UAE: How residents can earn ‘second salary’ every month

UAE: How residents can earn ‘second salary’ every month

Experts explain how the new scheme works and offer advice on how UAE expats can secure their future and save enough for retirement

Published: Thu 30 Mar 2023, 11:17 AM Last updated: Thu 30 Mar 2023, 11:22 AM

With living costs on the rise across the world, having another source of income — or 'second salary' — would be a big help for UAE residents' financial security.

Savings remain a major issue for many expatriates, studies have revealed, with a large portion of UAE residents admitting that they have no — or minimal — extra cash stashed away for rainy days. Retirement is a concern for most, with many expats just relying on their gratuities and end-of-service benefits, experts said.

UAE entities and financial institutions have been taking steps to raise awareness and bolster financial literacy among residents. Recently, National Bonds announced a ‘second salary’ scheme for nationals and expat workers in the country.

Under this scheme, if people save Dh5,000 per month for 10 years, they could expect to receive Dh7,500 monthly for the subsequent 10 years. Similarly, if they save Dh5,000 per month for five years, but choose to redeem within a period of the next 3 years, they could take home a