Tag Archives: budget

Hey, Millennials! Saving Money Isn’t Scary, and Here’s Why You Should Start

I’ve always heard people say that they think Millennials understand and see things differently. Sure, we were born after 1980 and we were the first generation to reach adulthood in a new century, but I think the excuse, “It’s because they are a Millennial” has started to become more of a misconception.

Millennials don’t want, or know how, to save money. That might be true, but it’s not because we are millennials. I think it is more accurate to say there are two different fears that millennials faces when thinking about saving: ‘losing’ money or having it ‘taken away’ through deductions, and not having enough money at the end of the month.

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I have a simple tip that can address both of those fears: make your money visual.

Budgets are cool. When people hear budget your money, most young adults think it’s complicated and full of spreadsheets. But it doesn’t have to be! It can be as simple as having a calendar and visualizing your money. Before you start writing on the calendar, write down all of your monthly bills, add them up until you have a total of your monthly bills. Then write down your income (how often you get paid a month and how much) and total those together. You can then subtract those two totals and know how much spending money you have for the month.

Visuals make savings real. For some, this might be visually enough but I suggest taking it a step further. Using the calendar, write down when your bills are due and the amount owed, then write down your pay dates. Look at when your bills are due and when you get paid. On your calendar, next to your pay date, write how much from that one paycheck needs to go towards bills.

Monthly planning works. By doing this monthly, you are able to visually see your money coming in, and where your money is going. This helps in other areas of your life where money is involved. Visually seeing your money will make you more aware each month of how much money you are able to spend. And after a while, you will even be able to see how much you typically spend on common items such as groceries and gas, which you can then subtract from your monthly spending. Eventually, with practice, you’ll be able to see how much you can save each month. It might not always be the same amount each month, but you will be able to consistently put some money away.

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Cherish your hard earned money. Making your money visual and being aware of it can prevent you from making those impulse buys. Avoid those very tempting impulse buys by waiting a day or two, and see if you still actually want to make that purchase. Most of the time, you will no longer feel the need to buy that item. You might even forget about it.

Budgeting doesn’t always have to be complicated–it can be as simple as writing it down and making it visual. Take the first step towards responsible budgeting by making a pledge to save. It’s not scary, and it’s so easy, even a Millennial can do it!

What’s tip has helped your family budget and save? Share it with us!

Patricia-CPosted by Patricia Contic, Government Relations Coordinator, Resident Millennial and Saver

When a Saver Marries a Spender…and a Few Tips That Might Help

We were 20 and 23 when we married. I was a few months into my first job and my husband was in college. We took marriage prep classes through our church and discussed an array of topics from future kids and our perspectives on money.

We outlined our financial goals and priorities:

  • Support ourselves with jobs and income independent of our parents
  • Save for a down payment on a home
  • Save for the future

Creating shared goals was a great start but living the shared goals was another story. How should we prioritize paying off our student loan debt, saving money for emergencies, saving to buy furniture, and saving for the unknowns of the future (i.e. kids, retirement, dead car battery)? Living on one income, we had a very tight budget.


This was where I began to notice our different feelings about money. If we were out of [insert household item here], one of us would jump in the car and run to the store to buy it. The other person would add it to the shopping list and wait to replace the item during a planned trip. One of us would clip coupons and only buy an item if it was on sale. The other was brand loyal and didn’t see toothpaste as toothpaste, and would only use a particular brand whether it was on sale or not.

Making decisions about how to spend and save money wasn’t easy. One of us wanted to save for a rainy day while the other wanted to spend our hard-earned money to buy a well-deserved treat/item/experience. We each played the role of “saver” and “spender.”

How did we resolve our different philosophies towards money?

We didn’t.

Instead we learned we needed to have continued conversations about money and develop short-term and long-term financial goals. After my husband joined the military, we participated in several free financial workshops hosted on base, online via Military OneSource, and even met with a personal financial counselor.

Here are some tips that have helped us along the way:

  • Set money goals and make a plan to achieve your goals. We were off to a good start by setting goals, yet we didn’t really have a plan. In the early years, the plan was to save whatever was left at the end of the month. This didn’t work for us because (1) there wasn’t money left and (2) we wanted to spend the money on something we felt we deserved.
  • Make savings a habit by “paying” yourself first. Whatever your goal is, you’ll need to create an action plan to achieve your goal. We decided to automatically put money into a savings account each pay period. We each set up an automatic deduction from our payroll account into a separate savings account. The amount we set aside changed as our income fluctuated. What is important is that the money is set aside in a separate account.
  • Review your goals and plan often. Most years our goals stayed the same – we still wanted to save for emergencies, a house, and our retirement, yet the plan to reach the goals would change. After a move and a break in employment, we had to adjust how much we set aside.

Military Saves is a great opportunity to pledge to become a saver. Yes, a saver and a spender can live happily ever after with shared goals, a plan, and an adjustment or two. The first decision is figuring out which one you are: the saver, or the spender.

How do you and your spouse reach financial goals together?

katiePosted by Katie Savant, Government Relations Issue Strategist

5 Tips to Fund Your Military Family’s Future

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.

