Author: Lara

Do you plan on working overseas? You’re not alone.

Every year, hundreds of thousands of Filipinos are seeking greener pastures for bigger earnings that will help secure their family’s future. If you’re new in this kind of world, then you need to be careful. There are a lot of fly-by-night recruitment agencies who take advantage of first-timers like you for their own gain – and you don’t want to be part of their victims list.

Don’t worry. In this post, we will enumerate tips and things to remember to ensure smooth sailing application for your first job abroad:

Tip No. 1: Three Words – Reputable Recruitment Agency 

This is the first thing you need to remember when applying for a job overseas.

The good news is POEA is active in going after unlicensed recruitment agencies and ensuring that the same people won’t operate again. There are several agencies who entice people to apply to them by placing high salary rate or compensation package, which could be tempting for ordinary Filipinos. When you pass your application form and requirements, they will ask you to pay the placement fee upfront, which is not allowed. Do not easily fall for that.

Before you apply, start by checking whether or not the agency is licensed or among those who are blacklisted in the POEA website. This way, you are sure that all of your efforts and money won’t go to waste.

Tip No. 2: Apply on Jobs Approved by POEA

This is why it is important to apply to reputable recruitment agencies. Every job order is approved by POEA, which means the government is aware that such job is needed overseas.

Since you are already browsing through the POEA website, you might also want to check their latest job offerings. From time-to-time, POEA posts job vacancies for certain countries and you might want to try that.

Tip No. 3: Transact Directly with the Agency 

You saw this job ad on Facebook and decided to apply. When you contacted the agency who posted the ad, you were told that you’ll just meet somewhere, say Starbucks or fast food restaurant. That is a red flag.

Reputable recruitment agencies don’t send out a representative to meet a prospective client somewhere outside the office. If you were told to meet somewhere, then there is a higher possibility that the job ad is a sham.

Tip No. 4: Tourist Visa is a No-No 

You apply because you want to work overseas. If you were told that you will be given a “Tourist Visa first” and then they’ll fix it “once you’re there in the country of destination,” then don’t push through with your job application.

There is a higher chance that the agency is not licensed. There is also a higher possibility that Immigration won’t allow you to leave the country. Even if you got past through Philippine Immigration, there is a risk that you will be deported in the country where you’ll be working.

Tip No. 5: Placement Fee is Worth One Month of Your Salary 

One of the expenses you need to pay for when you apply for a job overseas is the placement fee. It’s how recruitment agencies make their money, so this expense is inevitable.

How much, you might ask. One month salary and should not go beyond that. Some countries like Canada don’t even require you to pay placement fee, so make sure you are aware of that.

You might ask when should you pay the placement fee. You can pay only when there is a valid employment contract. There must also be a corresponding receipt that indicates the amount you paid for.

Tip No. 6: Say No to Fixers

Admit it. Sometimes, you are tempted to go to fixers to get tickets or for “faster transaction” when dealing with government agencies. Don’t even think about it when you plan to work abroad.

Processing of documents does take time. This is why it is important to prepare all necessary documents needed and ensure that these are complete before submitting your documents. This could minimize waiting time too.

Applying for a job overseas is similar to looking for a job in the Philippines. The difference is that there are more documents you need to secure, which could take time. Just be patient, remember these tips, and soon, you’ll be flying to a different country to help you secure your family’s future.

OFWs earn in dollars. With the current exchange rate, you are earning more than what you can earn in the Philippines.

Here’s the thing: expenses never end. Even if you are earning in dollars, you end up living paycheck to paycheck because of the many financial responsibilities back home. The challenge now is how to infuse savings and investment when you are working on a low budget.

Don’t worry. Achieving your financial dreams is still possible. What you need to do is to embrace the following money habits:

Spend Within Your Means 

Admit it. You’re always tempted to buy the latest gadget or new shoes for your family back home even if it leaves you with almost nothing. You always feel the urge to give them something because you believe that this is your way of showing how much you love them. Plus, you want people to think that you are ahead in life because you can afford expensive things.

