Things to keep in mind while Investing as a Seafarer
Last updated on March 10th, 2023 at 10:53 am
Merchant Navy is a profession that facilitates an all round development of a seafarer. It prepares them with the right skills and knowledge to tackle any kind of inconvenience that the ocean can come up with. But a seafarer should not view this profession with a rose-colored glass because it brings along its own set of disadvantages too.
“Too many people spend money they haven’t earned, to buy things they don’t want, to impress people that they don’t like.”
― Will Rogers
Everyone desires a financially stable life, be it in the present or in future. A seafarer is no exception to this. But in a world that has become digitally smart and has every kind of content available at their doorstep, a seafarer faces problems due to lack of it. Their financial learning takes a pause and they tend to make wrong decisions related to money. Life at sea can be harsh but is it any better for a seafarer returning to land if he/she keeps on spending their hard-earned money on luxuries at an early stage of career ?
Let us dive into some reasons on why a seafarer should not invest into expensive properties with their first paycheck –
Prioritize Career :
A seafarer should always keep in their mind that the biggest investment he/she can make is in their career. They should focus on getting their promotions regularly by writing their COC exams whenever they are back from sailing. We have seen instances where seafarers often get lost in the world of luxuries. They buy costly properties or invest a large portion of their earnings during the beginning of their career. This leads to little to no money left on hand to attempt their exams on time, ruining their chances of promotion.
Loans / EMI are not investments :
Everything has become so easy with the starting of EMI Plans and loans. But they are not very suitable for seafarers with irregular income. Anything of great value bought on loans or EMI can shake the financial balance of a seafarer drowning them in debts and interest in the beginning. A seafarer should aim to reach the position of chief/captain before investing their money into things they desire like, a nice house or expensive car.
Every aspirant or seafarer coming from the middle class has a lot of financial responsibilities for their family. In this situation, their habit of overspending can make things difficult for them in the future. There are exceptions like people belonging to a strong financial background already. Their spending is justified as they are not earning to cover their basic needs but to enjoy whatever comes in their way. Seafarers should understand their goals and responsibilities and invest according to that.
Desire vs Welfare
There is a big difference between what you want and what is good for you. A seafarer earns enough to achieve everything they desire. From Rolex to Audi, they know they can purchase them easily. But putting your months salary into grand things with no return is a foolish purchase. Instead a seafarer should always be prepared for the worst case scenarios and have some money saved in their bank accounts. Mere desire can empty you but desire with the idea of utility will make you more smarter and financially successful.
There is no harm in living your life to the fullest. Aftercall, seafarers deserve it in return for their months of sacrifice. But understanding when and where to put your money is important. Invest in good teachers, read books that broaden your idea about money and build a solid approach to it. This will make your present and future a lot better and safer.