Home News Why Do OFWs and Their Families are Facing Difficulty in Saving Money

Why Do OFWs and Their Families are Facing Difficulty in Saving Money

It is said that OFW’s are the modern-day heroes not only because of their sacrifices and hard work, but also they play a big role for the growth of the Philippine economy.Why-Do-OFWs-and-Their-Families-are-Facing-Difficulty-in-Saving-Money

Not all people understand how difficult it is working in a foreign land and away from the family. Yes, the salary may be more than enough to provide a decent living for the family, but why many OFW families are still in a financial crunch especially when an OFW comes home.

The truth is being an OFW can take a toll on both your financial standing and personal relationships with your family. In fact, there are instances in which once an OFW ceases working abroad, his or her family ended up with just a little amount of savings. Why is that happening?

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Read also: How OFW can get out of Debt and Save Money

Here are some reasons why OFW’s and their families are facing difficulty in saving money:

Overspending

This is one of the major reason why OFW’s are not able to save money. Their families tend to overspend the allowance sent to them every month without consider the budget. In the same manner, OFW’s also overspend money just to compensate the time they’re away from their families by buying things they don’t really need.

Cost of living

OFWs may not save money because of the higher cost of living overseas. If an OFW is not thrifty in spending money, there’s great possibility that saving money for the future may be difficult.

Failure to identify an asset versus liability

Apparently, as OFW’s earn higher income they are easily swayed to buy things without identifying whether it is an asset or a liability. Most of the time they tend to buy things that would only take money from their pockets without anything to gain in the future.

Get-rich-quick attitude

Many OFW’s are practicing the get-rich-quick attitude that’s why they were tempted to invest in the wrong investment instruments. Thus, they end up losing money rather than saving it for the future.

Lack of financial goals

Working overseas takes a lot of courage as you will sacrifice to be away from your family. That’s why it’s important to set financial goals. Setting realistic goals will keep you in the right direction and make the most of your time.

Read also: List of Top OFW Business Ideas

Saving is indeed challenging especially if a person isn’t savings-oriented. Practicing the right financial behavior is the key to save the hard-earned money for the future once an OFW retires.

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