Student Loan Costs Are Life-Changing

Would you consider paying $211,000 for an original student loan cost of $74,000?  Of course not.  Unfortunately, when students take on student loan debt and assume that if they work hard to pay it off, then life will be good.  Today's reality offers a different financial perspective here. 

In this article, Student Loan Debt, it is evident that marriage and starting a family is long delayed because of this debt.  Sometimes career advancement is delayed as well.  This article (at the bottom) even highlights a great list of how debt negatively affects students such as difficulty in renting a home because of a high debt to income ratio number. 

The military member is keen on money for education.  Sometimes the GI Bill or other education benefits seem too good to be true.  The reality is some funds are low, and the cost to cover education tuition and fees is not paying as much as aniticipated.  Military are having to take on loans in order to pay for education.  The financial hardship is not recommended.

Many folks offer a solution of working hard and paying as you go.  The increasing popularity of evening college classes is back in addition to online courses.  Hence, you can work a full-time job and obtain your education so some of the financial hardship is avoided.

Interest on the debt is challenging especially when it kicks in.

You cannot claim student loan debt in bankruptcy.  You must pay it off. 

The financial hardship is to mount if students take on more debt.  Recommendation is to delay graduation by working and earning funds to pay for college.  If you are already in debt, then working a full-time job and another part-time job or two will be life for awhile.  It is an enslavement that many wished they never had agreed to doing.  Perhaps view this time in life as an opportunity for character building.  It is during times of financial hardship that you learn things in ways you least expect. 

Self-Sufficiency Can BE In Vogue

Upon reading this morning's article about a family of 20 not in debt and able to be self-sufficient, I truly believe that their fiancial tactical approach to frugality is one to note.  Family of 19 Debt Free article highlights some key points that many folks need to understand.  The importance of paying your bills, not incurring debt and even itemizing bills where sneaky charges must be caught.  Yes, it is wise to NOT assume that your bills are always correct upon receiving them.  Folks struggle with Math so I will doubly make sure that I question any bill that comes my way.

As a military family, you are able to shop at the Commissary and it's nice especially when the sales and case lot sales are put on.  Coupons are good for 6 months after the expiration date.  Also, the coupons are handed out on Saturdays as well as a coupon basket by the bathroom (you can give coupons and take coupons).  You do need to do a food and supply inventory and know your prices but in the end, using coupons and watching what you buy and use in your household will help the bottom line.  Cutting your Grocery Bill in Half is a great book resource as well.

Food is a number one budget blower and with food costs rising, it is even more imperative that folks cook and budget more.  emeals.com is a great tool to faciliate staying on a budget and yet having the menu planned along with recipes.  Keep in mind that you only pay for the dinner meals minus sales tax so it is important to watch your food budget as you supply food for your breakfast, lunch and snacks. 

Survivor Spouse

This article was posted on Wives of Faith web page.

United Warrior Survivor Foundation (UWSF) Provides
Surviving Spouses With Support & More

By Stephanie Arredondo, Board Treasurer

As we as a nation celebrate Memorial Day weekend, I am reminded of those silently celebrating our heroes. There are our fellow sisters in Christ whose best friend has made the ultimate sacrifice. We Wives of Faith know that this is part of the deal when our husbands committed to the military. It is our duty to stand by his side and to love, support and encourage him as he does his job.

Yet who is there when he comes home the way we least expect? United Warrior Survivor Foundation (UWSF) is the only non-profit organization dedicated to serving the needs of surviving spouses of Navy, Army, Air Force and Marine Corps Special Operations killed in the line of duty since September 11, 2001. What makes this group unique is that they invite surviving spouses and their children to their 4-day conferences and pay for all the expenses. The goal is to provide peer to peer mentorship, survivor transition assistance and bereavement counseling. USWF always includes surviving families in daily prayer. It is a wonderful opportunity for surviving spouses and their families to adjust to a new chapter in their lives and get the support that they need.
If your spouse was not in Special Operations yet you are a surviving spouse, then there are other means of support through Military. Com, chaplains and others.

While I cannot imagine this new chapter in your life, I do know that God will give you the strength that you need. If you think “Oh You Don’t Know What I Go Through,” I do. Back in college, my college sweetheart was in a boating accident and did not make it. Granted, we were not married, but it was in the works. Losing him changed my whole world. I grieved and cried. I got angry because life did not seem fair. I could not believe that God could let this happen, and I was mad at God for a long time. Psalm 23 helped me some, but it was reading Acts 2:25-28, Romans 5:3-5, I Corinthians 13 , and Colossians 3:8-11 that time allowed me to heal. Prayer allowed me to seek God, forgive Him and renew a relationship with Him. Journaling eased my pain of anger and depression, and I always had to write it in a letter style of Dear God, Today… and sign it Love, Me. It took a long time for the pain to subside. Time has a way of healing. I eventually got back into life. Some things worked out. Some things did not and that pain was tough at first. Then, I dated and met my best friend for life, my current husband. I never dreamed that I could find love again. I had to let go in order to be whole and move on with my life as new chapters emerged whether I wanted to or not. God was there the whole way. If I went down a road that was not good, God was there to guide me.

