Top 5 Financial Tips for Military Families
Military families provide an extraordinary service to our country by helping to protect our nation. This article contains important financial tips specifically for them.
Discuss Your Housing Options
Owning your own home is a part of the American dream, right? However, if there’s a chance for multiple relocations or even deployment, owning your home might be expensive and might not make the most sense. Renting may be a better option for short-term assignments.
If you do opt to buy a home, look in to a Veterans Administration (VA) loan. It is one of the only ways to buy a home with no money down and no private mortgage insurance.
Take Advantage of Bill Pay
Being a military family can come with a lot of stress, but paying your bills on time shouldn’t be one of them. Bill Pay is an easy way to automatically have your bill payments taken out of your account each month. Set it and forget it!
Make Deployment Plans
Before deployment, have a discussion in your household concerning managing your budget. In case your spouse needs to make urgent financial decisions while you are away, consider granting them power of attorney. Something else to consider is what to do with the additional funds you will receive while deployed. How will these funds best serve your family? Is it better to save or pay off debt?
Participate in Thrift Savings Plan
The Federal Thrift Savings Program, which offers the lowest-cost retirement savings plan available, can be accessed by military members. You have the opportunity to save a part of your income for retirement, receive matching agency contributions and reduce your current taxes.
Protect Yourself Using the Servicemembers Civil Relief Act
If you are entering active duty, the Servicemembers Civil Relief Act (SCRA) offers a variety of financial and legal protections. It covers issues such as credit card interest rates, mortgage interest rates, mortgage foreclosures and more. Since the SCRA details are complicated, it is recommended to contact your nearest legal assistance office if you need help meeting your financial obligations.
Do you know a military family? Make sure to share these tips with them!