Financial Planning in Dubai

How to Escape the Save-Spend-Save Loop?

Written by Damodhar Mata | 29-May-2016 16:02:00

Money Saved Is Money Waiting to Be Spent elsewhere...

And money invested?

It has great potential to grow into lasting wealth!

The Save–Spend–Save Loop

Most expats in the UAE are good at saving.

But here’s the part no one talks about: those savings often don’t last long.

They save diligently.
But when their savings hit a mental threshold — usually 3 to 6 months of income — they feel compelled to do something with it.

And more often than not, that “something” is spending.

A holiday comes up.
A car upgrade feels justifiable.
A family obligation demands attention.

And just like that, the money they saved is gone — spent elsewhere.
They’re pushed back to square one.

Sound familiar?

The Psychology of Short-Term Saving

I’ve met many expats who’ve lived here for years — yet they don’t have even 2–3 months’ worth of emergency savings.

They’re constantly caught in the loop… unable to break free.

They save with intention. They feel secure.
But without a bigger plan, saving becomes temporary — just a pit stop between paychecks and purchases.

I call it Short-Term Saving Syndrome.

It’s not that they’re bad with money.
It’s just that their money doesn’t have a purpose beyond the next spend.

It’s not that they are bad with money.
It’s just that their money doesn’t have a purpose beyond the next spend.

 

💭 When Saving Becomes a Trap

On the other hand, I also meet expats who are incredibly disciplined savers.
Some have AED 500,000… a million… even more just sitting in their bank accounts — untouched.

In fact, I’ve seen people with 10, 20, 30 times their monthly salary or even more parked idly in their bank accounts. They feel secure. In control. Cautious.

But here’s the uncomfortable truth:

That money isn’t working for them — it’s just waiting to be spent.

They don’t lose it.
But they don’t grow it either.

Wealth doesn’t grow in still water — it flows with direction.

That’s why investing with purpose — not just accumulating savings — is the key to building long-term freedom.

🚀 Introducing the GAiM Plan

A structured approach to grow your wealth with clarity and control

The GAiM Plan is a framework I developed to help UAE expats stop drifting and start building.

GAiM stands for:

  • Goal Positioning System – Define your current financial situation and future financial goals clearly

  • Action Plan – Align your income and surplus with a smart strategy

  • implementation – Start with the right tools and guidance

  • Measure & Manage – Review regularly and realign as life evolves

The GAiM Plan is not about being perfect — it’s about being intentional.
It takes you from “I’m saving for something” to “I’m building wealth for life.”



A Simple Plan to Long Term Wealth 

If you're stuck in the cycle of saving-then-spending, here’s a smarter path:

1. Start with the EAB

The Expat Advantage Budget.
A practical, powerful tool for UAE residents to:

✅ Plan cashflow for the next 12 months in AED
✅ Break expenses into Needs, Wants, Savings, and Luxuries
✅ See your money in 8 currencies (INR, USD, GBP, EUR, CAD, SAR, OMR, SGD)
✅ Forecast potential wealth accumulation over 10, 15, or 20 years at 8% annual growth

📥 Click here to download the EAB (Excel or Google Sheet)

It’s free — and it’s the first step in taking charge of your money.

2. Get the GAiM Plan

Think beyond next year.  Visualize retirement, kids’ education, homeownership, or financial freedom.

3. Stay invested — not just passive savings 

This isn’t about checking the markets daily. It’s about staying the course and reviewing your plan at least twice a year.

4. Grow with confidence

When you stop restarting your savings and start growing your investments, you change your entire financial trajectory.

Final Thought: Your Future Self Will Thank You

Money sitting in your bank account isn’t bad —
but it’s not building wealth either.

And money without a plan almost always ends up funding lifestyle upgrades or missed opportunities.

So the next time you save, ask yourself:

“Am I saving this just to feel good now…or to fuel my future?”

👋 Let’s Take the First Step Together

If you’re ready to move beyond short-term saving and start building real wealth, I’d love to help.

📅 Book your free Zoom consultation here

Let’s build your GAiM Plan and set your money on a mission.