As people, we all need to consume. In a consumer paradise such as Dubai, this need to consume grows even more. Whether you have just arrived or lived for a long time. Learning some things about saving money in Dubai can be helpful for you. Saving money can depend on one person to another. Something that might be a huge deal for you might not be such a big save for another person. However, savings should be done no matter how big or small the amount is. Lets find out about the lifestyle in Dubai for greater savings here.
In the UAE, especially in Dubai, it is very easy to get carried away by the fancy shopping destinations in the city. In addition, if you are a parent, then saving some bucks from the huge school fees you have to pay is a big deal. Therefore, to help you, here are some tips that you can apply while beginning your saving journey-
Create a savings plan
All great things need planning. Living in Dubai can be both amazing and expensive at the same time. Therefore, if you are not careful enough, your expenses will keep growing. So, it is necessary to plan.
If you have a huge expenditure coming up, for instance, buying an appliance or a car. You should be able to pay your money using a savings account. The savings account interest rate in Dubai ranges from only 0.5-3% currently. But keep in mind to check if there are any extra charges such as lock-in periods or account opening, closing fees.
Many saving experts also advise having three or six months of expenses saved for an emergency. This money will help you during unforeseen situations such as illness or loss of your job.
Split the cash
When you get paid, split the money into two bank accounts. One can be used for personal expenses and groceries whereas the other will be for the money which you are saving for a short amount of time. You can divide the money into fifty-fifty, seventy-thirty, or sixty-forty percent in two accounts
Create a monthly budget
There is a lot to think about when you consider saving. Therefore, making a budget beforehand can help you calculate how much you spend every month. These may include basic things like food, health insurance, transportation, and other utilities. The money spent on these should cover around 50% of your budget.
Plan your trip early
Even if you are planning to go for a trip within or outside Dubai, plan it early to avoid heavy flight expenses. There are many airlines available from Dubai but for greater deals you can look at Emirates flight booking especially in odd seasons to save some bucks there.
Keep track of your expenses
You can use mobile banking apps which allow you to view your expenditure history. Keep an eye on your balance and check transaction history frequently. You can also use spreadsheets or write things down in a notepad. The ultimate goal here is to keep a check on how much money is going in and out of your account. Therefore, you can cut back on some things to save money.
Plan your accommodation while travelling
If you want to visit other places in Dubai and want to stay there for a few days, then check the hotels in Dubai. Choose the one which provides basic facilities at cheaper rates.
Purchase your grocery in bulk
Residents in Dubai spent most of their salary on food and accommodation. Making your meals can be cheaper than eating out. However, if you cook your food, you still need to spend money on supplies like fruits, vegetables, and other basic things. Therefore, you can buy your grocery items in bulk from supermarkets like Grand Hyper, Geant, Lulu, Carrefour rather than smaller minimarts. There are also a lot of options for buying groceries in bulk online.
Save the change
You can use piggy banks or boxes for collecting loose change. This is an effective way to earn extra cash. Your Dh1coins, 50 fils, or 25 fils may seem nothing at all at first. But when you sum them up you will easily find yourself becoming richer by a couple of hundred dirhams.
Discover your workout routine
As gym passes are quite expensive in Dubai. Although going to the gym has many mental and physical benefits it is never easy to pay for them. Discovering your workout plans or following routines online, you can save money on expensive gym passes.
Attend Dubai shopping festival and GITEX
The Gulf Information and Technology Exhibition is an annual computer and consumer trade exhibition. It offers great deals to shop for the latest electronic appliances. You can time your purchases around this time and buy expensive items at a huge discount price.
Similarly, the Dubai shopping festival is another opportunity to find great offers on items other than just electronics. This is a one-month-long event when shopping malls offer great discounts. You can make some non-electronic purchases around this time to save money. This festival generally takes place at the end or beginning of the year.
Try to save on utilities
Save energy as much as possible. Remember to switch off all appliances once they are not in use. Turn off the Air conditioning and energy-saving lights while you leave your home. Keep in mind that all these things add up to your expenses.
Avoid using credit cards
They can be your best friend or your worst enemy. But often they’re the latter. Credit cards give you a false sense of security and allow you to spend more. Therefore, you should try to spend only what you’ve got and live within your means.
Although it is important to save it is never wrong to know investment hacks as well. They should work together for a successful financial strategy. Investing your saved money will help it grow in value. However, it is also important to do proper research on where to invest. As investments can be risky, therefore, you should also consider other means like increasing your income. An increase in your salary means an increase in your savings. As long as you are realistic and don’t increase your expenses along with your hike. Saving will help secure your future and prepare you for unforeseen circumstances.