Working overseas is not easy. Finding a job abroad is equally challenging as well. As soon as your contract expires, there is a possibility that you might not get a job months after you went home. Unfortunately, two years of work abroad is not enough to buy a house or at least a car and ensure that you have enough money to send your kids up to college. This explains why people constantly look for a job overseas until they have enough money to sustain everyday living.
The question is how long should you work overseas to make your dreams happen?
A minimum of 10 years is enough to be able to help OFWs prepare for retirement and live a comfortable life. Apparently, there are many who live decades of their lives overseas and retiring is something they don’t consider because the needs back home are endless.
Let us tell you this: you can shorten your stay overseas without compromising the future of your family. Here’s what you can do:
1. Set a financial goal/s before leaving overseas.
It’s not enough that you want “to save” or “buy a house” as reasons for working abroad. Financial goals must be specific and attainable to make them happen. Having specific goals will also prevent overstaying because you will constantly feel that there is a need somewhere.
For instance, you want P1 million savings after five years, or finance at least half of the total purchase price of your dream house, or an investment worth P100,000 after two years.
More importantly, make sure that your family knows what these financial goals are. This way, they can help in making these goals happen.
2. Stick to your financial goals.
It’s not enough that you set your goals. You need to make these goals happen by making sure you stick with them.
At this point, you should be able to enumerate various ways on how you can make your goals realize. This is where budgeting comes in because it will help you itemize your money and make sure that you will be able to stick with your goals
3. Stay away from (material) temptation.
Being overseas is a temptation already. The fact that you are abroad will make you realize that goods are cheaper there than back home. As a result, you have the tendency to shop for whatever you could get your hands on to fill a balikbayan box.
If you continue to do this, then you won’t be able to retire early. Take it easy on your spending and make sure you buy only the necessary. On special occasion like Christmas, don’t hesitate to send something back home, but not to the point of exhausting every centavo of your hard-earned money.
4. You family should be independent.
Do you know why many OFWs are unable to go home for good even if they want to? It’s because their family depends on them.
You can change that by teaching your family how to be independent. Start by educating every member of your family about how to handle finances and money in general. Avoid giving in to their demands – material demands – just to make up for the time lost. Encouraging them, especially your spouse, to have a sideline or small business can also help a lot in ensuring that you will not only reach your financial goals early but also your return in the Philippines for good.
The more involved your family is, the higher the chances of achieving your goals early.
5. Invest your money wisely.
You might have a million in your bank account, but sadly, it’s not enough. That hard-earned million will go away easily considering the cost of goods these days.
To ensure that you can sustain a comfortable life, you need to start considering investing your money. Investing your money, say in stocks or bonds, helps you grow your money, especially when you held on to it long-term. At the same time, you get to enjoy other benefits like getting dividends from your investment. You can use this amount to pay for your needs instead of withdrawing cash from time to time.
With these tips as your guide, are you ready to say hello to Philippines for good? We hope so.