Reader Case Study: Dutch Welder Dreams of Working Abroad

Jamie lives within the Netherlands and lately accomplished his diploma as an all-around development employee, with coaching in welding. He’s at present switching jobs to change into a full-time welder and has two job presents he’d like our assist deciding between. Moreover, he and his girlfriend dream of residing and dealing overseas some day. Jamie misplaced his father when he was simply 13 and has been working and serving to his mom financially since then. At simply 21 years previous, Jamie has extra perception, willpower and monetary savvy than most people twice his age. Be a part of me on a visit to the Netherlands as we assist Jamie chart a shiny future!

What’s a Reader Case Examine?

Case Research tackle monetary and life dilemmas that readers of Frugalwoods ship in requesting recommendation. Then, we (that’d be me and YOU, pricey reader) learn by their scenario and supply recommendation, encouragement, perception and suggestions within the feedback part.

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The Aim Of Reader Case Research

Reader Case Research spotlight a various vary of monetary conditions, ages, ethnicities, areas, objectives, careers, incomes, household compositions and extra!

The Case Examine sequence started in 2016 and, so far, there’ve been 89 Case Studies. I’ve featured people with annual incomes starting from $17k to $200k+ and web worths starting from -$300k to $2.9M+.

I’ve featured single, married, partnered, divorced, child-filled and child-free households. I’ve featured homosexual, straight, queer, bisexual and polyamorous folks. I’ve featured ladies, non-binary people and males. I’ve featured transgender and cisgender folks. I’ve had cat folks and canine folks. I’ve featured people from the US, Australia, Canada, England, South Africa, Spain, Finland, the Netherlands, Germany and France. I’ve featured folks with PhDs and other people with highschool diplomas. I’ve featured folks of their early 20’s and other people of their late 60’s. I’ve featured people who stay on farms and folk who stay in New York Metropolis.

Reader Case Examine Pointers

I in all probability don’t must say the next since you people are the kindest, most well mannered commenters on the web, however please word that Frugalwoods is a judgement-free zone the place we endeavor to assist each other, not condemn.

There’s no room for rudeness right here. The aim is to create a supportive surroundings the place all of us acknowledge we’re human, we’re flawed, however we select to be right here collectively, workshopping our cash and our lives with optimistic, proactive recommendations and concepts.

A disclaimer that I’m not a educated monetary skilled and I encourage folks to not make critical monetary choices primarily based solely on what one particular person on the web advises. 

I encourage everybody to do their very own analysis to find out the very best plan of action for his or her funds. I’m not a monetary advisor and I’m not your monetary advisor.

With that I’ll let Jamie, right this moment’s Case Examine topic, take it from right here!

Jamie’s Story

Howdy, Frugalwoods! My title is Jamie, I’m 21 years previous and I stay within the Netherlands. I simply completed my MBO 3 diploma as an all-around development employee, with coaching in welding and am at present switching jobs to change into a full-time welder. My girlfriend, Rosalyn, 22 years previous, works as an accountant and lives within the Philippines (Iloilo). I met her on-line through an app that was meant to speak with folks and make mates, however we wished extra then that. In June of this yr I flew to the Philippines (first time flying!) and met her in particular person. We actually hit it off and stay up for presumably shifting overseas collectively. I don’t personal any pets and don’t have youngsters.

I realized about FIRE from my good friend Jay. She’s given me suggestions and proven me loads of stuff I did flawed. I’ve modified these issues for essentially the most half, however there may be nonetheless rather a lot to study.

What feels most urgent proper now? What brings you to submit a Case Examine?

I’ve an issue relating to my household. My household is poor and so they usually ask to borrow cash, which I’ve to battle to get again. I’m engaged on this and am getting higher at saying “no.” My household has been utilizing me as a free taxi driver, private handywoman, interest-free financial institution, and so on. The quantity of debt my members of the family owe me totals €47,495.

I even have a concern of spending cash. I began working after I was 13 as my father handed away again then, and my mom made nowhere close to sufficient cash to outlive. After college, on weekends and holidays, I went to work. There have been a pair occasions we have been virtually homeless, however I managed to pay our payments on time. That is what makes me have a concern of spending. I don’t ever wish to return to these occasions and I don’t need my potential future household to ever expertise this. However I don’t remorse my previous as a result of these experiences made me the hard-working particular person I’m right this moment.

