Making the Most Out of Working Abroad

The top goals for working abroad are typically family-related—Filipinos find work overseas to pay for their children’s education, to be able to have a house or property, to put up their own business, and/or to save on retirement.

However, while most overseas Filipino workers (OFWs) have long-term goals, their favored investment vehicles are short-term (97% of them only have bank accounts, i.e. no other investment/financial instruments are utilized). Furthermore, their savings in the bank are usually intended to cover for daily household expenses. Sadly, these accounts are not adequate to cover unforeseen events like critical illness or accidents, job loss, or effects of natural calamities.

According to a 2011 study conducted by Social Enterprise Development Partnerships Inc., one out of 10 OFWs are financially broke. It also stated that eight out of 10 OFWs who return to the Philippines have no savings. As such, there is a need for overseas Filipinos to increase their financial literacy on how to keep their income and learn to grow it in order to achieve their goals.

OFWs tend to rely heavily on word-of-mouth and news from trusted friends and family for financial advice. While they are generally heavy users of TV media (ABS-CBN or GMA channels abroad) for information, there are other ways to boost one’s financial knowledge: read books, check online blogs and websites, or attend seminars.

While it’s necessary to have savings, it is wise to invest to make money work for you and make it grow over time. It is important to seek professional advice and guidance when learning how to invest and manage money. At BPI, their Bancassurance Sales Executivesare are on hand to provide that advice. Basic investments that OFWs can make even when abroad are those in real estate or Unit-Linked Funds, aside from other additional investments like the stock market and bonds.

One of the fears of OFWs is being unable to work because of health problems. Thus, it is important to practice self-care when overseas, since one needs to stay healthy in order to keep working and make the most of opportunities. As such, one needs to also invest in one's health: to have a healthy lifestyle, stay active whenever you can and avoid eating processed and high fatty foods. Good health is a key ingredient to success so you can meet the challenges you'll face head on and maintain the level and quality of work needed.

Having insurance is a reassurance of security for your future. BPI AIA has the Life Ready Plus, a unit-linked life insurance plan that gives you protection, plus a resolution to living longer, healthier, and better. When you maintain the policy for an appropriate term, you can achieve the optimal benefits to help you match your long-term financial goals for you and your family.

The product is part of the BPI AIA wellness initiatives. You can enjoy an upfront 20% additional life coverage and supplementary benefits as you make healthy choices with AIA Vitality. Boost your Vitality Status and get to receive up to 50% additional coverage on the succeeding years. Plus, avail discounts from a range of partners as a reward for living healthy.

Having the opportunity to work abroad can be a life changing one. However, you don't have to neglect financial education as you earn abroad. The bigger your income, the more important it is to educate yourself on how to handle it. It is equally important to take care of yourself in order to be able to care of your loved ones.

To take the first step on living longer, healthier, and better, contact a bancassurance sales executive or check the BPI AIA Wellness Series.