In the Philippines, seafaring is a profession that is looked up to in most regions. It is not uncommon to hear of families having one or multiple members engaged in seafaring due to the relatively higher salary it offers to workers. According to Payscale, the average salary of an ordinary seafarer with 1-4 years of experience is Php 371,000 per year and the salary goes up depending on the roles and responsibilities aboard a ship.
Preparing for the future can be daunting even for people who are fortunate to find high-paying jobs. This is particularly true for seafarers who sacrifice a lot for the future of their families. Personal safety, well-being, and time with family are just some of the things that seafarers put on the line every time they board a ship. They should be able to recognize that even with a higher salary, it’s wiser to save up for the rainy days ahead. Here are some tips to help seafarers and their families plan for the future and secure a bountiful life:
- Be diligent in building your savings. As the saying goes: don’t put all your eggs in one basket. Having a stable, decent-paying job is important but it’s equally important to not depend on that alone. Be strict in setting aside funds as savings that can be used in case of emergencies or for planning one’s retirement in the future. Set a savings goal and work your way towards it.
- Invest in other sources of income. Having multiple sources of income is better than just having one—especially for seafarers who want to retire early or simply enjoy the rest of their life without financial worries. Putting up a business or investing in stocks are great sources of passive income. Involving family members is also key to ensuring a successfully diversified income. While seafarers are working hard abroad, their family members can take care of the small business at home.
- Reduce and avoid debt. Incurring some debt is nothing to be ashamed of. Often used as a means to an end, debt can help put plans in motion like securing jobs abroad, buying a property, or setting up a business. But it’s important to also include debt payments when planning for retirement to remove such unnecessary stress in the future. Include debt payments in the monthly budget. Limit new debt by opting to pay cash and planning ahead for big purchases.
- Prepare a retirement plan. Dreaming of retirement isn’t just about relaxing. It also means being financially stable and self-sufficient as one advance in age. Apart from the financial aspects, planning for retirement also involves planning where to live and the possible expenses one might need at that time (such as medical costs, travel, and leisure. Invest early in health plans, insurance plans, properties, and other assets that you will need in the future.
