365 days of sunshine, tax-free salary, high standard of living, safety, a multicultural platform of opportunity – the UAE is a very attractive place to work and live in. However, everything comes with a cost. So how does one thrive and survive in this country money-wise?
Here’s our quick financial guide:
1) Get the most out of your salary & benefit package. If you are to be hired while outside the UAE, relocation and accommodation costs are usually included in your package on top of your salary, sometimes even with educational benefits for your children, if any.
However, not all expats experience this level of benefit in their work offer package.
These are the important factors to consider that influence your financial planning. If you can manage to factor this all in with your salary, you will be, at the least, comfortable living in the UAE without any worries.
2) Save, Save, Save. Pay yourself first with at least 10-20% of your salary. It will not make sense to live away from home for an average of 3-7 years and then come back home empty-handed with no savings.
The UAE is a country full of entertainment and luxuries, if one is not careful with their money, financial wellness will not be possible and might lead to personal bankruptcy.
This current pandemic also has shown us that savings in the bank will always be a great cushion for uncertainties and emergencies alike.
3) If you can, get a financial adviser. Even if you have crossed your I’s and T’s with financial planning, even with a big salary, it is best to get an adviser or at the very least a mentor when it comes to handling your finances.
With a professional, you will learn to invest, possibly learn entrepreneurship or business, and learn how to manage your money wisely.
4) Use money tools and platforms that can help you. From mobile banking apps, bank loans, credit cards, shop now-pay later platforms, cashbacks, etc. – we are lucky to be living in an age of financial wellness information. These tools and mechanisms are here to be used AND NOT ABUSED.
There must be a basic knowledge of using these tools and possibilities to boost your spending power without diminishing your financial wellness. Research, ask, learn! Even if numbers aren’t your best friend.
5) Get insured. We cannot stress this enough. Set aside money for life or medical insurance. It seems like an additional unnecessary expense, however it should be considered a wise investment. If this will be your thought process, you can be assured you have a safety net.
Hope this helps! Good luck ☺
Work is work is work. It’s the hand that feeds us. It’s a blessing. But sometimes, it can be a curse especially when it turns toxic that the salary you get, no matter how big or small, will never be enough to compensate for the ill feelings. Everyone is replaceable at work – that’s the honest truth. It is up to the individual to find work-life harmony, and to get there, is to quit being in-denial of toxicity.