Today is a new day, and I am grateful for the Present. God gives you strength in ways you least expect if only you will seek Him. If you seek prayer, support or encouragement for this dark period in your life, please contact me or other military spouses so that we may pray for you and your family as you walk this new chapter in your life. I pray that you will seek the support of your military chaplain and others. You are not alone. While we never want to see a military spouse welcome her husband home this way, we are bonded in a way that few understand.

Stephanie Arredondo is Board Treasurer for Wives of Faith and writes a blog – Alfa Sugar – that lends financial perspective in modern America from one military spouse.

Tune Out Financial Stress and Tune into God

This article is available on Wives of Faith web site page.

Psalm 50:15 “Call upon me in the day of trouble; I will deliver you, and you will honor me.”

Given the recent hype in the news about a government shutdown, it’s lending to financial stress upon military families, especially for those with deployed loved ones. Politicians are making news with their ideas and comments. The Department of Defense is cautious. Critics of the federal government and the military are surfacing with more harsh words. Cutbacks in the military could occur at a time that the U.S. economy is in the early stage of a recovery. Consumer sentiment is cautious as oil and food prices rise based on inflationary influences. Perhaps the home situation is challenged with loved ones searching for employment. Stress is high for many these days, and yet is it a reminder to tune out this static and tune in to the One who delivers us without fail?

God has a unique way of capturing our attention. While the politicians and others determine what’s to occur with government issues that are beyond our control, it is important for military families, especially military wives, to pray and focus on what God needs us to focus on.

Mahlon Hetrick of Christian Financial Counseling wrote the book, Family Money Management God’s Way, and he addresses how most people do not know how to find abundance in their budgets and are not listening to what God has to say. (Hetrick, 19) Perhaps the politicians would benefit from this wisdom as well, but the fact remains that if you are not tuning in to God, then you are neglecting an opportunity to honor Him.

For short term military money matters, it is good to consider the following:

1. Pray and pray incessantly for our country and its financial challenge (Our National Debt isn’t sustainable, and we need for all to address it and address it soon.) Proverbs 3:5-6
2. Review your finances for the next month and develop a new spending plan (If this is a challenge or you need more advice, please see article.) I Corinthians 14:40
3. Cut unnecessary costs such as having your nails done, eating out, going to the movies, going to Starbucks, buying that pair of shoes, etc.. and get creative with certain cost-cutting measures Proverbs 16:3
4. If in debt and if you are making monthly payments that you believe you cannot make, it is wise to contact the business now, state your situation and ask if there’s another payment option. Many will cooperate if you initiate the phone call. For example, my husband and I worked out a payment plan for a medical bill from our son’s surgery (and no added interest expense). Psalm 1:1
5. For those whose financial situation is overwhelming and especially if you have a deployed military member, it is wise to seek your church home, pastor or military chaplain. By discussing your situation, certain churches will determine ways to provide love and support so as to ease the financial strain. Proverbs 15:22

For long term military money matters, it is good to consider the following:

1. Develop a game plan for the future because even if the government shutdown occurred, you have a personal financial management issue that you need to address. Matthew 25:14-30
2. Save up an emergency fund of at least three months of living expenses

Psalm 50:15

1. Pay down debt and remain debt-free. One good way to address this is to list all of your debts (small and large) and determine a game plan to pay them off. Romans 13:8
2. Review your current career and determine a five year plan. Do you need to add in more income? Do you need to cut back on certain costs? Can you do without it? These are the tough questions, and I will be the first to admit that my husband and I struggle with the wants and needs….it’s good character-building for your marriage. Proverbs 21:20
3. Keep God in the picture and pray with your spouse about how you can honor Him. I Corinthians 4:2

If you and your husband need a moral boost, it is wise to post Bible quotes or slogans to help you during this financially stressful era in our country’s history. Just Do It! Adjust your attitude from Can’t live without it to I can get along without it!

While there is no easy solution today, there is the One who without fail will be there and will provide the calm. He will deliver us from this financial challenge. He wants us to be blessed if only we will seek Him, live within our means and adjust our attitude through our finances. We must honor Him to all Glory and Honor, Amen!

Stephanie Arredondo is Board Treasurer for Wives of Faith, has years of experience and knowledge in the industry and writes a blog - Alfa Sugar – that lends financial perspective in modern America from one military spouse.

