Make your time in the UAE work for you in terms of saving

Offshore saving plans are the ideal platform when it comes to retirement planning

I would estimate that approximately More than three quarters of new clients who come to deVere Acuma in the UAE do not have sufficient savings to fulfil their retirement ambitions.
This is continually perplexing, and cannot stress enough the importance of starting to save for retirement as soon as possible in your working life.
Expatriates who come to the UAE, who are able to enjoy greater financial rewards in a tax-free environment, often have the best intentions to save. However, it can be all too easy to end up doing the exact opposite. Spending on luxuries and getting swept away by the exciting UAE lifestyle can be too tempting for many.
Indeed, despite the tax-free environment, living expenses easily accumulate, taking up a large percentage of individuals' salaries, which could be allocated to their savings.
It is my experience that the majority of expats who come to the UAE are not here for lengthy periods. Indeed, in my experience, most stay for around five years, and then make the decision to move back 'home or somewhere else.
As such, it is crucial to make the most of working in such an environment, and go back with more than just a few Dubai anecdotes. Having benefitted from greater financial rewards and in a tax-free location - it would be extremely disappointing to leave not having accrued more savings than if you'd have stayed in your home country. Of course, that's the main reason why most expats are here.
Regular savings plan
One way to accumulate savings is to invest in a regular savings plan. They offer far better rates of interest than onshore alternatives. The majority of plans are multi-currency, so you are able to save money in the most favourable currency, as well as draw cash in any country.
There is an extensive range of Offshore Savings Plans available, such as easy access, notice, no-notice, fixed rate and monthly interest - and all help to build funds for the future and help you reach your financial ambitions.
Naturally, saving enough to cover emergencies or shortfalls is paramount, but isn't the only motivation for committing to regular savings.
For a large majority of expatriates, saving for their children's schooling and higher education fees is at the top of the list, and one of the main reasons they take out an Offshore Savings Plan. Overseas education can be considerably more expensive, coupled with accommodation and travelling fees becoming a significant drain on funds.
Furthermore, Offshore Savings Plans are the ideal platform when it comes to retirement planning, enabling holders to reach, and often surpass their goals when they decide to stop working.
As I've mentioned before, a major attraction to working in the UAE is the fact there is no income tax. However, at the same time, it's incredibly easy to spend in the UAE! That said, there's an effective way to save that works for numerous expats I've come across over the years.
Consider you are working in your home country and paying income tax. At the end of every month, pay yourself a percentage of the income tax and allocate it to your savings. It's a straightforward discipline, and coupled with the right savings plan, will make sure you are financially prepared for the future.
A regular savings plan can offer greater interest on your savings, and represent a more efficient way to plan ahead and secure your financial freedom. Whilst in the UAE, ensure you make the most of the situation and save as much as possible, in order to avoid serious disappointment in later life should you not fulfil your retirement goals.
The writer is ME regional director of deVere Group. Views expressed are his own and do not reflect the newspaper's policy.