Track Receipts
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
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

Military Advance Pay: Caution! It’s Not a Pay Day Loan

Another government ordered move and you are short on cash. You tried to save extra money in a moving fund, but these orders arrived quicker than you expected. You have a great job and your income is a big part of your family’s budget. What will you do?

A little-known provision of military pay is called “advance pay.”

Advance pay is neither an entitlement, nor a guarantee, but may be an option your service member can request, if there is a need, before, or shortly after, a PCS.

Advance pay is a type of pay available to help offset the cost of a move and cover extraordinary expenses such as: loss of a spouse’s income, down payment on a home, or cost of maintaining two households. Advance pay is just that – an advance of your service member’s basic pay.

DoD Instruction 1340.18 provides the nitty-gritty details about advance pay. A service member may be eligible to apply for 1-3 months of advance pay, and the repayment period ranges from 12-24 months. A service member can make a request to receive advance pay 30 days prior to a PCS, or 60 days after a PCS.

The service member’s administrative department can help process the necessary paperwork, form DD 2560. Remember, you must be able to demonstrate why the funds are needed. A shopping spree, or a new pool, does not count as an unmet need. Your service member may be asked to complete a budget, or financial worksheet, outlining the additional costs related to the move.

If your service member requests more than 1 month of basic pay, the request will need to be reviewed by the service member’s immediate command. Likewise, if you request a repayment period exceeding 12 months, the service member must justify the extended payback period.

Cautionary tips:

  • Advance pay is an interest-free advance of the service member’s basic pay and must be repaid. This means the service member’s pay will be reduced each month during the repayment period.
  • Advance pay must be repaid, even if the service member voluntarily or involuntarily separates from the service. You borrowed against your future earnings and must pay it back.
  • Your advance pay is taxable income, and may impact your income taxes. Be sure to consult with a tax professional to review your specific situation.

Personal stories from families who have applied for advance pay suggest having your justification and supporting paperwork ready. Many families are able to receive 1 month of basic pay with a 12 month repayment period. Anything beyond 1 month of pay and a 12 month repayment may require additional financial counseling and documentation. Be sure to fully understand the cautionary notes before your service member requests advance pay.

Have you requested advance pay? How did it impact your family’s PCS budget?

katiePosted by Katie Savant, Government Relations Information Manager

Are You Taking Advantage of Your Military Discount?

target-shopping-cartMilitary discounts are a great benefit offered to military families and retirees. You may have gotten into the habit of asking for a discount when you go into a restaurant or a store, but if you don’t, you should! Military discounts are also available when you shop on the internet – who knew?! Follow these tips to get the most for your dollar.

Be clear on the discount policy
Unless you regularly shop online, you may not be aware of the discounts available. Sometimes you have to hunt for the offers in small print, while other e-retailers proudly feature their policy for all to see. Some offer savings around military holidays such as Memorial Day, and others, like Lowe’s and Home Depot, offer discounts year round. When in doubt, ask!

The most common military discount is 10 to 15 percent off a total purchase. Home improvement stores, hotels, car rental agencies, clothing chains, and vehicle dealers are among the most reliable source places to save money with discounts. Some only offer savings to active duty members, while others extend it to retired service members and immediate family members.

Check coupon stacking policies
Always check the policies related to ‘stacking,’ or combining, online coupons. That’s one of the best ways to save. You might be able to combine a special holiday sale with savings from your military ID, store loyalty card points, or specific credit card bonus points. However, some retailers only allow a choice of military discount, or a special deal with a coupon from coupon websites. But that’s okay, savings is savings, right?

Look for price-matching opportunities
One of the easiest ways to save money when buying online is to take advantage of price matching policies. A store will match a competitor’s price online with some limitations: the item must be in stock at both stores, for example, and online auction sites are usually not considered competitors.

Use discounted gift cards
Another relatively new savings strategy is the use of discounted gift cards. In a nutshell, people who don’t want, or can’t use, specific gift cards will sell them online through a reseller. Why not use a $100 gift card you bought for $90? It’s like getting an instant 10% off! Be aware that scams abound in this growing market. Avoid buying gift cards on online auction websites, as they could be purchased with stolen credit cards. Stick to established resellers like Cardpool, Raise, and Card Hub.

AAFES/Exchange price-matching
Check with AAFES website, or your branch’s exchange website, for more savings and free shipping offers. You can often use manufacturers’ coupons, buy-one-get-one deals, and price matching. If you choose to use a credit card, the Military STAR card can also offer discounts and free standard shipping from e-retailers.

Military post office shipping
Amazon, Best Buy, Target, and Oriental Trading Company are among popular companies who ship to APOs and FPOs. However, many e-retailers don’t ship to military addresses because they lack an automated system to handle the Customs requirements. Consider shipping to a family member and using a forwarding service such as ShipitAPO or APO Box. If possible, you can also get free shipping by picking up an item in the store.

Protect yourself online
When shopping online, you’ll have to prove your military status to get a discount. Scanning and uploading your separation documents (DD214), Veterans Identification Card, or military ID can make you vulnerable to data-grabbing. This is especially true if you have an older card that lists your social security number. Reduce your risk by calling the 800-number. Also consider enrolling in an ID protection program, or with companies offering centralized shopping privacy protection, such as Veterans Advantage. Check your credit report for free once a year.

