How This Chartered Accountant Started a New Life in Tokyo, Japan as an Expat

We all know that the benefits of international work experience are far-reaching.

For starters, making the decision to work abroad forces you to step outside your comfort zone, which opens up opportunities to develop new skills and have new experiences.

In fact, in today’s article, Prathamesh Deshpande, a Chartered Accountant from ICAI, India, shares with us how he got an opportunity to work in Japan. He also tells us about the work culture, the interview process, and job opportunities in Japan for expats.

Presently, he is a controller in investment accounting reporting at AXA Life, Tokyo, Japan.

My Journey: Moving from India to Japan as an Expat

A lot of my friends ask me, “Why did you choose Japan out of all the countries in the world?” I should say, instead of me choosing Japan, Japan chose me (lucky me!).

I started my career at AXA Life in India. After two years, I was being recruited for the US team, but a surprise opening on the Japan team came up.

My personal flexibility to give up on a finalized position and reappear for all the interviews once again proved beneficial in the long run.

As a child, I had also seen many documentaries on Japan and was always fascinated by its uniqueness.

I was welcomed in this country without any prejudice and with so much warmth.

My journey has been amazing so far and is getting better.

What is it like living in Japan as an expat?

It is a unique experience living in Japan as a foreigner. The stuff you heard about Japan is true: the Japanese dislike chaos and love peace.

They are very well organized, realize the importance of punctuality, and always put others before themselves.

They mostly keep to themselves and will not speak until spoken with.

The people of Japan are very peaceful and polite in the office as well as outside. I haven’t heard people swearing at one another, maybe because I don’t know the language fully.

I have always been treated with respect and dignity here and have never had an unpleasant experience here. So, rest assured that you will receive the same treatment.

There is a substantial Indian community in Japan, mostly concentrated in the Edogawa district of Tokyo. This has brought many Indian restaurants and specialty grocery stores to the region. Most of them have an IT or engineering background.

There are many places of interest in and around Japan. Tokyo has some great nightclubs and bars to hang out at.

Living costs and expenses in Japan

The cost of living in Japan depends on where you live.

I live in the city of Tokyo, so I spend almost 200k a month on rent, food, utilities, and transport.

Eating out is more expensive than cooking. The restaurants in Tokyo have different prices for lunch and dinner. However, with higher salary levels, it is manageable for a single person.

If you have a family to support, the expense increases as well.

Savings depend on your lifestyle; however, I should say that you can expect to save more in Japan than in India in absolute terms, primarily due to salary levels being 4x higher in Japan than India.

House Rents in Japan

• The spaces are limited and come at a premium here. So for someone used to living in a 1500-square-foot flat, it can be difficult. Keep in mind that living in a convenient area of Tokyo can mean a 30–40% increase in rent. On the other hand, in cities other than Tokyo, the cost of rent can be 20, 30, or even 50% lower.
• I would recommend Gaijinpot.com. It is a one-stop shop for all issues a foreigner might face in Japan. They have an indicative listing of vacant apartments and the expected monthly rent.
• Rent varies by location, size, and age of the apartment, as well as its proximity to metro stations.
• For people on a budget or backpackers, there are many B&Bs, shared houses, and capsule hotels to choose from.

Mode of Transport in Japan

• I don’t drive in Japan. Like most of the population, I commute by the Metro trains, which are convenient and on time (every single time!).
• Japan has a well-connected metro and bullet train network, so travelling is super easy and convenient here.
• You’d find many taxis plying the streets; however, they are pricier.
• Some people also use bicycles to reach nearby places.

What is it like to work in Japan as an expat?

I was already working with Japanese clients in my home country (India) before moving to Tokyo. So I had an idea of their work style, making it easy for me to adapt to the work culture when in Japan.

