Money Management for the Military A Fresh Look at Finances for Service Men and Women Soon to Be Deployed Use Limitations. These materials are intended for non-commercial educational and instructional use only. These materials may not be used in connection with any sale, advertisement, endorsement or promotion of any service, product, person or business and may not be commercially published, sold or offered for sale.
Military Money Management PPT NEFEtemplate
Nov 18, 2014
Life in the U.S. military means a life of change. This module helps you teach soldiers basic and military-specific financial issues to give them some stability in a changing world. Topics include basic financial planning—spending plans, building an emergency fund, avoiding money traps—plus housing/frequent moving considerations, tax/business/estate planning issues for servicemen and women, and making plans for life after retirement from the military.
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Money Management for the Military
Money Management for the Military
A Fresh Look at Finances for
Service Men and Women
Soon to Be Deployed
A Fresh Look at Finances for
Service Men and Women
Soon to Be Deployed
Use Limitations. These materials are intended for non-commercial educational and instructional use only. These materials may not be used in connection with any sale, advertisement, endorsement or promotion of any service, product, person or business and may not be commercially published, sold or offered for sale.
Money and DeploymentMoney and DeploymentCommunication is crucial to successful deployments, but many families avoid talking about money.
Married couples often argue about finances instead of openly discussing them.
Parents do not always share their financial worries or concerns so that their military sons and daughters understandtheir situation.
Communication is crucial to successful deployments, but many families avoid talking about money.
Married couples often argue about finances instead of openly discussing them.
Parents do not always share their financial worries or concerns so that their military sons and daughters understandtheir situation.
Making a PlanMaking a Plan
This program will help members of the military craft a financial strategy that will serve them while they are serving their country.
This program will help members of the military craft a financial strategy that will serve them while they are serving their country.
GoalsGoalsToday’s objectives are to help you:
1. Review your current financial situation
2. Create/complete a financial checklist
3. Develop a spending plan
4. Plan a reserve fund
5. Commit to an action plan
Today’s objectives are to help you:
1. Review your current financial situation
2. Create/complete a financial checklist
3. Develop a spending plan
4. Plan a reserve fund
5. Commit to an action plan
Financial ReviewFinancial Review Do you have your finances in order? What current issues should be part of a
family discussion about money? Do you know all of your military benefits? Review IRS Publication 3, Armed Forces’
Tax Guide, to take advantage of military tax benefits.
Do you have your finances in order? What current issues should be part of a
family discussion about money? Do you know all of your military benefits? Review IRS Publication 3, Armed Forces’
Tax Guide, to take advantage of military tax benefits.
Financial ChecklistFinancial ChecklistWhen you are called to duty, it’s important to
communicate with family about to handle: Bank accounts Credit cards Monthly expenses Insurance Legal responsibilities
When you are called to duty, it’s important to communicate with family about to handle:
Bank accounts Credit cards Monthly expenses Insurance Legal responsibilities
Money TalksMoney TalksInitiating and maintaining an open line of communication about finances with your spouse and family members before you deploy is essential to a sound money management strategy. Get to know your military branch’s ombudsman network before you deploy.
Initiating and maintaining an open line of communication about finances with your spouse and family members before you deploy is essential to a sound money management strategy. Get to know your military branch’s ombudsman network before you deploy.
Tips for Family DiscussionsTips for Family DiscussionsTake steps to foster good communication:
1. Plan Ahead Use the Financial Checklist to identify
items to discuss. Collect any documents you may need
(e.g., mortgage, loan, and other financial papers) for a productive discussion.
Take steps to foster good communication:
1. Plan Ahead Use the Financial Checklist to identify
items to discuss. Collect any documents you may need
(e.g., mortgage, loan, and other financial papers) for a productive discussion.
Tips for Family DiscussionsTips for Family Discussions2. Research resources
Be prepared to suggest ways your spouse can access necessary financial help as the need arises. Legal Assistance offices Defense Enrollment
Eligibility Reporting System (DEERS)
2. Research resources
Be prepared to suggest ways your spouse can access necessary financial help as the need arises. Legal Assistance offices Defense Enrollment
Eligibility Reporting System (DEERS)
Tips for Family DiscussionsTips for Family Discussions3. Practicea. Rehearse what you want to sayb. Consider the possible reactionsc. Keep the discussion focused and positived. Take a break if you or your spouse are having
difficulty keeping emotions in check. e. Consider including a Personal Financial
Counselor in your discussion
3. Practicea. Rehearse what you want to sayb. Consider the possible reactionsc. Keep the discussion focused and positived. Take a break if you or your spouse are having
difficulty keeping emotions in check. e. Consider including a Personal Financial
Counselor in your discussion
Tips for Family DiscussionsTips for Family Discussions4. Get input and feedback
a. Ask your spouse for his or her opinion on the family’s financial situation.
b. Be prepared to listen and make suggested changes.
4. Get input and feedback
a. Ask your spouse for his or her opinion on the family’s financial situation.
b. Be prepared to listen and make suggested changes.
Tips for Family DiscussionsTips for Family Discussions5. Discuss ways to manage expenses
Actively listen to your spouse’s ideas, then add your own. If possible, reach an agreement.
5. Discuss ways to manage expenses Actively listen to your spouse’s ideas, then add your own. If possible, reach an agreement.
Tips for Family DiscussionsTips for Family Discussions6. Review agreed-upon action steps
Go over what you and your spouse have agreed to do as a result of your conversation.Record a simple summary of key points in writing.