Stop that mentality and always spend within your means. Spending more than what you have is a dangerous habit because you might not notice how much money you are losing – even if the intention of those purchases were good.

Stick to the basics to help you save as much as you can.

Know How Much You Spend

Yes, you are spending within your means, but that doesn’t stop there. You need to know how much money is going out of your pocket and the best way to do that is to track your spending.

Every month, plot a starting balance based on the amount of your salary. Then, deduct every expense, regardless of the amount. At the end of the month, the ending balance should not be negative, otherwise, you are spending more than what you actually have.

Make it a habit to check the list and see what expenses you can get rid of. If you want to prioritize saving and investing money, then make necessary adjustments to your lifestyle – and tracking your spending will help you with that.

Schedule Your Shopping 

It’s understandable that you want to send balikbayan boxes regularly to your family back home. How often should you do it?

As much as possible, limit your padala to maximum of twice a year. Set aside a specific time and BUDGET to do shopping – and it should NOT be every week. Watch out for sales or promos and take advantage of it so you could slowly fill your boxes. Buying items anytime you want won’t help you financially. Plus, there are other ways to show your love for your family without showering them with material things.

Again, if you will do your shopping, then make sure you stick to a budget. This is important, otherwise, you might end up spending all (or a big chunk of it) of your hard-earned money.

Use Your Time to Do Something Productive

Surely, you have off or rest days. Instead of using that day, take advantage of that time to do something productive.

Perhaps, your off days is the perfect time to start your own retail online store, look for job opportunities for extra cash, or replenish your inventory for your business back home. You can also use this opportunity to learn something new or catch up with past lessons you took online.

The bottom line is don’t put that rest day to waste.

Cook Your Own Meals 

It’s tempting to just buy food and make your life easier. If you have a lot of expenses on your plate, then you need to make necessary adjustments starting with food.

Instead of buying food, consider cooking your own meals. Plan your meals at the start of the week. If you don’t mind eating the same viand over and over. cook in bulk to make your life easier.

Any other tips you have in mind? Let us know in the comments section.

At some point in your life, you will be tempted to borrow money from someone to cover sudden, emergency needs. Apparently, not everyone is willing to extend a lending hand to you because let’s face it, these people have their own needs as well.

Who do you turn to? Usually, your next best option is to go to banks and apply for a specific loan facility.

Here’s the thing: banks require that potential borrowers should have a bank account. In case you don’t have one (although we assume that you do have an account under your name), then applying for a loan could be challenging.

Why do you need to have a bank account when applying for a loan? 

The answer is simple: it proves that you are financially-responsible. At the same time, crediting the approved amount of money you borrowed is easier because lenders can simply transfer money to your bank account in a more convenient and secured way.

Having a bank account shows that:

• You are earning money regularly.
• You are responsible enough to set aside money for savings.
• You are less of a credit risk because you have money to pay off the money you borrowed.

In other words, having a bank account shows lenders that you have the capacity to repay the loan.

What if you don’t have a bank account? Can you still borrow money from lenders? 

Believe it or not, the answer is yes. There are still lenders who allow people to borrow money even without a bank account. Still, there’s a catch. Borrowing money may not be as convenient as it seems.

For starters, you may be limited to short-term loans and smaller amounts. If you need a bigger amount, then lenders may be hesitant to extend credit because they don’t have much information as to how you handle money.

Another issue would be lenders will require you to submit supporting documents such as proof of income or Certificate of Employment. Others may require you to propose a collateral just to ensure payment in case of default. There are also lenders who will impose higher interest rate, which could be heavy on the pocket.

What can you do? 

The best that you could do is to open a bank account. Banks adjusted the minimum amount of deposit, thereby allowing borrowers to open an account for as little as P100.

If you can’t open a bank account and you really need to borrow money, then below are your options:

Private Lenders

The good news is there are private lenders like Balikbayad who offer loans to those who don’t have bank account. These lenders may provide personal loans up to a maximum amount, online cash loans, salary loans, and payday loans among others.

