Financial Risks and Realities of Teaching English in Japan: Salary Trends, Rising Costs, and Survival Tips

By Dogen

Teaching English in Japan has long been popular among foreigners, but recent economic changes pose new risks for those hoping to build savings while living abroad. In this comprehensive video, Dogen explores the real financial challenges facing English teachers in Japan today. The discussion begins with an overview of current average salaries for teaching positions, including insights into long-standing programs like JET and Interac. Dogen emphasizes that wages have largely stagnated, even as the yen weakens, which means that foreign teachers sending money home or trying to manage debts abroad may struggle more than ever before.

The video dives deep into the impact of Japan’s weak currency, a declining population, and the issue of over-tourism, all of which have contributed to rising living costs, particularly in major cities and tourist hotspots. These financial pressures are compounded by stagnant salaries, making budgeting crucial for newcomers. Dogen illustrates how things like international money transfers and everyday expenses—such as relying on convenience stores or eating out—can quickly add up, draining savings faster than anticipated.

Practical advice forms a key part of the presentation, with Dogen offering clear, actionable steps. Recommendations include building an emergency fund, saving a portion of your monthly salary, buying secondhand goods through predecessor networks, and shopping strategically in bulk rather than relying on more expensive daily purchases. For JET Program participants and other new arrivals, Dogen strongly advises studying Japanese language daily to maximize opportunities and reduce costs, as well as being mindful about the realities of diminishing financial returns. Useful resources, such as using Wise for money transfers, are also highlighted, alongside advice from prominent Japan-based creators like Chris Broad.

Ultimately, while teaching English in Japan can be a rewarding cultural experience, Dogen’s video serves as an important cautionary resource, emphasizing the need for financial planning, cultural adaptation, and ongoing language study to ensure a positive and sustainable stay.

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