UAE: 75% of employees expect bonus in 2025
The new survey released on Monday shows that 75 percent of UAE residents expect to receive bonuses in 2025 which represents an increase from the previous year's 68 per cent.
Based on a YouGov survey conducted for Zurich International Life International Life residents intend to allocate a portion of their bonus toward long-term financial planning due to their increased economic security from strong economic growth.
The increasing financial awareness among all age groups demonstrates that UAE residents are actively working towards better money management. David Denton-Cardew from Zurich International Life Middle East noted that younger generations lead financial planning trends that establish stability as a cultural norm.
According to survey results 60 per cent of participants planned to use their bonuses for travel or holiday purposes while 27 per cent chose to invest in developing their skills which represents an emerging trend.
The Cooper Fitch survey disclosed this month that employees working in UAE's fast-growing sectors like technology and banking received among the highest bonuses in 2024 with some roles earning up to six months' salary while bonuses became more linked to personal achievements instead of team performance to highlight the focus on rewarding quantifiable results.
The Zurich International survey revealed that young residents demonstrate strong dedication toward future savings when studying generational financial attitudes. 31 percent of Generation Z employees between 18-24 years old demonstrate their dedication to financial security by saving their entire bonus.
People aged 45 and older demonstrate financial flexibility as they commit to saving the majority instead of the entirety of their bonus which shows they prioritize a balance between saving and other financial matters.
A majority of Millennials within the age range of 25 to 34 years old choose to save their entire bonus or the vast majority of it. The changing financial behaviors across generations indicate that younger people are setting an example for long-term financial planning while managing their current financial obligations.
Confident of finances
The survey indicates that 68 percent of residents express confidence in their financial standing. After gaining professional financial advice people experience greater confidence levels because 79 percent of them report feeling more confident about their financial future.
According to the study, three-quarters of expatriates in UAE express positive expectations about their retirement funding capabilities due to strong disposable income and savings.
The survey shows that 61 percent of respondents believe Dh5 million or less will be enough for their retirement needs which indicates a major gap in retirement planning. Sixty-five percent of respondents depend on workplace savings or gratuity plans which may lead to an overestimation of their financial worth in retirement.
The study revealed that financial advisory consultations among residents increased from 39 percent in 2024 to 55 percent in 2025.
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