The good thing about borrowing from private lenders is that loan application is easier and more convenient. In fact, some even allow online application, which means you don’t have to go out of your home and apply for a loan. Collateral is also not required, which means you don’t have to worry about losing your property or any asset.

Still, there are few issues when you apply from a private lender. Since you don’t have a bank account, you must get the cash directly at either private lender’s office or from a remittance company. Also, be prepared to pay for high interest rate since this is an unsecured loan.

Pawnshops

If you need quick cash and you have valuable item to spare, then you can try pawnshops.

Pawnshops don’t ask for any bank-related accounts when you apply for pawn loans. You won’t be asked about your income, existence of previous loans, credit history, or your loan purpose. As long as you have any valuable item to pawn, then you are good to go. Plus, pawnshops won’t run after you in case you are unable to pay the loan.

There’s a risk on getting pawn loans: there is a possibility that you can’t get your pawned item back.

Loan Shark

This is risky and not recommended. Loan sharks or 5-6 loans allow you to borrow money anytime with little collateral documents as possible.

Here’s the catch: if private lenders charge higher interest, loan sharks are way more expensive. You might be asked to pay the loan in the shortest time possible, so make sure you have cash on hand.

What is your best option? Private lenders like Balikbayad.

How long have you been working overseas? Throughout the entire duration of your stay abroad, have you considered putting up your own business? If yes, then what do you plan to start?

The truth is you can’t be an OFW forever, which also means you can’t earn in dollars until you reach retirement age. Before your contract ends, you need to start something sustainable to ensure that at least, your daily needs are covered. This is why you need to consider entrepreneurship.

Check out these business ideas that you and your spouse can try for additional income:

Sari-Sari Store

Sari-sari store may be an age-old business idea but believe it or not, it is still among the profitable businesses out there. All you need is a space (it can even be in front of your house) and few thousands to buy your stocks, and you’re good to go. A sari-sari store is easy to manage and could be left in the hands of your spouse while you’re still working overseas.

Who knows, this sari-sari store could turn into a mini grocery business.

Carinderia

Aside from sari-sari store, carinderia business is another business venture you might want to consider. All you need is little capital and impressive cooking skills so people will go to you and buy your food products.

If you live near offices, then consider offering packed lunches. Establish your menu by Sunday, get orders from offices first thing in the morning, and have their orders delivered by lunch time. You might be surprised with how much money you could make from this business.

AirBnB Rental 

Do you have a property like old house or condo unit that you are not using at the moment? If yes, then why not turn it into a money-making machine through property rental?

Short-term property rentals through AirBnB are popular these days. It is cheaper and guests have more freedom to do what they want to do (like cooking means instead of eating out). There is also a high demand from traveling foreigners and millenials who are itching to go on a staycation, so make sure you take advantage of it.

You might have to shell out money for renovation because when it comes to this kind of business, looks are everything.

Food Cart

Food cart business are popular these days. In fact, there are companies who welcome franchisers by offering their food carts at affordable prices.

If you don’t have hundred thousands to spare, then that’s fine. You can put up your own food cart, look for a space with high foot traffic (like near school or offices), and sell there.

The key here is selling a product that is both yummy and affordable. You can try to make and sell siomai, burger, or hotdog in a bun. Serving lugaw orkwek-kwekcan be a good idea to. Don’t forget the drinks.

Online Retail Business

Online retailers are on the rise these days. This is because there are available platforms that allow you to sell products for free.

Still, the key in this business is offering a product that is not readily available in the Philippine market. If you could offer products from the country where you are working and sell it in the Philippines, then there is higher chance that you’ll land a sale.

Money Transfer Business

You understand how challenging it is to send money to and from the Philippines. You might want to take advantage of that by putting up your own money transfer business. If you feel this is a big leap, then you could franchise an established remittance center for assistance.

Just don’t charge skyrocket-high fees or else, people won’t go to you.

