have to be paid until he is 65.
Originally, Mr. Saito planned to use his pension to pay off his mortgage in one lump sum after retirement. Unexpectedly, the pension system has been adjusted in recent years, and the actual amount he can receive is less than originally expected. Even if the children’s education expenses come to an end in the next few years, as long as he still has to bear 220,000 yen per month for housing expenses, there will be almost no extra funds to prepare for retirement.
Mr. Saito said frankly that at first he thought that "being able to borrow means that he can afford it", but now he realizes that the two are completely different. He also admitted that due to the influence of his wife and the opinions of those around him, he bought a house beyond his means for the sake of appearance, and did not make a calm financial plan.
Financial stress can even further impact relationships. The couple once had a quarrel over family financial issues. When the wife got emotional, she asked Mr. Saito: "Didn't you say that being a civil servant will provide you with a stable life? Isn't this a fraud?" Faced with his wife's question, Mr. Saito did not refute. He only said that he remembered his promise when they got married: "Because I am a civil servant, I will not let you suffer." Now he can only tell himself to "hold on for another five years." After his second son graduates from college, the burden of education expenses will be over.
However, even if the children's education expenses are reduced in five years, Saito will also experience a sharp drop in salary after the age of 60. Coupled with the apartment repair costs that may increase as the house age increases, the financial pressure on the family may still be difficult to relieve.
The report pointed out that even if you have a stable career and a relatively good income in the eyes of ordinary people, if you face an unplanned mortgage loan, you cannot expect a stable retirement life, and you may fall into financial difficulties step by step. For civil servants, the "iron rice bowl" can provide job stability, but it does not mean that family finances will never be in crisis.
Grasp the economic pulse with one hand. Click here to subscribe to Free Finance Youtube Channel
