Retirement Savings and Planning

khaleej times | ADVERTISING SUPPLEMENT

Are you financially trapped?

W Taking care of elderly parents and raising kids can be financially and emotionally draining at time.

Think clearly and make a plan ahead of time

ould you sacrifice your retirement and savings to simultaneously support your elderly parents and adult children? It’s not something many people envision, but millions are doing just that. These individuals are part of the sandwich generation — middle-aged adults caring for two different generations of family at the same time while planning their own retirement goals.

Not surprisingly, this situation can cause significant financial strain. Research shows the pressure experienced by the sandwich generation is growing. According to a Pew Research Centre survey conducted in the US, almost one-fifth of adults aged 40 to 59 years provided some financial support to a parent aged 65 or older. By contrast, nearly half (48 per cent) provided support to at least one adult child in the same period, up from 42 per cent just seven years earlier.

“The emotional and financial strain of caring for an ageing parent is challenging, but as more people also provide support for an adult child, financial security becomes a big concern,” says Adam Hamm, National Association of Insurance Commissioners (NAIC) President and North Dakota Insurance Commissioner. “Fortunately, making smart choices along the way can help alleviate the financial stresses felt by the sandwich generation and safeguard their long-term financial well-being.”

To avoid common pitfalls and

The emotional and financial strain of caring for an ageing parent is challenging, but as more people also provide support for an adult child, financial security becomes a big concern.

— Adam Hamm

help plan for the unpredictable, here are some tips to help consumers in the sandwich generation: Create a plan: Alleviate confusion in the midst of a crisis by creating a plan for your loved one’s care.

Solicit support: Caring for a parent while working full-time and raising kids is physically and emotionally draining. Surround yourself with people who care and be willing to ask for help.

your health plan and who will pay associated co-pays and deductibles. If your adult children live with you, have the same conversation about auto insurance.

Talk about finances: Long before you think you need to, review your parents’ insurance policies to understand their wishes, so you’re informed enough to make changes together.

Review your life insurance: If your family depends on you as the primary source of income, take time to evaluate your life insurance needs. Getting the correct amount provides peace of mind. Once your child is financially independent, you may wish to decrease

Set expectations: Be open about how much financial support you plan to give your children once they reach adulthood. Decide how long you will allow coverage under

the amount of your policy.

“Initiating important conversations can help reduce stress and ensure finances remain intact,” says Hamm. “It’s essential to maintain an open mind and employ honest communication so everyone understands expectations.”

The UAE is no short of options that offer attractive schemes to support you. For instance, Abu Dhabi Islamic Bank (ADIB) brings realty dreams to reality for non-

resident Indians with home finance at profit rates that are as low as 6.99 per cent. These rates are far more attractive than the range offered in India.

Similarly, National Bonds has automated savings options such as Sukuk Express that allows saving top-ups of Dh20,000 daily, and the Takaful product Sanadi, personalised savings scheme paired with costeffective protection in cases of unforeseen events.

NRI FIN NCE

... because home is where the heart is.

HOME T E E W S E HOM NRI Finance for any property, in any city, any builder in India

RATES FROM 6.99%

• Preferential discount offered on remittances processed through Arab Link Money Transfer* • Personal Finance available up to the equivalent of INR 1.7cr • Instalment payment in Dirhams • Enables you to settle your existing liabilities in India • Free job loss protection Finance proceeds enable you to pay for new purchase at all stages of construction or to renovate your existing home.

Call now

289221

510859

8002882 to apply or visit us at adib.ae

* Applied at the prevailing foreign exchange rate on the conversion date as per the terms & conditions. * Terms & conditions apply. Offered under finance for individuals program subject to UAE Central Bank guidelines and subject to salary transfer.

Retirement savings & Planning »

»

National Bonds

In our interaction with customers, mainly expats who seek our advice on financial planning, we urge them to start by asking themselves simple questions such as: Why am I in the UAE? How long do I plan to live and work here? Where and how do I wish to spend my retirement years?

We believe that honest answers to these three questions will help every individual adopt a suitable and well-informed financial strategy.

It is important to acknowledge that a good job and a decent income do not necessarily mean a perfect life for expatriates. Providing the best education for children and maintaining a basic standard of living where most needs are met also do not guarantee that things will remain the same in the future.

From day one, all of us must bear in mind that our salary is our only resource, and our career is our greatest asset to invest in.

A goal without a plan is just a wish. Our experience tells us that a majority of the residents in the UAE share common financial goals: • Saving for children’s education • Putting money aside for retirement • Making down payment for a home • Reserving some money to help care for aging parents However, priorities differ from one person or family to another.

We urge people to start prioritising their goals based on common sense: Free yourself in the present to enjoy a secure future.

We recommend people to pay off their bad debts first; start with smaller credit cards so that the task doesn’t seem so overwhelming. We also urge you to set aside a sufficient amount for emergencies, depending on job stability and risk tolerance.

Once these priorities are ticked off, we can set further goals clearly and customise our services accordingly. National

ADIB

Your dream home is no longer out of reach

It’s never too late to start saving National Bonds’ savings systematic schemes and takaful insurance plans can help you secure your future goals with ease

khaleej times | ADVERTISING SUPPLEMENT

Mohammed Qasim Al Ali Chief Executive Officer National Bonds

ADIB offers attractive profit rates — as low as 6.99 per cent — to UAE-based NRIs as home finance

Bonds’ automated savings tool helps customers to pay themselves first. The Sukuk Express service allows savers to top up their savings anytime and anywhere in the UAE up to Dh20,000 daily. Furthermore, our new Takaful product Sanadi provides a wide range of Shariah-compliant takaful insurance coverage that offers a range of benefits and rewards, linked to a savings plan.

Sanadi is National Bonds’ latest customisable savings plan combined with cost-effective protection. With Sanadi, customers get well-defined benefits that allow them to reap the rewards of consistent saving, and at the same time provide adequate insurance cover in case of need, such as death, job loss, illness and more.

It’s never too late to save, we urge you to start now. National Bonds is here to help you set your goals and achieve your dreams!

For Indians working in the UAE, buying a property in their home country is an aspiration that is becoming ever more attractive due to the dirham’s appreciation against the rupee in recent years and growing optimism over the Indian economy.

Many Indians in the UAE are looking to preserve wealth for the future. Some look to invest in India, while others plan to buy a future home for themselves.

However, these goals are often difficult to achieve as securing home finance in India is difficult from the UAE, and often offered at unattractive rates.

This is why Abu Dhabi Islamic Bank (ADIB) is offering nonresident Indians (NRIs) an easier solution, with its new dedicated financing facility. The bank is financing at profit rates as low as 6.99 per cent, compared to the typical 11-13 per cent range offered in India.

Unlike many banks in India, ADIB does not limit the home

buyer to particular housing developments or developers.

NRIs can also finance their new homes in India in dirhams at ADIB’s best rate in the market, which eliminates the exchange risk when transferring money to India. This also gives the home buyer the flexibility to hold funds in the UAE and make

transfers to India only as and when required.

With ADIB, buying a home in India has never been easier. For further advice on how to take advantage of the opportunity to make a long-term investment in India, call ADIB on 8002882 or visit www.adib.ae.

NRIs can also finance their new homes in India in dirhams at ADIB’s best rate in the market, which eliminates the exchange risk when transferring money to India.