Your military family status offers you a world of discounts – you only have to ask and exercise reasonable caution to reap the rewards!

Have you scored big on savings with your military discounts? Let us know your tips and tricks!

Posted by Marie Hickman, a former military spouse and blogger specializing in saving money, personal finance, and frugal living. She writes for Valpak.com and other websites.

The Budget is a Game of ‘Survivor’ for Military Families

Spouse Summit 2014 3“Why are we cannibalizing ourselves?”

As I looked around the table at Military.com’s Spouse Summit, I found myself in a heated discussion with eight courageous, committed spouses, including a Military Spouse of the Year who cares for her husband who has a traumatic brain injury, a woman who works for the Department of Veterans Affairs, and another one who created an online blogging community for military spouses.

Our mission was simple – or was it? Rank 15 military family benefits from most important to least, cutting the 5 that we deem least important altogether.

My table was all women whose spouses have 6-10 years of service. The caregiver spouse voiced her desperation to keep non-medical counseling and other family service programs that have helped to guide her family. Some were ready to cut the Post-9/11 GI Bill for spouses and kids, while others thought it was more important than Basic Housing Allowance (BAH).

spouse summit 2014 2Across the room, a senior spouse questioned our desire to help pay for our kids’ college education, “How many of us paid for college ourselves?”

Most people raised their hands.

Though every cut hurts, it’s the slash after slash that leaves us bleeding. Whether I prioritize Commissary benefits over guaranteed pay raises or retirement benefits… it all comes out of the same place: our pockets.

“Why aren’t other government agencies doing this same thing? Having this same discussion?”

Are employees of the Treasury or the Federal Trade Commission having roundtable discussions about what benefits they’re willing to sacrifice to balancing the budget? Are they facing cuts at all?

Why does it feel like we’re on an island all alone, left to ration what little we have left? Why are we always putting ourselves on the chopping block?

What benefits do you think are most important? Share them with us in the comments or go a step farther – write to the Military Compensation and Retirement Modernization Commission (MCRMC) and tell them your story!

shannonPosted by Shannon Prentice, Online Engagement Manager

Saving Money on a Military Income: It CAN be Done!

piggy-bankWhen it comes to saving money in a military household, most of us wonder where all this “extra money” is supposed to come from…especially for families in the enlisted ranks. When I was a new military spouse, my husband and I lived paycheck to paycheck. There just didn’t seem to be any other way to do it. How could we save money if there was barely any money at the end of the month?

Like myself, I think many military families may have trouble figuring out where to start, and how to make life something other than ‘paycheck to paycheck.’ And what if an emergency happens? Just charge it to a credit card, right?

Then I learned otherwise.

On a quest to get serious about our financial well-being, my husband and I paid off over $17,000 of debt in just 14 months. All by learning how to save. We followed Dave Ramsey’s Financial Peace University. The trick we used was simple: don’t spend money.

WAIT. Hear me out!

We simply cut back on things that didn’t seem necessary: eating out every day for lunch, buying new clothes just because they’re on sale, or swinging by Starbucks on cold mornings. Oh, and using our debit cards.

Yep. We started using cash for everything.

With certain techniques, we learned to spend less, and save more.

Save Money for the Fun Things
Instead of impulse shopping with money you don’t have (i.e., credit cards), save your money for big purchases. This will give you time to shop around for the best deals, and may even give you time to think about whether what you’re buying is really necessary.

And there’s something to be said about paying for things in cash. Try it sometime and see how it makes you feel. Yes. Feel those feelings. Spending a crisp $50 bill feels a bit different than swiping your debit card. And TWO crisp $50 bills? That hurts! Ok, it doesn’t literally hurt, but you get it.

But Don’t Forget About the Future
Experts like Scott Halliwell, Certified Financial Planner™, with USAA says, “You need to save money for your future.

And he’s not just referring to retirement. Most military families don’t think long term about financial readiness. A Thrift Savings Plan won’t cover everything.

Scott explains, “No matter your age, there is one thing nearly everyone can count on: Your income probably isn’t always going to cover 100% of your wants and needs all the time. As a result, you need to save money today so it’s available down the road.”

My husband and I took this tip very seriously. When we started our financial readiness journey, getting a solid ‘emergency fund’ in place was the top priority. Each pay period, when we had extra money, we put it into our savings account until we hit $1000. It’s grown exponentially since those first days.

We also have a mutual understanding that Emergency Fund money is for just that: emergencies.

Saving money, in any fashion, is one of the smartest things you can do for your military family, in my opinion. What if BAH goes down? How will you cover your off-post rent? If TRICARE requires military families to pay more out of pocket, how will you buy yourself a pair of glasses? With money saved for the future, little ‘emergencies’ seem to be just an inconvenience, instead.

We live in a world where happiness seems to be associated with “things.” Remember: life isn’t about keeping up with the Staff Sergeant next door, and with a savings plan in place, you won’t have to!

Do you have any financial success stories or tips? Share them with us!

shannonPosted by Shannon Prentice, Online Engagement Manager