Which among these business ideas would you want to try?

Starting a business is not a walk in the park. You need to make sure that your business is profitable in order to survive. Then, there are marketing strategies you have to think about to make the people know your product exist. You also have to deal with customers who may or may not like your product. Then, you also need to think about adding new products on your line or possible expansion to make your business grow.

Before everything, you need to think about this important factor: your business name. 

Don’t underestimate a business name. The name of your business reflects not just what you’re offering but also who are the people behind that business and what are the values you represent. This is why it is important to make it right because this is how people will remember you. In other words, your business name is a reflection of your business’ identity.

That being said, here are tips and things to remember when choosing a business name:

Tip No. 1: Make it unique and unforgettable. 

There are a LOT of entrepreneurs in the market offering the same products. In this digital world, you need to make sure that yours is something that stands out and something that people will remember.

Therefore, go for something catchy and could easily stick to the people’s mind. Avoid nonsense mix-up of names or something that is hard to spell or pronounce. Otherwise, you won’t be able to maximize the power of name recall, which could help you a lot in this business.

Tip No. 2: It should reflect your business. 

Let’s say you want to sell sausages. Your business name should tell people that you are selling sausages. Avoid using terms like “technology” or “solutions” because it does not reflect what you’re actually selling.

In choosing a business name, make sure it is a reflection of the product or service that you are actually selling. Do not deceive people by adding popular terms just for the sake of being remembered.

Going back to sausages, you should include the term “sausage” or “food” so people will know that you are selling something of that sort. This will make it easier for people to remember you as well.

Tip No. 3: Simplicity is key. 

Do not create long business names. Believe it or not, your potential customers won’t care that much. Stick to one or two business names and you’re good to go.

Since we’re talking about simplicity, avoid adding special characters to your name, except for ‘s. Remember that name recall is important, so keep it simple as much as possible.

Tip No. 4: Ensure that the name is available. 

This is important. Even if you finally came up with the most brilliant and eye-catching names, you need to check that nobody owns it yet. Trademark infringement is a serious issue, so choose something that nobody has thought of yet.

If you came up with a name that is owned by no one, then register it as soon as you can. This way, you got the first dibs and you are the rightful owner of that particular name.

Tip No. 5: Don’t rush. 

We understand how important it is for you to start your business. Without a name, you won’t be able to start because your social media pages will depend on it.

Still, relax and give it some time. A business name is important in ensuring the success of your business. If you can’t think of a name now, then perhaps tomorrow or two days from now could help in squeezing your brain for the perfect business name. Ask help from family and friends by having a brainstorming session. There are also name generators available online so take advantage of those as well.

Brand new year means brand new opportunities. At this point, you know that OFW life is not forever and applying for a new job overseas may take time. This is why you vowed to do something to ensure continuity of funds in the family.

How will you do that? You consider opening a new business.

The truth is there are tons of opportunities available to help you jumpstart your entrepreneurial career. If you’re unsure as to what type of business you should start, then let this list help you.

Here are business ideas you can try this 2019:

1. Online Business – The online market is flourishing. Many Filipinos spend a lot of time glued on their mobile phones and, yes, shopping or at least browsing for items. Take advantage of that by putting up an online store. You could sell anything you like but to set you apart from the rest, offer the people something that is not readily available in the market. It could be one-of-a-kind products from the country where you’re working or a product that you make.

2. Cleaning Services –  Most households are unable or have difficulty finding a reliable house help. If you worked in a hotel or as a household service worker overseas, then put those skills to use and start your own general cleaning services company. All you need are cleaning tools and equipment and eye for perfection, and you’re good to go. Just make sure you get equally reliable and trustworthy cleaning ladies because reputation is key in this type of business.

3. Food Delivery – Does anyone in the family love to cook? If yes, then try offering those to die for meals to people. Instead of renting a space or putting up your own restaurant, try food delivery services first. You can start cooking at your own kitchen first and commission a third-party to deliver the food to your customers. Keep in mind that the appearance of your food matters a lot, so take good, enticing pictures. Who knows, this could be a start of something bigger, say your own restaurant in the future?

