Do you see yourself working abroad your entire life? Can you imagine being away for months on ends, only to come home to children and other family members who treat you as a stranger? Most OFWs work long and hard so they can earn more and shorten their stint abroad. Unfortunately, most of them get trapped in the same vicious cycle—working hard, sending money home, coming home broke and no better than the last time.
Well, you can break the cycle by investing in products that will you provide you with a passive or steady stream of income. While you are still capable, invest early and more. What are your options?
Invest in the stock market
Sure, the stock market is one complex avenue that most people want to steer clear of. But you should muster enough courage and give it a shot. Financial advice may be inaccessible before, but not anymore. You can start learning about the stock market by reading Bo Sanchez’s book My Maid Invests in the Stock Market, then follow it up with The Turtle Always Wins. These are two publications that simplified the stock market to a comprehensive level. You can also research online for other information.
Invest in real estate
Buy a house and then have it rented. The monthly rent will help tide your family over, and augment whatever amount you send them. This will then give you an opportunity to save more for yourself and invest more. Before you know it, money will just start flowing in. Just make sure, however, that the property you buy is not a fixer-upper or comes with plenty of problems. Also, if you take out a mortgage to acquire it, make a bigger down payment so the monthly repayments will be covered by the rental earnings. If you can supply more rental units the more money you’ll make. Don’t forget to choose the best and most profitable location as well.
Invest in multi-level marketing (MLM) business
MLM is a great network marketing business that you or your family can do while you are still earning abroad. It is a low-risk capital investment, which is suitable for someone who is still trying to find his footing in the investment world. What is even better is that you can market it online and through social media.
Before you invest, however, make sure you are dealing with a legitimate company or product. Some MLMs turn out to be scams, so make sure to do due diligence. Check with government agencies for business or license information.
Most importantly, invest in the future. So you can retire without any worries, set up funds for your children’s education and medical expenses or buy insurance. You should also pay all your debts, so you can come home without fearing that creditors will come knocking at your door.
And for a successful investment, remember the following tips:
- Set a budget that includes your investment and savings. Opt for automated transaction if possible.
- Strive to become financially literate. The world of investing and finance is full of wonders that are just waiting to be discovered.
- Set goals that you can achieve with the resources you’ve been given. There is no point in allocating a huge amount of your income to investments if your family will starve.
With this information at hand, make your OFW life better. Break the cycle of working hard and coming home broke.