Tips for OFWs: How to Save Money

A lot of our overseas Filipino workers (OFWs) earn more money compared with those working in the Philippines yet many of them end up still broke or continue to be poor for a number of reasons. Aside from the cost of living and various expenses abroad being also higher than in the Philippines, they also have to deal with a lot of things that most OFWs can relate with.

Financial advisers often tell us all, not just the OFWs, how it is important to save money for emergency needs and the future but it is difficult to do. Remember that the money you save can be of great help to you and your family in times of emergency so you don’t have to take a loan.

We’re sharing here some of the tips for OFWs to save money.

Set a Goal

By setting a goal, you are making a statement that you are going to save money. Be realistic with your goals but also set something that is going to motivate you to work. For example, you can set a goal to have emergency funds amounting to P50,000.

Make a Budget

List down all your regular expenses and check whether you can actually afford them based on your salary. Cut down on your unnecessary spending so you can free up some of your cash to add to your savings goals.


Better yet, follow the rule of Income – Savings = Expenses instead of the usual Income – Expenses = Savings. Although this might be a bit difficult to follow through in the first few months, you’ll surely get the hang of it soon enough.

Pay Your Debts

If you have debts, however, it is important to make sure you pay them off first so that you can focus on saving money and not on paying the often-hefty interest rates. In the same way that you have to set a goal for saving money, set a goal for paying your debts as soon as possible. Start off with the ones that have the highest interest rates.

If you can ask for loan condonation or consolidate all your loans, this could help you pay for your loans at much friendlier terms.

Avoid Unnecessary Expenses

Cut back on unnecessary expenses as much as possible. This does not just mean making your own coffee instead of hanging out at a popular coffee shop but also learning to say “no” to your countless relatives, neighbors, and friends who seem to think you are simply picking dollars off the street.


Yes, you went abroad to support your family but there is a limit to your responsibilities: meaning, you don’t have to send money to sponsor your barangay’s fiesta celebration or to send the boyfriend of your 6th degree cousin’s daughter to school.

Invest Your Money Wisely

When you finally start saving money, you will soon discover that putting them in a piggy bank might not be so effective because you can easily get some cash for trivial matters. This is why it is a good idea to diversify your savings. Keep the piggy bank or the savings account but try investing your money. Click this link to check out different business ideas for OFWs.


WARNING: Stay away from dubious businesses that promise you big returns for your money! Chances are, these could be scam – you’ll end up losing your money instead of getting a big profit.

Avoid Incurring More Debts

Now that you are trying to save money, do try to stop incurring more debts. If this means cutting off your credit cards or putting off buying another car, then do so.

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