If you are considering working in Japan, it would be nice to observe this:

• In many ways, it is similar to a typical Indian company, but the importance of perfection, punctuality, and honesty cannot be undermined.
• The people of Japan are one of the most honest, punctual, and selfless.
• They are very particular and try to avoid mistakes. They are perfect in the truest sense.
• Work culture in Japan is centred around the corporation.
• People are usually addressed by their last names suffixed with -san, -sama, or -chan, depending on their age, position, and relationship.
• Formal wear is common, and even in the hottest summers, you’ll see the Japanese in their suits, complete with necktie.
• They also think like a community, which is amazing. So, a question to a particular person would first be discussed and debated within his or her team before being replied to.
• The communication is mostly in Japanese and can be a little difficult for someone who doesn’t know the language. The language itself has three scripts and requires a lot of effort to master.
• Since they believe in the concept of community, usually the team members leave after the manager. Hanging out with colleagues after office hours is considered good manners in some cases. There is a lot of respect for one another in Japan.
• In fact, in Japan, junior members of the team also provide support in logistical aspects like arranging a farewell or hosting some events in the company.
• Some people do take power naps during the lunch hour. It helps in maintaining performance levels during the day.

Behavior in Japan

• The Japanese are well-researched and knowledgeable about their work. They would expect the same of you.
• They look into the minute details of things and work on a schedule.
• Being late for meetings is frowned upon and could lead to a reprimand from the manager or seniors. In various degrees, these aspects are necessary across countries.
• Being organized and making the effort to help someone would be highly appreciated by the Japanese.

Working hours in Japan

• Japanese are the most hardworking individuals. filled with discipline, integrity, and honesty towards their work.
• Working hours in Japan are long. Many workers work overtime (overtime is mostly unpaid).
• The working hours in Japan are generally long, with people leaving for work at 8:00 and returning by 19:30.
• Recently, Japan has introduced a concept called “Premium Fridays,” where employees can leave the office by 15:00 on one Friday every month. This is an effort to bring more work-life balance and drive consumer spending.
• Weekends (Saturday and Sunday) are holidays.
• Additionally, there are 10 public holidays, some paid vacations, and sick leave. Maternity and paternity leaves and condolence leaves are available depending on the circumstances.

Job opportunities in Japan for expat finance professionals

The Japanese economy has seen steady growth over the past decade. They have become more accepting of the idea of employing foreign labor for longer periods of time.

Many people opt for temporary positions to gain overall experience. Foreign interns also join our offices to experience corporate life.

The immigration requirements have been considerably relaxed as the country faces a shortage of skilled workers.

Opportunities for Finance Professionals:

• Based on my own experience, I receive calls from recruiters hiring for diverse positions such as transfer pricing associates, finance analyst positions, financial controllers, investment reporting leads, etc.
• Recently, I’ve seen a lot of demand for transfer pricing and financial planning and analysis (FP&A) roles.
• The maximum openings for finance professionals would come from the Big 4 firms, which have offices in Tokyo and Osaka. Investment banks and AMCs also hire a good number of foreign professionals.
• Of course, other domains, such as assurance and advisory services, will definitely have a need for talent.
• I would recommend getting in touch with recruitment consultants instead of dropping CVs on websites. Robert Half, Hays, and Michael Page have their offices in Japan.
• You can connect with their consultants on networking platforms like LinkedIn, etc., to discuss suitable opportunities.
• Bilinguals remain in high demand as the official language of communication in most companies (even foreign MNCs) is Japanese.
• Employees usually work for the same company for long periods of time. Job changes are infrequent, although I have seen people change teams within the same company.
• Many companies also offer internal work-profile changes as part of their career advancement strategies.

What Financial Qualifications are Acceptable in Japan?

• My colleagues hold the JICPA certification. Many have obtained their MBAs or MS in Finance from local universities.
• Being in investment accounting, the CFA is also considered a valuable certification.
• ICAI does not have a Mutual Recognition Agreement with the JICPA (Japanese Institute of Certified Public Accountants).
• The Japan CPA exams are all in Japanese. However, I don’t see the necessity of having to do the local CPA courses.
• Previous work experience and a fair knowledge of the language should bring good opportunities for chartered accountants and other finance professionals.

Salary in Japan for Expat Accountants

• The average salary for an expat accountant in Japan depends on experience. However, a newly qualified accountant should expect to earn upwards of 5.5 million yen per year.
• People who join at executive or managerial levels should expect to make upwards of 10.5 million yen per annum.
• Annual increments aren’t more than 2% generally since it’s not an inflationary economy.
• Pay scale will change by 10–20% on promotions and job changes. Again, this entirely depends on the interviews and negotiations between the candidates and the recruiters.

