OFW Tip: How To Encourage Your Spouse to Save Your Remittances
Sure, Overseas Filipino workers (OFWs) earn more compared to what they get here in the country. Suddenly, their family will eventually think of spending on things they previously do not have – appliances, vehicles, vacations - yes, the good life. But these things eventually lead to abuse in OFW remittances, which ultimately hurts their family’s financial capacity, and might just as well lead the hardworking OFW’s money nowhere.
Of course, they mean well to provide the needs and comfort of their families, but there are some things that OFWs can tell to their spouses at home regarding money matters. These will at the most help them fulfill financial obligations. Besides those obligations are the main reasons their hard-earned money is for.
Exercise a daily, weekly and monthly budget
Convince your spouse to commit setting aside a portion of his remittances as savings, while committing to spend only the remaining for other expenses after securing the monthly extra fund.
Conversely, it is a good way to have daily, weekly, and monthly budget allowances. This will allow your spouse to plan expenses even way ahead of time, even targeting the essential expenses.
Make a list of priorities to buy
Another common mistake OFWs’ spouses commit is going out on a shopping spree, and doing this way too often. This is the time you must remind your spouses to purchase only what is really need back home.
And it is always a good practice to list down priorities to be purchased. Additionally, your spouses must be committed to follow a disciplined routine to follow that plan.
Your spouses might even be surprised that after budgeting practices, they might see a good portion of your remittance unspent. Make them set this aside as savings, while still committing to spend only the remaining for other expenses after securing the monthly extra fund.
Remind them to use credit cards wisely
While credit cards can be an advantage in purchases, these plastics are also financial traps, because of its convenience. Make your spouse understand that when the bills come, you will still have to pay for everything incurred to the credit. And that bill will include interest rates and other bank accounts, essentially bringing expenses up.
The one rule you have to make clear to your spouse is: Never spend money you do not have.
Be generous, but don’t overdo it
Friends and relatives will always ask for financial help during times of need. This is perfectly understandable, but there has to be a limit somewhere.
Advise your spouse to be cautious when extending help. Friends and family might be well-meaning, but over time they might be too depending on your eagerness to help that they will always be knocking at your door for assistance, or even asking for petty assistance down the stretch.
Remember to advise your spouse that your family’s interests and needs come first, and that there are always other ways to help aside from financial aid.
Live a modest lifestyle
It is always a product that with more financial gains come the impulse to upgrade your lifestyle. This is always a trap, because as money comes in, everyone is always tempted to buy things that once upon a time they could only dream of.
Remember to advise your spouse then that while it is perfectly ok to acquire your dream appliances and personal effects, do not overly do it. As explained above, budgeting is the key to more financial freedom. But added to that, a modest lifestyle will bring in additional spaces for financial freedom.
Remember to tell your spouse that by having a simple lifestyle, perhaps just a notch higher than where your finances came from before you start working abroad, will help save up a good sum of your earnings, and might be able to help your family in the long run.
Remember, that just because you are earning more abroad does not mean giving your spouse the privilege to spend lavishly, and in the process put your family’s financial capabilities into jeopardy .Teach your spouse to not be a one day millionaire, and ultimately financial gratitude and freedom will be in your family’s way.