Disclaimer: This article is the opinion of the person writing it, and any financial decision made as a result does not make the writer or Wives of Faith liable for any action taken. Please consult your personal financial advisor for more information.

MIL & Your Mighty Marriage

(Article NOT published on Wives of Faith web site page even though submission was made over 60 days ago so I am posting it here on my blog in hopes that it provides a nonmonetary financial perspective for wives and mother in laws (mil)).

MIL or mother in law jokes abound in ways we least expect.   The newly wed wife said to her husband when he returned from work: "I have great news for you, Honey. Pretty soon we're going to be three in this house instead of two."  The husband started glowing with happiness and kissing his wife said: "Oh darling, I'm the happiest man in the world."   But then she said: "I'm glad that you feel that way because tomorrow morning my mother moves in with us."

"Have you not read,"  said Jesus, "that he who made them in the beginning made them male and female, and said, For this cause shall a man leave his father and mother, and shall cleave to his wife; and the two shall become one flesh? So that they are no more two, but one flesh. What therefore God hath joined together, let not man put asunder." Mark 10:9.

Jesus addressed the importance of marriage between a man and a woman.  There is a third party involved with each marriage, but it’s not our MIL or somebody else.  It’s Christ himself.  Military marriages benefit from a distance factor when forming their family unit.  PCSing to different bases around the world forces the husband and wife to depend on one another as well as Christ.  Though lonely at times, this opportunity directly supports scripture and helps couples to submit to one another. 

A third of many marriages dissolve because of interference by parents or other family members unconsciously.  This is a staggering statistic that puzzles many; however, over 80% of the in-law complaint letters that Ann Landers receives deal with mother in law problems, specifically the husband’s mother.  Call it a clash of cultures or power plays but the fact remains that it is a challenge for many marital relationships to form their family unit.

The in law relationship can be a great blessing or a toxic relationship depending upon the two women.  Obviously, both have in common one thing – they love the man who is son to one and husband to the other.  Two is company and three’s a crowd can definitely challenge things.  What’s remarkable is when both enjoy the in law relationship as did Ruth and Naomi.  While not all mother in law relationships evolve this way, according to Terri Aptner’s What Do You Want From Me? , the issue at hand for MILs is vulnerability and the threat that this mother/son relationship is changing. 

Change is inevitable, and seeing your son off on a deployment is difficult for MILs.  Marriage can provide a blessing or another threat to the MIL.  PTSD is on the rise with husbands returning from the combat zone, and many MILs and/or family members feel the need to step in and do something, especially when it is a young marriage.  This is when tempers flare, words are spoken and unintentional pain is inflicted upon many. 

When a baby is born, it can be tricky because MILs want certain family traditions passed on.  Sometimes, the new mom experiences doubt and confusion as she gets critiqued by her mother in law.  The MIL sees an inexperienced mother making many mistakes and feels she needs to step in for the sake of her grandchild.  The husband may be deployed or on TDY orders thus adding concern and stress because he is not present.  Around the holidays is when stress levels increase. 

Do you have a MIL situation?  Is your marriage challenged as a result of a MIL or another family member?  What to do?  How do you maintain some form of sanity? 

 First, it is important to be in prayer about your circumstances.  You and your marriage matter.  Communicate with your husband, mother in law and other family relationships that your marriage is between you and your husband (not anyone else) and that you and your spouse will make your family unit’s decisions, albeit finances, estate planning, parenting etc. 

Next, it’s important to set certain priorities to where your spouse is at the top of the list.  Badmouthing your mother in law is not on the list.  Focusing on your husband and what is needed for your marriage is THE priority in addition to prayer. 

Finally, having an exchange of mutual respect with your mother in law is recommended.  You want what is best for the same person as well as for the children. 

Forgiveness is important especially when feelings have been hurt, and while no situation starts off great, perhaps with time, you and your MIL will improve your relationship in such a way that it will blossom and benefit so many around you. Perhaps it’s hard to smile at a person who has deeply hurt you.   While no relationship is ideal and setting aside the MIL jokes, the important point is to have faith that God is with you and your spouse as you walk this wonderful journey of marriage.   

by Stephanie Arredondo

2012 May Be a Financially Great Year

2012 may be a financially great year, that is IF you are willing to do something about it. 

It's important to keep in mind that things just don't happen. You have to take action and make things happen.  So why does this bit of perspective help me out financially?

In the wonderful world of finance where everyone must do basic math on up to advanced math albeit with your income, investments or other means of support, there is action happening.  Your spending behavior is directly reflected in your wallet even if it is buying food or fuel or other.  By not paying attention to your budget or how you spend your money, you are taking action. 

Perhaps you are neglecting your finances.  It's easy to do because many folks dislike the accountability factor involved with budgeting, reconciling your accounts and making financial decisions.  Sometimes financial hardship resurfaces hard times from your past and can cause you to turn the other way  or can cause you to get intense when it comes to your money.

