The Art of Saving Money – Kakeibo

Does saving money mean not spending at all? Can the habit of saving change you as a person? If so, what are the effective ways to save money? What big change can be brought in by doing so?

To answer these, let me take you through a process which is older than 100 years (116 years – to be precise) and still continues to be one of the best ways to save money being tried, tested and practised for years and years.

This is a Japanese art named “KAKEIBO” – pronounced as “Kah-Keh-boh”, that translates to “Household Financial Ledger”. It was structured in 1904 by the First Female Japanese Journalist “Hani Motoko”, who believed that “Financial stability is crucial for happiness” – just as most of us do.

It is an old-fashioned but effective method that relies on pen and papers. It demands two books, one for noting down every penny spent and received, which should be carried everywhere we go, and the other one is to consolidate such receipts and payments categorically. This is where we, from ProjectSpace, have crafted an excel template with precision and purpose. Do leave us a note from the contact page, if you’d be interested to subscribe our electronic version of ‘Kakeibo Notes’. Our template not only helps you to keep track of your cash movements, but aids you in your Rally to Reconcile, Realign and Remediate deviations, all in one spreadsheet.

If this idea interests you, don’t forget to like this post. Also, follow our blog to know more about Kakeibo and a lot of other ideas from across the globe, thanks to our upcoming posts.

Sriram Thirumal

Rally to Reconcile.!

Many a time, we might feel lost somewhere mid-way. Despite kicking off with an optimistic start and having an action plan fixated at our hands, we would still miss the way in between. We all get into a tangle of questions, asking ourselves if we’re on the right direction! We all do…

But what’s the way out from there?

Reconciliation. You read it right. It is never a fumble to take a second look at the task plan.

It is always recommended to revisit your objectives, make a checklist for your agenda and check every point that you’ve already crossed over. Pick out the areas where we might have fallen out, and most importantly, realign your agenda based on your current situation.

Our priorities change with time and so do our resources. What is seen as our strength at one point in time, might turn out to be a weakness in another. That’s natural and it is alright to be vulnerable. But it is imperative that we realise what is pulling us behind and get back in control of the situation.

It is indeed a very important practice in professional environments to reconcile every process as well as the progress. It is a convention used to ensure unanimity between the different parties involved. Some popular reconciliations in accounting include Bank Reconciliation Statements (Banks’ Pass Book vs. Company’s Cash Book), Record-to-Report Reconciliations (Books of Accounts vs. Financial Statements/Presentations), Party Account Reconciliations (Debtors/Creditors vs. Company’s Books), so on and so forth.

Deviations are human, but negligence is not! Let’s take charge before we are way afar. Reconcile your actions with your plans, actuals and the budgeted. Adjust the sails to the direction of wind. But, be reminded, There is no wind that blows right for the sailor who doesn’t know where the harbour is!

Venkatasubramanian V.

Are you Accountable?

This is a question most of us are facing in our everyday life, isn’t it? This is something we often end up asking ourselves, leave alone being asked by others! But hold on, we have a repose… If you are now thinking about our previous post, we are well in connect.. If not, no worries… You can check here to resurface the idea of ‘Endorsement’.!

Yeah, so we can always endorse our source of information or funds as applicable and shift the burden of accountability. However, that’s definitely not the conclusion, because we must also share the responsibility despite our source being the first person accountable. After all, we have propagated the same alongside our source. This is known as recourse – sourcing back the endorser to bear the responsibility for the defaults made by the endorsee.

But let’s not forget, “Every law has an exception”.

If the endorser makes a clear statement that he cannot be held responsible for the defaults of the endorsee, at the time of endorsement, then the recourse stands pointless. Yes, an explicit outcry to reject any future claims of accountability at the time of performance or before performing such endorsement could save us by the name of Sans-Recourse.

Sans-Recourse endorsements are very much in existence wherever the idea of endorsement exists. If a party endorses a negotiable instrument to an endorsee (in the context of business accounting), the endorsing party can never be held responsible for any defaults post endorsement. I don’t think I’d have to explain in the context of branding, advertising or political endorsements, do I.? Almost all of them are claimed to be Sans-Recourse nowadays.!

PS: ProjectSpace endorses my content and this is definitely not Sans-Recourse… I take the primary responsibility nevertheless.! 😀

Venkatasubramanian V.

I Endorse…

‘Endorsement’ is a word we often come across in the modern days, often without a clear understanding on what it refers to… It could mean different things in different contexts, but with the same underlying logic. Let’s first take a look at the relevance of it in business parlance..

Most popular endorsement of the modern business environment is the ‘Brand Endorsement’. Celebrities and popular figures sign as ‘Brand Ambassadors’ of a specific product or company or an initiative to publicize or create awareness among the masses.

Endorsement is also an important idea in handling negotiable instruments. A business signs at the back of a bill that is due from a third party and delivers it to its creditors. The signature is the assurance given for the payer of the bill to discharge the liability on behalf of the company.

Politicians and News Transmitters endorse statements and policies of state administrators or critics to convey their support for the same. In all these scenarios, the endorser is expressing his belief and trust on the ability and sincerity of the endorsee, as and when applicable.

Endorsement is not only a statement of approval and agreement, but also an assurance for the genuineness of the original party or the enterprise. It is also a credit given to the source of the idea or policy. With this write-up, I – as a writer for ProjectSpace and its member, endorse the genuineness and quality of work rendered by this enterprise. Graciously looking forward to your endorsements for our content, as readers… Wishing you all success ahead.!

Venkatasubramanian V.