I additionally wish to transfer away from the Netherlands ultimately, in all probability by working overseas in different international locations. What I hope to get from this Case Examine are some helpful suggestions so I can ultimately obtain my objectives.

What is also urgent at present is selecting my profession path. As of now, I’m fascinated about taking a brand new job for 1 to 2 years to save cash and hopefully be paid again by my household earlier than shifting overseas.

I at present have two job presents to think about:

1) a higher-paid, normal welding job.

2) a lower-paid welding job, however one the place I might study pipe welding.

This second job would require me to remain longer, or pay again the price of education if I didn’t stay with the corporate after ending their courses. Pipe welding has the potential to pay much more afterward, however I additionally assume it’s one thing that may be realized on the job, since I already know normal welding.

I do wish to journey overseas ultimately, for the journey, and simply to find out about completely different folks and locations and see if some place else is a greater match for me than the Netherlands.

Does anybody have recommendations on the place to go overseas to work as a welder?

I ultimately wish to work overseas for 1 to 2 years, after which determine to both keep, transfer ahead to a special nation and see if that’s a greater match, or return to the Netherlands. Does anybody have recommendation about this?

What’s the very best a part of your present way of life/routine?

I like the sector I’m in, however not a lot my final job. I even have loads of aspect jobs that are okay too, similar to: watching pets/youngsters, serving to renovate homes, engaged on again/front-yards, taxi driving, and so on. These aspect jobs aren’t official, and I don’t cost a lot for them, as they’re both straightforward jobs or jobs I study from, which ultimately can be helpful after I stay alone.

I nonetheless stay with my mom to save cash, however, I’ve helped her financially since my father handed away after I was age 13 (I’ve lent her €38,245 in complete).

The place Jamie Needs to be in Ten Years:

Funds:

Life-style:

• I would like to have the ability to journey the world and never have to fret about funds on a regular basis.

Profession:

• I’m focused on ultimately having my very own welding office or store, and probably rental properties.

Jamie’s Funds

Be aware: all quantities are listed in Euros (€). As of this writing, €1 = $1.05 US {Dollars}.

Earnings

Merchandise	Quantity	Notes
Welding job	€1,627.12	My web wage with taxes and insurance coverage taken out
Month-to-month subtotal:	€1,627.12
Annual complete:	€19,525.44

Be aware: I additionally sometimes earn €500-€1,500 per 30 days from my aspect jobs, however I didn’t embrace that within the complete because it’s variable.

Money owed: None

Property

Merchandise	Quantity	Notes	Curiosity/kind of securities held/Inventory ticker	Identify of financial institution/brokerage	Expense Ratio
Funding account	€5,471	my dealer	A number of index funds similar to iShare Core MSCI World UCITS ETF USD (Acc)	degiro	0.98%
Financial savings account	€4,523	my financial savings account the place I retailer my leftover cash, donate cash, lend cash to assist my sister’s youngster, investing cash, financial savings for a brand new automotive	earns 0.40% curiosity	leaseplanbank	N/A
Deposits	€2,000	2 deposits of 1k every, one ends 1 oktober 2022 the opposite 6 april 20023	0.25% curiosity	leaseplanbank	N/A
Money	€1,254		no curiosity/charges	N/A	N/A
Checking account	€300	I be certain there may be simply sufficient cash in there to pay payments	scholar account, no charges	ABN Amro	0%
Whole:	€13,548

Autos

Automobile make, mannequin, yr	Valued at	Mileage	Paid off?
Peugeot 206	€1,200	212,836 km	sure
Bicycle	€1,000	150,00km	sure
Whole:	€2,200

Bills

My bills are a bit uncommon as a result of I stay with my mom and he or she pays for my meals, housing and utilities. In trade, I assist her round the home, repair her automotive and do different odd jobs for her. I’ve additionally lent her €38,245 to assist her out through the years.