Perhaps you are a good steward of your money, track it and live within your means.  This routine action of managing your finances deserves a pat on the back AND a time to reassess your financial goals.  Are you interested in a return on your funds?  Are you going to take a risk and step out of your circle of comfort?  Are you willing to do more work for more financial gain or are you determining your retirement options?

Perhaps you are in between where you earn income and yet just can figure out why the money was there and is now gone.  This constant merrygoround gets old, discouraging and lackluster.  This is when taking a personal finance class or something related to the topic will help jumpstart you back into action.

Perhaps you have been in recovery.  For many veterans and military personnel coming back from the combat zone, they are faced with medical costs that wipe out whatever savings and/or income that they have.  The financial hardship on the families is difficult.  For some the physical disabilities create challenges including finding a job, keeping a job, and dealing with certain limitations.  For many, they are dealing with PTSD or post traumatic stress disorder.  It's a major issue that few talk about nor the negative effects it has on many military families.  Sweeping it under the carpet is difficult when a military member dealing with PTSD  has a hard time getting out of bed to go to work or to even funtion in American society. 

I write that 2012 may be a financially great year because it can be if you take action.  One problem is the word may, and I specifically use this word to make a point.  Many want to live up to doing a good job and yet they (especially the men) feel that what they do is not good enough.   Bosses and/or supervisors provide negative feedback, expect more than what is realistic and pass judgement on subordinates that beats them down.  Few workers underestimate their ability to do a good job yet most question their superior when it comes to job performance and evaluation.  Yet employment provides a financial means to support the family so many workers just grin and bear it.

Today is the day to take action even if it is a baby step in your financial affairs.  Perhaps you organize your bank accounts into a notebook and your bills into another notebook.  Perhaps you learn about a new financial software via your financial institution's web site page or Internet or package.  Perhaps you pick up a book from the library to read.  Perhaps you cut up your credit card and start paying it off.  Perhaps you open a new account to help jumpstart your financial future with just $20 a month. 

Little steps of action will enhance your financial situation.  Balancing your life and keeping hope abreast will help you navigate through this tricky time.  Perhaps reducing or cutting back in certain areas is a necessary action to help your family go forward.  For example, buying a frozen pizza versus ordering a pizza for delivery is a small step to save some outflow.  Now, if you are on TDY orders and/or PCSing and don't have access to a kitchen, it is wise to eat healthy, drink lots of water instead of sodas or alcohol and make practical choices.  Ask for the military discount when possible and seek restaurants who do give it so that you can cut back on this eat out expense.  Also, during lonely times it is easy to spend money to compensate for not having someone around.  This is when it is very important to do a low cost activity such as a craft, sign up for a class, exercise, attend a church social function or go to the local library for free events (sometimes they are posted on their bulletin boards more so than on the web).

Just taking action to do something will help you come alive with life, venture out, learn something new and gain a whole new perspective on life.  It is so much better than watching tv, playing a video game or anything else via your couch.  Act and see what great possibilities lie ahead. 

   

Veteran's Day Discounts and Deals

See this link for a free meal or other discount deals for veteran's, past and present with a valid military i.d.

Recheck your Banking

WSJ article on Credit Unions Poach Clients is a great review of current banking issues.  Local banks and credit unions when compared for their rates and quality of services revealed that the credit unions offered the best value.  Banks are not as helpful as perceived.  While many financial institutions continue to battle for your dollars, I offer a buyer beware of where you deposit your dollars.  One bank teller rudely questioned why I didn't deposit more of my dollars with them when I made a deposit for another account.  Why should I when your customer service is lousy, your fees are unwanted and your willingness to help me with my financial situation is nonexistent.  I will gladly send my dollars elsewhere.  Question is where?

Your local credit union is one opportunity.  For military families, this is not as good of an option especially with PCSing or international travel.  I find that USAA doesn't charge ATM fees and offers free checking.  There are other military-friendly financial institutions to consider. 

Important is to bank with a financial institution that does provide an FDIC guarantee on your account (not brokerage or money market as these fall under SPIC which is completely different from FDIC) and double-check the fees you could potentialy pay.

VA Benefits

Below is interesting information that has been posted about VA Benefits.  While I can't confirm the details presented below, I blog about this information to assist those seeking information.  There appears to be a lot of red tape preventing people from getting a direct, sensible answer.  I pray that what I've shared below will illuminate some sketchy details to help many get the benefit that they so deserve.  I will continue to do financial research about this and as always, wish you the best.  Thank you for your service to our country.   ~Alfa Sugar, aka Stephanie Arredondo

Disability Pay
This blogger writes: unless you hit 20 Years you cant have both. Personally I would go with the VA $ since its tax free, well, that and I have a wife and 5 kids and will probably get 70%...Much better than 30% of E-6 Pay..But I have not been able to actually find that written anywhere in an instruction...so if anyone knows...

