Save some of your earnings today for a secure tomorrow



A text message from an expatriate friend contained the following news: "I got called in to the director's office today. They're downsizing and had to let me go."
I was not shocked at all.
The shadows of the financial crisis that began in 2008 are still haunting global markets, and as strong as Abu Dhabi's economy may seem, companies are reducing their expenses, and many of my expatriate friends are being laid off.
Some of those who have not lost their jobs are anticipating it any day now as a result of weak global economies and the UAE's intensive Emiratisation efforts.
Downsizing and business shifting - or whatever reasons are given when employees are laid off - have altered the lives of Abu Dhabi's expatriate population.
But if you are an expatriate, suddenly finding yourself let go from a high-paying job and have no intention of returning home any time soon, how do you survive in a poor job market in one of the most expensive cities in the world and still maintain a good lifestyle?
Re-prioritising your lifestyle choices, downsizing and creating an emergency account are key survival strategies, some of my unemployed expatriate friends have told me.
Here are some real-life experiences:
Facing the possibility of being unemployed for a long time in a weak job market, Alex, a 29-year-old Briton, was forced to make some harsh changes since he did not intend to go back to the UK.
"I instantly sold my car, started using the bus, and ran errands once a week. I gave up BlackBerry and its expenses, landline, and used a Nokia, and internet TV instead of cable," he said.
It has been almost five months since Alex lost his job, and for him, the storm has passed. He recently secured a job at a private company but is earning less. However, his quality of life has drastically improved.
Thanks to the fall in rents around the capital, Alex has upgraded from a shared apartment on Corniche Street, in an area where parking is scarce, to a one-bedroom apartment closer to his work in Al Bateen area. He walks to work and no longer has to worry about parking a car or the expense of operating it.
By re-prioritising his lifestyle choices, Alex now saves as much as 40 per cent of his income.
Although re-prioritising is key, for some downsizing is inevitable. It was a tough move for Denise.
In 2008, she was appointed the head of operations at a government organisation.
Opting to live close to work in the expensive Corniche area, Denise had to take a loan from her new employer as most landlords require one year's rent in advance.
Repaying the loan to the company from her salary was a piece of cake.
"I ate out in five-star restaurants almost three times a week, and indulged in high-end arm candies," she said.
She also travelled every other month to exciting destinations, until she heard the bad news.
The organisation was shifting its business and had to terminate her services, only a few weeks after she renewed her lease and bought a new car.
Without regular income, Denise has used up most of her savings. She has recently been promised the position of general manager at a private company with far less pay. Denise was forced to sacrifice many lifestyle preferences, moving to Khalifa City and opting for an economical vehicle.
"Now I am living well on less and enjoying alternative, less-priced entertainment venues. It has been hard adapting to a lower lifestyle, but definitely an eye-opening experience," she said.
If we have learnt anything from the financial crisis that began in 2008, Greece's economic crash and recent political upheavals, it is that our financial security is not guaranteed, and an emergency fund is a must.
Many financial experts recommend a separate emergency account as a means of dealing with unforeseen events such as a job loss, natural disasters or unfortunate political events.
How much should someone put towards this sort of account?
Some financial experts say that at least 30 per cent of a person's monthly income should be put aside. Some of my friends would argue that they have numerous financial commitments that prevent them from saving that much.
What should they do? They should downsize their lives to save more. If you eat out every day of the week, reduce it to five to begin with, and then cut back some more.
Splurge on shopping only during Eid and sales season, and avoid the temptation of buying luxury items. A fuel-efficient vehicle is the perfect choice if you are a heavy commuter, because it is cheaper to operate. And the weather is getting better, so why not walk to your destination?
Your job is not guaranteed, so look for other ways to generate income. If you have a talent such as writing, painting or yoga, put it to use. Advertise your skills online and in local magazines and newspapers. Sell your artwork at exhibitions around the country, or work as a part-time yoga instructor at your local health or yoga club.
No one needs a dramatic wake-up call. Save now to live well tomorrow.
Manar Al Hinai, an Emirati, is a fashion designer and writer based in Abu Dhabi. You can follow her on Twitter on @manar_alhinai

From Zero

Artist: Linkin Park

Label: Warner Records

Number of tracks: 11

Rating: 4/5

The specs

Engine: 1.5-litre 4-cylinder petrol

Power: 154bhp

Torque: 250Nm

Transmission: 7-speed automatic with 8-speed sports option 

Price: From Dh79,600

On sale: Now

COMPANY PROFILE
Name: Almnssa
Started: August 2020
Founder: Areej Selmi
Based: Gaza
Sectors: Internet, e-commerce
Investments: Grants/private funding
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FIXTURES

All games 6pm UAE on Sunday: 
Arsenal v Watford
Burnley v Brighton
Chelsea v Wolves
Crystal Palace v Tottenham
Everton v Bournemouth
Leicester v Man United
Man City v Norwich
Newcastle v Liverpool
Southampton v Sheffield United
West Ham v Aston Villa

MEYDAN CARD

6.30pm Al Maktoum Challenge Round-1 Group One (PA) US$65,000 (Dirt) 1,600m

7.05pm Handicap (TB) $175,000 (Turf) 1,200m

7.40pm UAE 2000 Guineas Trial Conditions (TB) $100,000 (D) 1,600m

8.15pm Singspiel Stakes Group Two (TB) $250,000 (T) 1,800m

8.50pm Handicap (TB) $135,000 (T) 1,600m

9.25pm Al Maktoum Challenge Round-1 Group Two (TB) $350,000 (D) 1,600m

10pm Dubai Trophy Conditions (TB) $100,000 (T) 1,200m

10.35pm Handicap (TB) $135,000 (T) 1,600m

The National selections:

6.30pm AF Alwajel

7.05pm Ekhtiyaar

7.40pm First View

8.15pm Benbatl

8.50pm Zakouski

9.25pm: Kimbear

10pm: Chasing Dreams

10.35pm: Good Fortune

SPEC%20SHEET%3A%20NOTHING%20PHONE%20(2a)
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Nayanthara: Beyond The Fairy Tale

Starring: Nayanthara, Vignesh Shivan, Radhika Sarathkumar, Nagarjuna Akkineni

Director: Amith Krishnan

Rating: 3.5/5