Merchandise	Quantity	Notes
medical insurance	€142
touring	€142	trip to my girlfriend
gasoline for automotive	€60	I exploit my bicycle as usually a attainable
automotive financial savings	€40	Financial savings for a brand new automotive
taxes	€27
christmas	€21	christmas items for 3 folks and my girlfriend out of the country
birthday items	€20	most items I make myself, I do must pay for supplies and delivery to a different nation
charitable donations	€10
commerce union	€2
garments	€1	I barely purchase garments. Most of my clothes was given to me for a birthday/vacation or are hand-me-downs
Month-to-month subtotal:	€464
Annual complete:	€5,568

Credit score Playing cards: none

Jamie’s Questions for You:

1) I’ve a tough choice forward as I’ve to decide on between 2 jobs:

• At job #1 I might be a welder, at the next pay, however I wouldn’t discover ways to weld pipes. I’m unsure, however I feel if I wish to weld aboard I’ll want pipe welding expertise and I don’t know if a future employer could be keen to show me. However this job does pay higher and I wouldn’t be connected to a faculty. Plus, I might discover ways to MIG weld at this job, which is a profit as I feel loads of employers count on a welder to have the ability to do each TIG and MIG welding.
• Job #2 would give me the chance to study TIG pipe welding (I can TIG weld, I simply don’t have expertise with pipes but) however I might additionally must go to high school as soon as every week, which this firm would pay for. Nonetheless, since I don’t plan on staying for years at this firm right here within the Netherlands, I might ultimately must pay all of it again. In order that’s a little bit of a detrimental about this job.
• Which ought to I select?

2) I would really like recommendations on easy methods to higher my monetary scenario.

• And, if I’m doing one thing flawed, what ought to I alter?

3) I want to work overseas as welder–wherever on this planet the place they want a welder.

• Does anybody have recommendation on easy methods to get began?

Liz Frugalwoods’ Suggestions

Jamie, you might be doing fabulously nicely for being solely 21 years previous! I actually wasn’t this financially organized at 21 and I feel many of the readers will concur!! I commend you for desirous to plan to your future at such a younger age.

It’s best to really feel very proud that you just’re taking these accountable, proactive steps. The monetary selections we make as younger adults can have a profound influence on our longterm monetary well being and total web value, so it’s VERY thrilling to work somebody proper at the beginning of maturity!

Jamie’s Query #1: I’ve a tough choice forward as I’ve to decide on between 2 jobs.

This can be a nice downside to have!! When you’ve clearly outlined the professionals and cons of every job, the selection is fairly clear in my view: Job #2 the place you’d study TIG pipe welding.

I’m (clearly) not a welder, however my husband is an novice welder and he weighed in along with his welding-related opinions:

“Completely take the job in TIG pipe welding as that’s a talent that’s at all times going to be in demand. Plus it’s virtually at all times worthwhile to get extra coaching whenever you’re younger. Keep at this job at some point of the coaching program and get good at it. Be taught all the things you may and get as many certifications as attainable out of your employer. It’s an incredible reward to obtain coaching paid for by your employer.

TIG pipe welding is a real artwork kind and a specialised talent that individuals can pay rather a lot for. You’re younger and energetic, so get good in any respect the bizarre physique positions you will be put in whereas pipe welding (above your head, round a bend, and so on). There are literally thousands of miles of piping on this planet that must be welded by a proficient TIG pipe welder. Wherever the place there’s industrial exercise, there’s a necessity for extremely expert TIG pipe welders. Figuring out TIG pipe welding ought to open up worldwide jobs for you.

One factor to remember is that welding will be on a increase/bust cycle as a result of the most important shoppers of pipe welding are associated to grease and fuel. When oil and fuel are booming, there’s a ton of cash to be made. Once they’re crashing, the job market is tighter. On condition that, the extra trainings and certifications you’ve got, the extra employable you’ll be.”

Thanks, Mr. Frugalwoods!

Okay, so he’s very emphatically in favor of you studying TIG pipe welding. I then requested him about the truth that the opposite job would educate you MIG and he replied:

“For those who’re a very good TIG welder, MIG may be very straightforward to select up. TIG welding is way more difficult and greatest realized from an expert. Then again, you should purchase an inexpensive MIG welder and educate your self MIG at house.”

Past the TIG versus MIG dialog taking place up there, listed below are my ideas on why you need to take the pipe welding job:

1. Getting all of the certifications you may whereas younger is SO SMART. I’ll inform you from expertise that life sometimes solely will get busier and extra difficult as you become old. Do it whilst you’re YOUNG and unencumbered!!!!
2. Having your employer pay for this coaching is implausible. Reap the benefits of this reward!
3. It’ll look superb to any future employer that you just stayed at this job for awhile. Future employers wish to see that you just follow a job and don’t depart it after a brief time period.
4. Taking this job will provide you with time to save lots of more cash and do extra analysis on the place you may prefer to/have the ability to work and stay overseas. Additionally, in case your relationship together with your girlfriend progresses and turns into extra critical, it’ll be good to take her opinions under consideration as to the place you may transfer. Working this job for a number of years will provide you with the time to discover all of those completely different choices and concepts.