One blogger writes:  If you receive Military retirement at say at 30% or greater you will receive a medical retirement at 50% base pay.  If the VA rates you at 90% that means your 50% military retirement is non-taxable and you will receive compensation from the VA @40%.  

Another blogger writes the following:
If you are medically retired from the Army, you will only receive one check from the two departments, the check with the higher amount. You do not have the option of choosing which one. However, if at any point your condition worsens and your pay from one authority or the other is raised to a higher level than whichever is paying you at that time, the higher paying authority will take over your payments. Bottom-line, you will only get one check and while you have no say, it will always be the higher amount.

One of the differences between the VA and the Army, outside of the payment, is that the VA will pay 100% of your medical expenses for at-home equipment (home adaptive equipment, sleep apnea machines) whereas TriCare will usually pay for 90%, so a rating from both authorities is a good thing.

Disability Compensation
Chris Attik wrote this article that may be of interest  VA Benefit

Property Tax for Residents of Virginia
Sherri Abrams wrote this article for those disabled veterans living in the state of Virginia.
Disabled Veterans Real Property Tax ReliefJuly 9th, 2011

Effective January 1, 2011 a new law was imposed by the Commonwealth of Virginia allowing a 100% real estate tax exemption for qualifying disabled armed forces veterans and their spouses.
Pursuant to Article X, Section 6-A of the Constitution of Virginia, the General Assembly exempted from taxation the real property, including the joint real property of husband and wife, of any Veteran who has been approved by the U.S. Department of Veterans Affairs to have a 100% service-connected, permanent and total disability, and who occupies the real property as his/her primary place of residence.

The surviving spouse of a Veteran eligible for the exemption shall also qualify for the exemption, so long as the death of the Veteran occurred on or after January 1, 2011, the surviving spouse does not remarry and the surviving spouse continues to occupy the real property as his/her primary place of residence.

In order to receive this benefit the veteran is required to have a letter of disability from the U.S. Department of Veterans Affairs (1-800-827-1000). The letter will have specific wording that is required by the Commonwealth of Virginia for this exemption. The letter will NOT be automatically provided to the veteran, he or she must request this letter. Virginia Form 21-4138 may be filled out and signed in the Commissioner of Revenue’s office and faxed to the Veterans Affairs office to request the letter on your behalf.

The regional U. S. Dept. of Veterans Affairs office is located at 210 Franklin Road SW, Roanoke, Va. 24011.

When applying with the Commissioner of the Revenue for this exemption the veteran must bring:
1. An original letter of disability issued by the U. S. Department of Veterans Affairs
2. Photo Identification
3. Proof of residence of occupancy – Voter Registration Card

Surviving spouse should bring:
1. Approved and original letter of disability issued by the U. S. Dept. of Veterans Affairs (in the event the veteran was not previously exempted from local real estate taxes)
2. Death certificate to confirm the date is subsequent to December 31, 2010
3. A certificate of marriage from the appropriate State office of records
4. Proof of residence occupancy – Voter Registration Card

The above real estate information may shed light on your current state's residence property tax for veterans. 

All information presented is strictly for information purposes.  You are encouraged to conduct your research, contact a professional or seek guidance. 

Layaway, A Popular Option as eLayaway Enters Household Names

Military families as well as federal employees have a new opportunity this season to pay cash (not debt) for Christmas.

eLayaway is an online layaway financial services company that has partnered with Centralized Strategic Placement (CSP) to make this possible.  CSP's Exchange Shopping Program (CSPEX) include active and retired U.S. military and other Federal employees authorized to shop at AAFES (Army & Air Force Exchange Services) and other U.S. Department of Defense online stores. Additionally, eLayaway will be offered to CSP's retailers, distributors and manufacturers.  (See Article)

Walmart is joining other retailers in offering layaway. 

A surgence in traffic is increasing because of the economy when it comes to layaway.  Perhaps more people are being smarter about their spending behavior or have lost much and are financially strapped to make ends meet this season.  Whatever the case, it is a great financial alternative to the credit card.
As those who have taken Dave Ramsey's Military FPU will say, it is best to stay out of debt, and this online elayaway option fits the bill for those seeking creative financial ways to accomplish financial budget goals.

eLayaway is a publicly traded company. It's FREE to join.  A few of their affiliates include the Apple Store where you can make payments on a new Ipad2 for as low as $72.50 per month.  Others include Best Buy, Joanns (for those crafty people!), Bass Pro Shops, The Disney Store, and many more. 