4. Food Cart – If cooking is not your family’s thing but you still would love to get into the food business, then consider franchising a food cart. The good thing about food carts is that there is already an existing business model that you can adapt. Plus, the franchised food cart already made a name in the market, thereby making marketing easier for you. You can check this post for affordable food carts you can franchise.

5. Laundry Service – Apart from general cleaning, laundry is something Filipinos are willing to pay for. You can open your own laundromat and give people some convenience. Self-service laundry centers are also in demand these days, so you might want to invest your hard-earned money on that.

6. Gift Boxes – This type of business is in demand these days. Take advantage of that by putting up your own subscription service. Every month, subscribers will receive specially designed gift boxes that contains items based on a particular monthly theme. You can have monthly themes like “Toys and Games,” “Goodies from Overseas,” or “For the Coffee Lovers.” Items can be easily sourced so this won’t be a big issue for you.

7. Party Supplies –  The party industry is booming these days. People are willing to spend money to make their parties Instagram-worthy. You can take advantage of that by putting up your party supplies store. The good thing about this business is that items are available on wholesale, which means you can get items at cheaper prices.

8. Tutorial Services – Are you good at a particular subject, preferably English or Math? Put those knowledge into good use and offer tutorial services. Many working parents these days are willing to pay for tutors since they could have a hard time squeezing study time as soon as they get home. If you can’t offer tutorial services, then at least anyone in the family can do for extra income.

9. Personal Grooming Home Service – Did you work as a barber, hair stylist, makeup artist, or spa personnel abroad? Use those skills by offering home service facilities. Compare the prices of said services in the malls and offer a competitive rate. Don’t worry. People are more willing to pay for convenience.

It’s a brand new year. Surely, before 2018 ended, you made a list of things to accomplish as well as plans and resolutions for 2019. You are also proud of yourself for aiming for those goals and promised to do whatever it takes to make sure these resolutions will come to life. After all, at the end of the day, all you want is a better future for you and your family that is why you outlined those goals.

The first week has been great and so far, you’re on the right track. The question now is whether or not you can sustain this until December 31, 2019.

Of course you can! Here are tips that will ensure that you can stick to your 2019 goals and resolutions before 2020:

Write your 2019 resolutions. 

Yes, it is old school, but it still an effective ways to make sure that you’ll make it before the clock strikes at 12 midnight on December 31. As odd as it sounds, writing your resolutions for the year has higher effectiveness rate than just relying on your mind.

Keep those resolutions simple and attainable.

One of the reasons why New Year’s resolutions are not sustained is because you set unrealistic and impossible to attain goals. Forget that.

What you need to do is to keep your resolutions simple and attainable. Instead of aiming for a complete overhaul of your lifestyle, target one to two habits first and then move on to the next. Instead of aiming to reach one million by the end of the year when you don’t have savings yet, keep it realistic and target at least P100K.

The point is the simpler and more attainable your goals are, the easier for you to make these happen.

Daily action is key. 

You can’t attain something without putting 100 percent effort to it. This means you need to outline steps you need to take everyday to make sure that by the end of the year, you will stick to those goals and resolutions.

What you can do is schedule your activities for the week to help you attain those resolutions. For instance, you promised to save P100K by the end of the year. Before the week starts, finalize your raket/s (apart from your main job, of course) and the amount you are expecting that could help add up to your savings.

Breakdown your one big goal to smaller goals. 

Let’s go back to P100k savings for 2019. It’s easy to say you want to save that much but how do you plan on achieving that goal?

This is why it is important to make manageable action chunks from that one big goal. It is easier to make those resolutions happen because you are more focused and at the same time, there is a higher chance that you will achieve it.

So how do you plan on achieving the P100k savings? You could start by looking for sidelines. To get a sideline, you set aside one day to look for part-time jobs or ask friends around if they know someone who could find your skills useful.

