30 Days Challenge
Day 5 - Find the Pattern | FPiD
Humans are creatures of habit.
While the holy month of Ramadan is associated with fasting, prayer, giving and connecting with family and friends, it is also associated with a significant increase in shopping and festivities.
The term "Ramadan Rush" was coined by the British media in 2011 and embraced by retailers worldwide. In a survey by Google in 2019, it is noted that 41% of people in the UAE increase spending during Ramadan.
Based on another survey by Souqalmal.com in 2016, more than 51 per cent of respondents admitted to spending more than usual during Ramadan, while 78 per cent said they exceeded their monthly budget during this period.
Since the advent of the Covid-19 pandemic, celebrations, festivities and shopping are largely subdued due to economic uncertainties, the fear of infection, and movement and gathering restrictions.
With the easing of rules, the pent up need for celebrations and more importantly, the discount galore, it is easy to get carried away and splurge on shopping and festivities this Ramadan.
However, it is crucial to be mindful of your spending, especially if you are running low on cash flow and savings. Here are some valuable tips that can help you manage your spending during this Ramadan;
Sample Budget for a family of 4 - AED 10,000 |
Sample Budget for a family of 4 - AED 5,000 |
||
Needs - 50% |
(AED) |
Needs - 60% |
(AED) |
Food / Groceries |
3000 |
Food / Groceries |
2500 |
Charity / Giving |
1000 |
Charity / Giving |
500 |
Festive Spending |
1000 |
Festive Spending |
500 |
Wants - 25% |
|
Wants - 40% |
|
Clothing |
1500 |
Clothing |
1000 |
Gifts |
1000 |
Gifts |
500 |
Luxuries - 25% |
2500 |
Luxuries - 0% |
0 |
While festivals are meant to be celebrated, not being mindful of your spending can burden your finances for a considerable time.
Create a saving plan for the next Ramadan and set aside some money every month for guilt-free spending next year. Click here to know more about Ramadan to Ramadan Savings Challenge
Even small savings every month over the next 12 months can make a big difference to your budget next Ramadan.
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