A neat idea is to pay from $2.19 to $9.91 a month for a gift card good for retailers such as Walmart, Target, Talbot's, Best Buy, Marriott, Budget or even Applebee's.  Gift cards are a popular present to give, and by making montly payments, it doesn't blow your budget. 

Giving the gift becomes two times better since you are giving you and your family the gift of staying debt free while affording a nice gift.  Of course, giving the gift of your time and yourself is priceless.

WILLs and survivors

It is wise for everyone to have some form of a Will in place regardless of the size of the estate.  For military, this document is usually done prior to deployments.  It is important to update all records every 2-3 years for active duty military just because a lot can happen and change within a short amount of time.  For most, it is wise to do a review of your estate upon the death of a loved one such as a spouse or child, the new addition to the family (such as a baby or adopted child), or a significant increase in holdings in the estate (i.e., those who have won the lottery which is usually 1-2% of the entire population). 

For those considering how to divide the estate, the best way is to EQUALLY divide the estate among your children.  That way all children are recognized.  Being equally divided sends an important message that the money/assets do not matter and that that child was fully recognized by their parent albeit past issues. 

Of course, for your estate planning needs, it is wise to hire an attorney to draft this legal paperwork should there be any concerns.  JAG can answer many of these questions for the military person.  It is wise to consider the source of your information and do your due diligence.  Relying on one person's advice for a major decision is a high risk proposition.  That is why asking and seeking the information from several sources is wise to make sure that you are able to have your last wishes communicated well.

While no one wants to deal with end of life issues, it is wise to complete the paperwork.  You will sleep better knowing that it is all done.  Your heirs will also relax knowing that they are in good shape.  It is money well spent especially when all can get a good night's rest.

Military Discount in Orlando, FL

Nickelodeon Suites Resort

Nickelodeon Suites Resort is proud to welcome active and retired U.S. military travelers and their families with some military discounts in Orlando, Florida, including reduced room rates and perks through December 15, 2011.  There is also a 20% discount off of a Family Suite through December 23, 2011. 

According to the company, you can make the most of your family time with rewarding military specials for Orlando’s most active family resort!  Rates start at $99 so be sure to research your final prices before booking.  They also offer 10% off food and beverages, 4-D Experience films and cabana rentals.  This is Military Appreciation, and isn't it a nice opportunity?  To book your stay and for more information visit www.nickhotel.com/military or call 877-NICK-111 and ask for the Military Family Package.

Note:  Alfa Sugar is not endorsing this special military discount, just sharing information. 

Military Retirement Concerns From New Legislation TALK

According to the Air Force Times article written by Andrew Tilghman and his staff, the plan to overhaul the current retirement setup is outraging many military folks. 

The proposal unveiled by the Defense Business Board, a Pentagon advisory group, aims to save more than $300 billion over 10 years by transforming the traditional 20-year pension into a corporate-style 401(k) savings account. Under that plan, the military would contribute cash to individual troops’ accounts, possibly about 16 percent of basic pay per year.

The plan would dramatically shift money from the roughly 19 percent of the force that serves 20 years or more to earn an immediate lifetime pension and give much of it to the 81 percent of mostly enlisted troops who leave after four, six or eight years with no retirement benefits. Critics said the plan would devastate retention and jeopardize the quality of the nation’s all-volunteer force.

If the above holds true, then many currently in the military will no doubt be disappointed and frustrated about the amount of time given and not the optimal return monetarily. 

Regardless of what occurs, many military people as well as their spouses and family members need to learn more about finances and how to better manage their financial affairs.  It is obvious that the government is not capable of properly managing the military member's best financial interest when it comes to retirement.

Politics will always present new bills, new legislation, and new changes to many things that will affect the military member.  No one likes change especially when it pertains to finances.  What is important to note is to get financial advice, to read a book on the topic and to manage your financial affairs.  Retirement and saving up for it matters more so today than in years past. 

Military Wives, Get Support!

It's amazing the amount of military wives groups that are surfacing. 

For those in the military close to a base, the opportunities to connect with other military wives is plentiful.  MOPS groups, local FRG groups as well as other groups on base are great. 

For those military wives who are in the guard or reserve and are not near a base, there are other groups evolving such as Wives of Faith, Homefront United, Wives in Bloom, and PWOC.   

There are conferences now for military spouses such as Wings for Women. 

The financial perspective is what you put into it is what you get out of it.  Most groups are interested in FREE activities.  Perhaps the cost is a cup of coffee from Starbucks, the price of a meal at a restaurant or even travel costs to attend a conference or meetings.  Child care costs are an additional expense unless a family member or friend can provide that service. 

