Digging into gratuity savings to fund stay in the UAE is a bad idea

Relocating to your home country would also mean minimal monthly expenses

By Dhaval Jasani/Money Matters

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Photo for illustrative purposes only. - KT file
Photo for illustrative purposes only. - KT file

Published: Wed 29 Mar 2023, 4:02 PM

Last updated: Wed 29 Mar 2023, 4:37 PM

I have been out of a job for 3 months now and find my savings of Dh200,000 from gratuity depleting. I have been doing some consultancy work and earning Dh6,000 since last month. My rent for a studio is Dh2000 / month. I have an option of moving to my home country and doing remote work? What do you suggest?

We understand that you are actively searching for a full-time employment while you continue with your consultancy work for the time being. In terms of managing your living costs, we are to caution you that depletion of gratuity savings is not a healthy sign and you may wish to rethink your stay in the country, when your monthly income is not assured and your expenses are certain.


This is a red flag and requires immediate action, before savings are depleted rapidly. Ideally, in such situations, you may relocate to your home country. This will allow you to work remotely on consulting assignments and simultaneously search for employment options. Relocating to your home country would also mean minimal monthly expenses compared to your monthly expenses at the current juncture. Moving out from here does not limit or restrict your return. You may always return to the region when you have signed up for employment that would assure you of monthly income and sustainability. We wish you the very best in your endeavours.

Dhaval Jasani, founder and CEO at ZTI. - KT file
Dhaval Jasani, founder and CEO at ZTI. - KT file

I would like to teach my kids the basics of personal finance and the importance of savings. Where do I start? Are there any courses on financial literacy for teens?


This is indeed a very encouraging thought. Given the uncertain times and the challenges the world faces today, it is prudent for the young generation to start undertanding into the basics of financial literacy. Awareness of this subject will enable teens to start making smart decisions on money matters.

Certain basic areas of financial literacy that teens should know about and apply them in their daily lives include budgeting, debt management (borrowing and repayment), saving, investing and cash-flow management.

There are several books on financial literacy for beginners. They could also check videos online to gradually understand the basic concepts and start implementing them in their daily lives.

You may also wish to give them monthly budgets to manage their own spending and forecast future costs on education. This will help them hone their budgeting and forecasting capabilities.

Surely, money is an interesting subject for teenagers and a blend of theory and practical implementation would be ideal for their learning. Ultimately, the goal is to remain financially fit and maintain this fitness during turbulent times.

- Dhaval Jasani is founder and CEO at ZTI. Views expressed are his own and do not necessarily reflect those of Khaleej Times.



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