Jamie’s Query #2: I would really like recommendations on easy methods to higher my monetary scenario.

You’re beginning out from a place of power and so most of my suggestions are to easily proceed in your present path! At this level in your life, my recommendation is to:

1) Earn more cash:

• You’re already within the technique of doing this, in order that’s nice!
• All you are able to do right here is figure exhausting, get extra certifications and proceed to advance.

2) Cease lending cash to your loved ones members:

• This can be a tough subject and also you’ve already articulated that you just’re getting higher at saying “no,” which I feel is smart.
• Sadly, it’s possible you’ll not ever be paid again by your relations and you’ll have to let this cash go. It’s not your fault as you have been making an attempt to be a useful, caring particular person; however, it’s very attainable they gained’t ever pay you again.
• Going ahead, I feel it’ll be helpful so that you can give you some techniques/methods for shielding your self from these requests.
• For those who do determine to lend cash sooner or later, I encourage you to think about it as a present slightly than a mortgage. It is vitally exhausting to recoup private, casual loans and so, when you have the monetary potential and need to offer cash to a relative, maybe re-framing it as a present would make it extra psychologically tenable for you.

3) Take into account seeing a therapist to assist heal your previous monetary trauma:

• I strongly advocate you think about going to remedy. I say this as a result of a therapist might assist you to decide how to answer requests for cash from your loved ones and likewise offer you coping methods for therapeutic your previous monetary traumas.
• You’re so younger and can be in such a beautiful place afterward if you happen to take care of the feelings and trauma round these points sooner slightly than later.
• You may make no higher funding in your self than in your psychological well being! 
• Know that monetary trauma is an actual factor many individuals undergo from and it’s not your fault.
• You talked about you’ve got a concern of spending cash, which is one other factor a therapist might assist you to unpack.
• Moreover, the extremely difficult circumstance of supporting your mom after the dying of your father makes me assume a therapist could be a really useful useful resource for you going ahead.
• I’ve been to remedy quite a few completely different occasions and I at all times emerge feeling higher!

4) Decide an exit plan out of your mom’s house/monetary assist:

• You two are very reliant upon each other financially and, as you propose to maneuver overseas, you’ll must work together with her on easy methods to separate yourselves.
• As you famous, your residing bills are very low as a result of her assist and he or she is equally supported by the cash you’ve lent her through the years.
• Except your longterm plan is to have your mom transfer overseas with you, now could be the time to start out speaking together with her about how she’ll cope with out you–and vice versa.

Asset Overview

Let’s check out the place Jamie’s cash is correct now.

Money: $8,077

Because it stands, it is a strong emergency fund. Nonetheless, it’s vital to keep in mind that your residing bills are artificially low. When you’re residing by yourself, your bills will improve fairly a bit and so that you’ll want to make sure you’re sustaining your emergency fund financial savings when you’re paying to your personal lease, utilities, meals, and so on.

Investments: $5,471

Whereas it’s superior that you just’re invested out there, maintain retirement investing in thoughts too! I’m wholly unfamiliar with retirement plans within the Netherlands, however, that is one thing you wish to begin doing as quickly as attainable. The sooner you start saving to your retirement, the higher off you’ll be in the long term.

I do know it’s exhausting to consider retirement whenever you’re simply beginning your profession, however your older self will thanks! Discover the retirement account choices supplied by your employer and/or the federal government and decide what’s going to take advantage of sense so that you can start contributing to. My suggestion is to plug into on-line FIRE communities within the Netherlands to get their recommendation. One place to start out is the Mr. Cash Mustache discussion board sub-group Dutch Mustachians.

Wanting Forward

You’re doing all the things you may at current; however, you need to maintain the next pointers in thoughts for the longer term, as your revenue–and your bills–improve:

1. All the time maintain an emergency fund of three to 6 months’ value of your spending:
   • That is your buffer towards debt and it’s an crucial a part of everybody’s monetary well being.
   • Your emergency fund needs to be saved in an easily-accessible account, similar to a checking or high-interest financial savings account. It shouldn’t be tied up in illiquid property, similar to homes/vehicles/vintage china OR the inventory market.
   • It’s best to have the ability to withdraw the funds instantly and at any time. That’s why it’s known as an “emergency fund”–it’s there to make emergencies simpler.
   • A part of this train is to at all times make sure you’re money flowing your bills each month and never spending greater than you earn.
   • Make sure that this stays on monitor as your revenue and bills improve.
2. 

