New Years can call for reflection and resolutions to set the next 365 days in the right direction. You resolve to take care of yourself, your military family, and this includes your financial well-being, too. If you’ve decided that this is the year to take charge of your finances, take advantage of these five budget tips to monitor your monthly expenses.
Organize Your Bills Digitally
There are many software programs, online services, and apps available designed to help a person track their monthly bills digitally. Some of these services require paying a few dollars a month. However, others are completely free. Money Stream is a free online service that can alert you when bills are due with a calendar interface.
Bills are only part of a person’s monthly budget. If you want to get a clear picture of how your finances are being spent, track all of your receipts. But doing this by hand can be a real pain. Thankfully, there are receipt scanners and smart phone apps that can automate the process for you and add totals to a database.
Consider VA Loans
If you are a service member, veterans, or eligible surviving spouse, take advantage of the Veteran Administration’s loan program. A VA loan is a type of mortgage guaranteed by the federal government, but made available to veterans and service members through different lenders, some that even provide loans with an interest rate 2% less than expected. VA loans have some great benefits for many prospective home owners, like not needing a down payment. They also offer interest rates lower than comparable conventional mortgages.
Create an Emergency Expense Account
You should have one savings account that is strictly for emergency expenses. This can include sudden bills, like when your car needs unexpected repairs, or if your plumbing goes awry. You may also have health bills and need to pay off a good portion of your deductible at once. This account should have a few thousand dollars in it and be replenished as the money is spent.
Create budgets to track your expenses. This should include budgets for particular months, as well as budgets for the week. You can do it on paper, or even in a spreadsheet file. This way, you can add totals and change numbers around as needed.
Fiscal responsibility is something that is important for everyone to manage properly, especially as a military family. Take advantage of the resources available to you, and put some plans in place to make sure you have the ability to accurately track your expenses. Avoiding debt is always worth the effort.
Will you try any of these tips with your military family’s budget? Let us know!
Posted by Rachelle Wilber, a freelance writer living in the San Diego, California area. When she isn’t on her porch writing in the sun, you can find her shopping, at the beach, or at the gym. Follow her on twitter: @RachelleWilber