Military wives live a unique lifestyle that is important in more ways than they even realize.  So often, the comment from most is "I could never do what you do."  These comments, though meant to be kind, are the worst kind to make because that military spouse is thinking the same thing.  Instead, it is wise to thank that person for their commitment to their husband who serves and to please thank him for his service to his country.  Even more important is for military wives to get support from others experiencing similar walks in life.  The groups mentioned above are a starting place, but ultimately it comes to the individual's willingness to reach out and make a connection.  It's worth it in the long run.  May is Military Spouse Appreciation Month and is a great way to celebrate military wives. 


 



Ideas for informal military wives gatherings:
*Meet and Greet (local coffee shop)
*Scrapbooking or hobby
*Service Project - Military Care Packages
*Facebook
*Get tips on surviving the deployment or how to communicate with your spouse
*Read a book and talk about it
*book clubs

Military Care Packages that CAN make a difference

It can be a small or big gesture....whatever the case may be, any U.S. citizen that can reach out and show that they appreciate the sacrifice and willingness for a military member to do what they do is outstanding.  While there are many opportunities to send military care packages, many folks still ask "What can we do?" or "How can we send a military care package?".

Here is some current information below.  While this may change over time, the thought being conveyed is always welcomed.  For example, I sent a card to a wounded soldier and he wrote me a thank you note.  Just that small gesture allowed him an opportunity to see what a difference he made in someone's life even though he doesn't know me.  If everyone did it, then those small gestures of appreciation would go unnoticed, but given today's world, it is monumental when there is that wonderful outreach. 

Any Soldier

Operation Worship

Soldier's Angel Facebook

USO

Troop Care Package (prebundled service)

CamoHuggies for Operation HomeFront

From a TN FRG announcement

Huggies has created a limited-edition Little Movers camo diaper that will be distributed exclusively in Walmart stores across the country. You can dress your baby cute for a cause and help support military families. Operation Homefront will get one diaper for every box of Huggies sold, up to 300,000 diapers. 

Walmart has joined in the excitement and has added a commitment of up to 200,000 diapers to be given to Operation Homefront as part of a postcard campaign; military families will get one diaper for every postcard sent during the campaign, up to 200,000.

The campaign runs now through December 31, 2011 or until a goal of 500,000 free diapers for military families has been reached. The camo diapers come in sizes 3 (16-28 lbs), 4 (22-37 lbs), and 5 (over 27 lbs).  All sizes retail for $19.77 per box.

Thanks so much to Kimberly-Clark and Walmart. For more details, go to www.huggiescamo.com. 

Seeking Financial Advice in Today's Changing Time

In speaking with a young lady at the gym, she and her husband are working hard to save up for retirement.  Both do not have children.  Both are maxxing out their 401k.  Both are working jobs.  Both are concerned about what is evolving in the future.  She has even gone to great lengths to research banks, their rates, and other comparisons in a fancy and well-documented spreadsheet.  I was impressed because the bulk of women I meet are not as sophisticated in understanding their finances.  She simply was asking questions and trying to get some answers. 

Like her, many folks are seeking financial advice but not getting much of any relevant information from bankers, financial advisors or others. 

For military folks, you can contact OneSource for financial advice.  USAA offers financial advice on its member web site page. 

I am certain that there is a person who has the heart of a teacher and a passion for finance to talk to about this topic in your area.  Problem is seeking them out and feeling comfortable. After all, the three taboo topics are religion, politics and finances.  Breaking the silence and disclosing your financial situation is intimidating, but then again it can help you in ways you least expect. 

Send a Military Care Package that is worth it!

At Survival Straps, I found these cool products but most impressive is their Military Care Packages for $19.95.  You can send a soldier overseas a care package that will definitely make a difference.  Go to SurvivalStraps Military Care Packages.

Standard & Poor's Lowers USA Long Term Rating to AA+ For First Time in 70 Years

On August 5, 2011, the Standard & Poor's Rating lowered the United States of America's long-term sovereign credit rating from AAA to AA+ for the first time in 70 years.  Regarding its short-term rating, the S&P affirmed the A-1+ rating.

Why is this significant news?

The USA is officially entering a new financial era that reflects upon the current behavior and cultural trend that has been evolvling perhaps since the 1960s.  Given the August 2, 2011 passage of the Budget Control Act Amendment of 2011, the US fiscal policy has assuaged immediate concerns about any immediate threat of payment default as the US government continues to encounter political governance that is less stable, less practical and less cooperative between political parties to resolve matters of most importance.  In other words, the United States is heavily debt-laden, and the question of the currency and its valuation to repay the debt is of grave concern.

Standard & Poor's report presents sound financial rationale and perspective on the current outlook.  It is well worth anyone's time or effort to read these unbiased facts.

Concerning military personnel, it is going to be a rocky road between now and 2012 as the government debt burden will go higher and as the baby boom generation marks its draw on social security, medicare and such.  Cuts and reductions are on the horizon for civilian discretionary spending, defense and Medicare. 