   My bicycle: how I get all over the place

   Make investments for retirement:

   • As famous above, it’s vital to maintain this prime of thoughts and to prioritize it forward of different funding automobiles.
3. Stay debt-free:
   • You’re off to a implausible, debt-free begin–goal to maintain it that manner!
4. Optionally available: Discover different funding choices:
   • For those who’ve accomplished steps 1-3 and are prepared for extra, you can begin researching the world of funding choices.
5. Ongoing: Rebalance, check-in, scan for brand new funding alternatives:
   • Put your self on a schedule of checking in on all the above:
     • Is your emergency fund staying according to your spending?
     • Are you continue to on monitor for retirement?
     • Have any money owed cropped up that must be paid down?
   • Whereas it’s a linear checklist, it’s additionally one you should regularly loop by as a result of life occurs and issues change.
   • Because you’re already invested within the inventory market, you’ll wish to rebalance your portfolio regularly and make sure that your investments match your plans, your age, and your private threat tolerance.

Jamie’s Query #3. I want to work overseas as welder–wherever on this planet the place they want a welder.

I’m no welder, however right here’s my normal recommendation:

1) Make your self fascinating to future employers:

• Be taught as a lot as you may at your subsequent job.
• Safe all of the certifications and attend all of the trainings you presumably can.
• Be an superior worker to make sure you obtain nice suggestions.
• The extra skilled you might be, the better it’ll be so that you can discover a job overseas.

2) Decide if it will likely be best to stay throughout the EU:

• I’ve to think about this would be the case. In mild of that, ought to EU member states be the place to begin to your analysis?
• For those who’re keen to go exterior of the EU, think about what elements of the world attraction to you:
  • What climates do you take pleasure in?
  • Do you wish to be city or rural?
  • Do you wish to be someplace with public transit?
  • What languages do you communicate?
  • What meals/recreation/tradition do you take pleasure in?
  • How lengthy of a flight house are you keen to tolerate?

3) Analysis, analysis, analysis:

• Ask your welding colleagues for recommendation, learn on-line welding boards, and analysis the place you’d have the ability to get a piece visa.
• Are there international corporations you would work for who would ship you to completely different elements of the world for varied completely different jobs?
  • If an employer is managing your visa paperwork, it’ll be rather a lot simpler on you.
  • Then again, you’ll have much less management over the place you go.

4) Take your time these subsequent few years to immerse your self in studying:

• Be taught as many various kinds of welding as you may
• Be taught as a lot as you may about the place you’ll have the ability to get a job overseas

Abstract:

1. 

   Flying to see my girlfriend

   Take into account taking Job #2 with the intention to study the talent of TIG pipe welding at your employer’s expense.

2. Work with a therapist to:
   1. Set agency boundaries with relations asking you for cash and free labor.
   2. Heal the previous monetary and emotional traumas of your father’s dying and your subsequent function as supplier to your mom.
   3. Set up a wholesome relationship with cash and spending.
3. Onerous as it’s, know that your relations might by no means pay you again:
   • For those who determine to lend cash to anybody sooner or later, think about it a present, not a mortgage.
4. Proceed saving cash as you’ve got been and monitor your account balances as your revenue and bills improve.
5. Analysis retirement account choices and start saving to your retirement now.
6. Start to speak together with your mom about how she’ll cope whenever you transfer overseas.
   • Begin making a plan together with her now in order that it’s not a shock whenever you do ultimately depart.
7. Begin researching the place you may be keen/in a position to work overseas.
8. Really feel assured and completely happy that you just’ve put your self in a FANTASTIC and enviable monetary place! You’re going to do nice!

Okay Frugalwoods nation, what recommendation do you’ve got for Jamie? We’ll each reply to feedback, so please be happy to ask questions!

Would you want your personal Case Examine to look right here on Frugalwoods? Apply to be an on-the-blog Case Study subject here. Rent me for a private financial consultation here. Schedule an hourlong call with me here, refer a good friend to me here, or e-mail me with questions (liz@frugalwoods.com).

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🧠 Lack of readability in your long-term objectives and the way your cash may influence your future.
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👎 Undesirable monetary routines/expectations you’ve arrange together with your children and wish to change.
😬 Disgrace and guilt over not taking cost of your monetary life sooner.
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