A Newcomer Housewife to UAE… Let’s Know Together How to Make a beneficial Financial Plan

  • October 31, 2021

Housewives play an essential role in managing their household’s finances. In the past, husbands preferred to make financial plans by themselves. However, things are significantly different now.

Below is a list of helpful tips that will enable you to draft a beneficial financial plan when living as a newcomer housewife in the UAE:

  1. Join Forces with Your Spouse

Before you can start planning, make sure you and your partner are on the same page. Your husband may be the sole breadwinner, but you, too, have a right to his earnings. You’ll be using the income he generates to run your household together. Hence, you should both work towards maintaining transparency when dealing with the inflow and outflow of cash from your home. 

To ensure your financial setup flows smoothly, sit down and have a conversation with your husband first. Talk about how you plan on managing expenses – this guide will help you understand how to do this. You should also talk about key points like bank details, current, and future investments, and spousal support money. Being aware of your family’s financial assets will help you draft an effective money-handling plan. It’s difficult to manage expenses and savings if you’re not fully aware of your financial position. 

You and your spouse should also work out an effective way to transfer money to one another. For example, some couples prefer opening up a joint bank account that can be accessed by both partners. You can also keep individual bank accounts. However, keep in mind that you’ll need to devise an efficient way to transfer money from your spouse’s account to yours. 

Popular digital wallet solutions come to the contribution, like payIt app. which can help you handle your transfers to home countries, make bill payments, pay schools fees, and more. Also, your spouse can easily transfer money into your account with just a few taps. 

  1. Analyze Your Income

Understanding how much money is flowing into your household can help you develop an effective financial plan. Here are more handy tips to help you get started:

  • Ask your spouse how often they get paid. Though most people get paid a monthly salary, this isn’t always the case. Some companies prefer paying their employees fortnightly, so check to see if this is the case. Businesspeople, on the other hand, may not have a fixed income schedule. If your husband runs his own business, consult him about how much money to expect and how often. 
  • Don’t forget to account for tax! The UAE’s tax laws are likely going to be different from the country you’re immigrating from, so look into them, it’s better to be on the safe side when it comes to tax matters. So, before you calculate how much disposable income you have access to, talk about tax cuts with your spouse.

Now that you’ve got these essential points down, it’s time to move on to the next step! 

  1. Take Note of Your Expenses

Taking note of your expenses can help you draft an accurate expenditure plan. Below are some steps to help you do this:

  • List down all of your non-negotiable expenses. This includes fixed staples like grocery, rent, your child’s school fee, and loans installments if applicable. You should also set aside a suitable amount for car fuel, electricity bills, and related costs. The sum of these costs will count as your fixed monthly expenditure. 
  • Deduct your fixed monthly expenditure from your disposable income. Remember to account for tax deductions beforehand! This will help you understand exactly how much money you have available at your disposal. 
  • The money you have left over after subtracting your standard monthly costs can be put towards non-essential items. You can choose to spend this on less important things like clothes, outdoor dining, and entertainment. Also, remember to set aside a small amount to add to your emergency savings account. 
  1. Plan Your Payments 

Effective payment planning can help you save money by steering clear of late payment fees and availing of excellent retail discounts. Go over the following points for tips on how to create an efficient payment plan:

Check to see if your bank affords special discounts at select grocery shops and the like. If you’re using a digital wallet app like PayIt, it can afford you excellent discounts when using them to pay for your purchases. For example, payIt users can avail of 30% cashback when shopping at K.M.Trading supermarkets and department stores. Planning your purchases in advance can help you maximize your use of these special discounts, ultimately helping you to save money. 

Take note of payment deadlines and clear your dues on time. Doing so can help you avoid having to pay extra money as of late fees. Using a helpful online payment solution can help you make these payments on time without having to leave your house. If you’re making payment directly through your bank, try logging onto their online banking platform. Or, if you’re using an eWallet like payIt, you can directly make bill payments from their mobile app. 

Do you have any major expenses coming up? Perhaps you’re expecting a child or saving up to buy a new apartment in your home country. Whatever it may be, don’t forget to account for it within your payment plans. Carve a fixed amount out from your disposable income each month. Start saving up in advance to ensure you have enough money when the time to pay up finally rolls around! 

Remember to set aside money as a safety net for a rainy day. If your family has subscribed to an insurance plan, try not to delay your payments. There’s no point in risking your future just to “save” a few extra dirhams. So, if you haven’t yet subscribed to some sort of financial emergency backup plan, start now! 

Checklist Review

Now that we’ve gone over all of the essential financial planning steps in detail, let’s recount them in a quick checklist:

  • Start by discussing your financial plan and essential payments with your spouse. Don’t forget to cross-check your list of core expenditures with him. Doing so will help ensure you’re not missing out on any key payments.
  • Consider using an eWallet that will make bill payments and fund transfers extremely easy for both you and your spouse. You can also use it to avail of special discounts at grocery stores and more! 
  • Calculate your household’s disposable income after accounting for taxes. This will help you understand how much money you can expect to be working with each month.
  • Make a note of all your payments, including fixed monthly expenditure and optional costs. If your husband owes you monthly pocket money, note that down, too. 
  • Finally, draft an effective payment plan complete with due dates and special eWallet discount offers. Doing this will help you minimize your expenditure and maximize your savings.
  • Don’t forget to create a reliable investment or savings plan – and stick to it! 

Final Thoughts

Hopefully, working with these helpful tips will help you create a beneficial financial plan as a newcomer housewife to the UAE. 

Remember that the responsibility associated with ensuring financial matters flow smoothly in your household is as much yours as it is your husband’s.

To ensure your payments are never late, consider setting up payit eWallet account. Unlike most digital wallets, payIt can afford you special services within the UAE, like making quick online payments to domestic workers. It can also give you access to helpful discounts at leading stores and entertainment spots.