Donald Marron presents more interesting financial perspective.  Moody's and Fitch have affirmed the USA's crediting rating at AAA while China's Datong credit rating agency lowered it earlier this week to negative.  Donald is right to expect more US downgrades regarding debt.  There are five countries in the past 30 years who have regained an S&P AAA rating so there is hope for the US to regain this rating but it will come at political crossroad that many are very VERY concerned about.

There will be more news reporting (as well as hype).  Political parties will blame the other.  The American consumer is awakening to a reality that has been evolving for quite sometime.  Question is Will our elected officials in Congress and the Administration be able to work something out?  I am pessimistic at this juncture and am discouraged for my husband and all the men and women who work in the military as well as those hardworking Americans who do work, who do do the right thing and who do NOT sit on their buts and let someone literally feed them with every materialistic item out there.  We may even see taxes rise on both incomes and investments in ways we've not seen for awhile. 

For many who serve in the military, it is likely that many cutbacks will occur as the defense department will downsize the military (now I do not know this for a fact....this is only my opinion).  Perhaps it is raising the military to be more sophisticated and effective by doing more with less.  If you read the Forbes article on where our next corporate America managers are coming from, it is the military.  I believe that serving in the military will rise in prestige as Americans begin to appreciate the high level of quality, education and training these men and women have received.  Life for the military spouse will become more isolating.  Reliance on social networking and certain other networks will increase with importance for the military families. 

Regarding finances and military pay, it is challenging for many to make it without dual income, and for many military spouses, that's challenging to have a career as the military relocates you and your family every 2-4 years. 

In a previous blog, I posted information for disabled veterans and those who have served our country about the Concurrent Retirement and Disability Pay (CRDP). Qualified disabled military retirees will get paid both their full military retirement pay and their VA disability compensation as stated earlier this year.  I believe that there is elevated risk as to how our disabled veterans will be compensated.  There is not much research or information surfacing about this all important financial issue (something that frustrates me for our fallen comrades).  I find it strange that the US government would not provided proper financial support; however, those who were most skeptical about the War in Iraq do not view favorably our disabled veterans and admonish this liability that could potentially increase in costs for many years to come.  I hope that there is a rise in foundations, non-profit groups or grants for disabled veterans that will lend financial assistance and offset an increasing negative sentiment from those who served.  (Currently I am working on another blog article about CRDP).

The best gift that any and all of us can do is to pay off your debt.

Perhaps by starting with the little details that don't seem to really matter we can make a difference and alert Congress and the Administration to the importance of paying off our debt.  Eventually, the S&P credit rating for this wonderful country will rise back to AAA status (or as Warren Buffet eloquently stated....we've been at a AAAA+ rating only to see the slight pullback to AAA).

Shop Back to School & Get Tax-Free Savings

It's back to school time.  Summer is wrapping up yet again.  Many of my dear military friends have PCSed, moved, relocated or taken a new job.  Change is inevitable.  Some change is good.  Some change is difficult to accept.  Some change is not the way I had hoped.

This weekend is tax-free weekend in Tennessee.  Perhaps other states and areas offer this opportunity for folks buying back to school items to save.  Buyer beware on certain items as some are part of the tax free category and some are not.  Each state is different so be sure to check with your local state government. 

Ironically, many retail stores are desperate for your business and are offering to pay state sales tax on any item you purchase. 

Keep in mind that some items made in another country may not be complying with federal regulations.  For example, Crayola is the only product that I purchase when it comes to crayons, sidewalk chalk, markers or other items that my children will use.  It is important to not sacrifice price for your child's well-being.  Yes, certain crayons or sidewalk chalk contain harmful chemicals and several children are known to have develop a severe allergic reaction that is unexplained and leaves the parents skeptical about what to do.

There are several children's consignment sales offering back to school items for Fall/Winter.  This is a great way to make affordable purchases that are tax-free.  Your local Goodwill store, Salvation Army, or other Thrift stores may also offer tax-free savings. 

For us military folks, it's great to enjoy tax-free purchases on certain items while still having to pay a commissary fee or other.  I am certain that there are deals at your local AAFES stores so double-check your prices and see if Walmart or others will match the price. 

Regarding online tax free savings, it depends.  I don't know of any at this time of publication.  On-line buying is convenient and great.  Beware of shipping costs because that is what will up your cost in the purchase.  Some vendors are offering free shipping or site to store free delivery.  I opt for that one over paying shipping costs any day.

International military families may be challenged with certain back to school supplies.  While I am unfamiliar with some items, it is good to go to such sites as Wives of Faith Facebook page or other military related web site pages and even blogs for more specifics. 

Best of luck as you and your family go back to school this fall!  Whether is homeschooling, local public school or base school, and/or a private school, I wish you great success.  Study hard and make people in your country proud!  It's an international world now when it comes to education.