6. Review agreed-upon action steps
Go over what you and your spouse have agreed to do as a result of your conversation.Record a simple summary of key points in writing.
An Ongoing ConversationAn Ongoing Conversation
Framing financial discussions now may also prepare you and your spouse/family for financial discussions while you are deployed.
Framing financial discussions now may also prepare you and your spouse/family for financial discussions while you are deployed.
Your Spending PlanYour Spending Plan Knowing your spending habits is the first
step to correcting bad habits and reducing stress.
Managing money means making choices. There’s not enough money for all we want. Sometimes, there’s not enough for what we
need, unless we plan for emergencies.
Knowing your spending habits is the first step to correcting bad habits and reducing stress.
Managing money means making choices. There’s not enough money for all we want. Sometimes, there’s not enough for what we
need, unless we plan for emergencies.
Your Spending PlanYour Spending PlanIncome and expenses can be affected by: Being deployed Unexpected events Long-term goals
It’s important to communicate
with family on priorities and
expenses and develop a spending plan together.
Income and expenses can be affected by: Being deployed Unexpected events Long-term goals
It’s important to communicate
with family on priorities and
expenses and develop a spending plan together.
4-Step Spending Plan4-Step Spending Plan Step 1: Identify Income Sources
Figure out where your money comes from and the amounts you can count on.
Step 2: List Expenses Make sure to include savings as an expense.
Thrift savings plan (similar to a 401(k) plan) Savings deposit program: 10% return but only available to combat zone
troops
Step 3: Compare Income and Expenses What is one way to cut an expense today?
Step 4: Change Habits Create a sound financial foundation.
Step 1: Identify Income Sources Figure out where your money comes from and the amounts you
can count on. Step 2: List Expenses
Make sure to include savings as an expense. Thrift savings plan (similar to a 401(k) plan) Savings deposit program: 10% return but only available to combat zone
troops
Step 3: Compare Income and Expenses What is one way to cut an expense today?
Step 4: Change Habits Create a sound financial foundation.
4-Step Spending Plan4-Step Spending PlanHow do I use my spending plan?
Experiment with ideas for cutting expenses and re-calculate the plan.
Follow your plan for 1 month. Write down what you
actually earned and what you actually spent
Review the plan and adjust it to create a spending plan for next month.
How do I use my spending plan? Experiment with ideas for cutting expenses and
re-calculate the plan. Follow your plan for 1 month. Write down what you
actually earned and what you actually spent
Review the plan and adjust it to create a spending plan for next month.
Establish a Reserve FundEstablish a Reserve Fund
Deployment puts new strains on your budget. These new expenses can include:
1. Child-care expenses
2. Income changes
3. Health-care costs
Meet these needs by creating a “reserve” savings fund.
Deployment puts new strains on your budget. These new expenses can include:
1. Child-care expenses
2. Income changes
3. Health-care costs
Meet these needs by creating a “reserve” savings fund.
Establish a Reserve FundEstablish a Reserve FundSaving a little at a time adds to your financial
security. You’ll be surprised how quickly a reserve fund grows. Take it step by step:
Review your expenses and see where else you can economize.
Put that money in a reserve account.
Saving a little at a time adds to your financial security. You’ll be surprised how quickly a reserve fund grows. Take it step by step:
Review your expenses and see where else you can economize.
Put that money in a reserve account.
Establish a Reserve Fund (cont.)Establish a Reserve Fund (cont.) Build the account one day at a time. Start saving today! Last resort: military emergency-relief fund in case
of financial hardship.
Build the account one day at a time. Start saving today! Last resort: military emergency-relief fund in case
of financial hardship.
Protect Your Family FinancesProtect Your Family Finances
Servicemembers’ Group Life Insurance Coverage up to $400,000 in increments of $50,000;
cost of $90 annually for every $100,000 of coverage
www.insurance.va.gov or 800-827-1000 Identity theft: place an active-duty alert on your credit
report
Servicemembers’ Group Life Insurance Coverage up to $400,000 in increments of $50,000;
cost of $90 annually for every $100,000 of coverage
www.insurance.va.gov or 800-827-1000 Identity theft: place an active-duty alert on your credit
report
Protect Your Family Finances (cont.)
Protect Your Family Finances (cont.)
Servicemembers’ Civil Relief Act Covers rental agreements, security deposits, credit
card interest rates and other financial issues Contact nearest Armed Forces Legal Assistance
Program office for assistance Beware scams specifically targeting military members
(and your family) Paydays: steer clear of predatory lenders
Maximum interest rate of 36%!
Servicemembers’ Civil Relief Act Covers rental agreements, security deposits, credit
card interest rates and other financial issues Contact nearest Armed Forces Legal Assistance
Program office for assistance Beware scams specifically targeting military members
(and your family) Paydays: steer clear of predatory lenders
Maximum interest rate of 36%!
SummarySummaryToday, you learned how to take charge of your
finances by:
1. Assessing your current financial situation
2. Planning how to discuss money with your spouse and/or family
3. Identifying sources of income and expenses
4. Creating a spending plan
5. Establishing a reserve fund
Today, you learned how to take charge of your finances by:
1. Assessing your current financial situation
2. Planning how to discuss money with your spouse and/or family
3. Identifying sources of income and expenses
4. Creating a spending plan
5. Establishing a reserve fund
My Action PlanMy Action PlanFollow through by focusing on your: Commitment
What I plan to do Obstacles
What I may face Action
Steps to my success Understanding
What I learned today
Follow through by focusing on your: Commitment
What I plan to do Obstacles
What I may face Action
Steps to my success Understanding
What I learned today
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