How to Find a Job Opportunity in Japan as an Expat Accountant

I was an internal hire. So, I only appeared for the HR interview, where the HR Business Partner asked me about my background and my knowledge of the organization.

However, based on the feedback from my friends, I understand that there is a similar recruitment process in Japan to that in India and other countries.

Below is the basic process when interviewing an expat:

Level of Japanese

• For expat accountants, the first question would be the level of Japanese.
• If it’s a job where knowledge of the language is essential, they’d be keen to know if you’re certified as well.
• Like I stated earlier, there are JLPT exams, and the levels are N5, N4, N3, N2, and N1, with N5 being the beginner and N1 being the native.
• Now, usually, they’ll expect at least an N2 level certification.

Visa Status

• Thereafter, they will ask about the visa status.
• Usually, the companies are more keen to hire locally or from the pool of people already in Japan.
• Thus, applying from overseas might be a bit challenging.

Apply for courses in Japan.

• I suggest that you enroll in some course in Japan and simultaneously pursue a career search.
• Usually, foreigners will opt for Japanese language courses to start with.
• However, there are some very good universities in Tokyo, like Keio, Waseda, etc., that offer reputable MBA courses.

If your skills are relevant

• Applying in unrelated fields implies setting unrealistic expectations. This would also mean that you are disregarding your current experience.
• They will question you about your previous roles and whether they are relevant to the job they have available.
• Thus, it’s best to apply in fields where you have actual experience that you can prove.

Current Compensation

• They are also keen to know your current compensation. I’d suggest that you tactfully avoid this question or ask about whether they have a budget for the position.
• Of course, the salaries in India and Japan are incomparable due to their different economies, and the recruiters would usually factor this in.
• But it’s best to do your research by looking up salary guides published by respectable manpower consultants like Robert Walters.

Interviews in Japan

A little more about Japan

Japan has a culture of politeness and hygiene. So, anything against that is bad manners.

People are especially observing the following:

• Keep on the left side of the escalator to allow people in a hurry to pass on the right.
• not speaking on the phone, eating, or drinking on metro trains.
• Proper disposal of garbage in the designated bins, separating combustible and incombustible wastes,
• not passing food using chopsticks, as this is associated with death.
• removing your shoes when you enter someone’s home.
• Refraining from unnecessary honking and following the traffic rules and pedestrian signals
• Some of these, especially those pertaining to public hygiene and consciousness, can easily be adapted in India.

Places to visit in Japan

• I moved to Japan in Oct’17. This was one of the busiest months for us as my company was into its quarterly closing. So, I was occupied with work most of the days. I did go on some one-day trips during the weekends to nearby places. I also went around Tokyo to get a feel for the city.
• Japan is full of interesting places. The Hanami, or cherry blossom, festival, which occurs in March and April, attracts many people to witness the pink flowers in bloom.
• In Tokyo, there are many good nightclubs and shopping districts like Akihabara and Shibuya to indulge oneself.
• Kyoto offers a more relaxed environment where you can see old-world Japan. It is recommended to go there during the autumn to see the leaves turn red.
• Sapporo in the north is famous for the snow festival, which happens in February and involves building enormous structures of snow for a competition.
• Okinawa in the south is also popular among tourists for its relatively warmer climate.
• The Shinkansen (bullet train) network is great in Japan, and if planned in advance, one can even find reasonably priced flights.
• Besides this, there are many onsen (hot springs) where one can relax in the soothing waters.

In Conclusion

I am still the same person I was when I left my home country. So, I don’t see a major change in my attitude or personality after moving here.

One thing I’ve noticed, though, is my ability to freely interact with people. As a child, I was always willing to speak with unknown people and was very extroverted. Moving cities has made me embrace change instead of resisting it.

I have learned to trust people, and I believe everyone is good on the inside. This has taught me to be generous in other situations and to see things from their point of view.

I was welcomed in this country without any prejudice.

Japan has suffered a lot due to disasters, whether man- manmade or natural. They lost so much in the World Wars, earthquakes, tsunamis, and nuclear disasters, yet they stayed strong, kind, and honest. Such great lessons for mankind!

In the end, we are all blessed with limited time, and while we wander the realms of this earth, let’s enjoy and cherish what we have as long as we breathe.