The bottom line is start small to help you supplement that one big goal.

Track your progress. 

This is important. You’ll never know whether or not you are making progress if you don’t track it, right?

Establish a system that will help you record the progress you’re making or check whether or not you’re done with this particular daily action. This way, you can easily see what areas you need to work on and whether you could make those resolutions happen.

Always focus on the positive.

We understand. There are days when you won’t be able to stick to your daily goals and it will make you feel bad. That’s fine.

Instead of worrying about those missed days, focus on the positive side, say the fact that you are making progress with your savings or the sideline you just booked this coming weekend. If you look at the negative side, your perception towards your 2019 goals could change and may compromise the things you want to achieve.

At the end of the day, it’s also about discipline, mindset, and your willingness to make your 2019 resolutions happen. When you establish that, then you are set for the rest of the year – and beyond.

In separate posts, we discussed about OFW’s membership with Philhealth and PAG-IBIG. These two agencies provide additional benefits and services apart from what you can get from OWWA. Aside from these two government agencies, there is another agency that Overseas Filipino Workers like you could apply for – Social Security System or SSS. 

SSS is a state-run social insurance program catering to all Filipinos, regardless of the form of employment, except for those employed by the government. It was established in 1954 by virtue of RA 1164 or the Social Security Act of 1954. Later on, the said law was amended in 1997 upon passage of RA 8282. 

That being said, the question now is how can SSS help you to encourage you to continue your membership? Read on to find out. 

How to Register

For first-time members, you need to submit the following documents at the SSS branch nearest you:

• Duly accomplished Overseas Worker Record (SS-Form OW-1). You can get a copy here. 
• Original or certified true copy of Birth Certificate, Baptismal Certificate, or Passport. 
• In the absence of these three documents, you may submit Driver’s License, Record of Employment, or Voter’s Identification Card among others. 

For convenience, you may also register online through the agency’s My.SSS portal. Simply visit the SSS’ online registration page and fill out necessary information to register. 

In case you have an existing SSS, then no worries. Your SS number will be used every time you make transactions. Nonetheless, make sure you check Overseas Worker in the SS Form RS-5 when you make a payment to update and change your status as OFW. 

Membership Contribution 

As of January 1, 2004, the Monthly Salary Credit (MSC) was increased from P1,000 to P5,000. This equates to minimum of P550 contribution every month. If you want more convenience, you may opt to pay for your contribution for the entire year. 

You can check out this link from SSS website for a complete schedule of contributions. 

In case you’re wondering if you can make payments from overseas, the answer is yes. SSS has branches in Asia, Middle East, and Europe where you can remit your contribution directly to the agency. Check out this link for specific areas where SSS representatives can be found. 

Benefits of Being a Member

You might say that this is just another way for the government to extort money. Still, being a member of SSS comes with perks. 

Here are some of the benefits of being a member:

• Access to Loan Facilities- You might need extra cash for the purchase of your home or to pay an emergency expense. SSS offers various loan programs to its members that could fit your needs. If you are regularly and religiously paying your contributions, you can apply for Housing Loan, Salary Loan, or get benefits upon retirement. The best part is interest rate is usually lower compared to borrowing from banks. 
• SSS Flexi Fund Program- This program is exclusive to SSS-OFW members. It invests the members’ funds into stable, low-risk fixed income securities, thereby allowing you to earn more than what ordinary savings account can give. Even if you are no longer working overseas, you can still continue with this program. Interest rates are based on either SSS’ short-term peso placement or 91-day Treasury Bills rate, whichever is higher. You can download the application form here and submit it in SSS branch near you.  
• Social Benefits- SSS has an array of benefits like retirement, disability, death, and funeral. It may not seem a lot at first, but these social benefits could come in handy in case something happened. 

The bottom line is this: don’t underestimate these government agencies. They may not be of value for you now, but you’ll never know what could happen. Be a member and give yourself a peace of mind wherever you may be.