Working abroad gives OFWs an opportunity to provide a better life for themselves and their families. However, the better life you enjoy can only last as long as you handle your earnings well. If you have noticed that you never can seem to save up, then maybe a review of how you handle money is in order.
In this post, you will find some factors that might be draining our savings. If you are guilty of committing any of these, it is not too late to mend your ways. Your wallet and your future will thank you later.
Money Mistakes OFWs Might be Committing
1. Change in lifestyle
Since OFWs are earning higher than before, it has become easier to buy expensive items. Some of these items even lose their value, so the money spent isn’t even worth it.
2. Need to show off
Some balikbayans turn their vacations in a little fiesta, by treating almost everyone in your community. It can indeed be gratifying to treat everyone or give pasalubong to everyone you know. It can show that you have done well in life. But if you continue on doing this, then your expenses will grow. And by the end of your vacation, you might have used up all your savings.
3. Remitting more money than necessary
There are some cases where OFWs send more money than necessary to their families. Although the money sent back home covers the basic expenses, the rest are just being used to support the whims of the family. It might lead some family members to just depend on the money sent from abroad. In turn, the OFW might not be able to save for personal use.
4. Not getting insurance
For some OFWs who started their contract by taking out loans, it is understandable if they cannot allot a budget for a health or life insurance. However, once they were able to pay their loans, they have forgotten to get insurance.
5. Focusing on real estate as the only investment
While buying real estate property is sure to bring income, it might not be feasible if no one is responsible for it back home. The house could be in disarray, or the renter is no longer paying rent. The OFW’s effort will only go to waste.
6. Not saving up for retirement
Almost every worker in foreign soil dreams of going home for good. But they do not allot a portion of their income for their retirement. And then they will get shocked if they cannot continue the lifestyle that they have grown used to.
If you always remember to save and invest properly, then your finances will be alright in the long run. At times, you could enjoy the money you earned. But perhaps not do it often, so you still have money left when you really need it.