Military Saves Blog
Tips, advice, and the latest news from the savings world.
You don’t have to be a rocket scientist to realize that moving overseas, even under the protective umbrella of the military, will cost you oodles of money. Some of these expenses the military will reimburse. Some they won’t. We’ve all been told to set aside money for moving in general. Ok, I got that. You’ve got it too I’m sure, but what exactly are we talking about with an overseas move? Are we talking hundreds or thousands of dollars? Here’s how you can sort it all out.
Five Reasons You Should Save for Retirement Now
March 27, 2013
By Nevin Adams, JD
Director, American Savings Education Program (ASEC), Employee Benefit Research Institute
It’s easy, in the normal press of life, to put off thinking about retirement, much less thinking about saving for a period of life many can hardly imagine. We all know we should do it—but some figure that it will take more time and energy than we can afford just now, some assume the process will provide a depressing, perhaps even insurmountable target, while others don’t even know how to get started.
Here are five reasons why you—or those you care about—should save for retirement now:
Because you don’t want to work forever.
If you want to stop working one day, you are going to have to think about how much income you will need to live after you are no longer working for a paycheck.
Because living in retirement isn’t free.
Many people assume that expenses will go down in retirement—and, in fact, a recent EBRI Issue Brief noted “With the age 65 expenditure as a benchmark, household expenditure are lower by 19 percent by age 75, and 34 percent by age 85….” On the other hand, there are changes in how we spend in retirement as well—and they aren’t always less. That same EBRI report notes that health-related expenses are the second-largest component in the budget of older Americans, and a component that steadily increases with age. “Health care expenses capture around 10 percent of the budget for those between 50–64, but increase to about 20 percent for those age 85 and over.” And those spending shifts don’t take into account the possibility of a need or desire to provide financial support to parents and/or children.
By Lila Quintiliani, AFC®
Military Saves Assistant Coordinator
Communication & Outreach
Lack of self-control; it’s one of the reasons we humans struggle with diets, budgets and interpersonal relationships. In the book “Willpower,” psychologist Roy F. Baumeister and science writer John Tierney explore the science behind why people struggle so much with self-control. It turns out we have a finite amount of willpower that can be depleted and then must be replenished. The good news, however, is that, just like a muscle, if we “exercise” our willpower, we can build it up to become stronger.
Part 2 of Side Accounts: What Are They and How to Use Them
How do you convince Monkey Brain to save for the holidays?
By Jason Hull
Hull Financial Planning
The best way to make sure that you’re setting aside money for your irregular but recurring expenses, such as the holiday season, vacation, a car replacement, insurance payments, health care deductibles, and the like, is to hide money from yourself.
Hide money? Am I telling you to go stuff money in a mattress?
Not exactly. Plus, if you did that and the house burned down, good luck convincing the insurance adjustor that you had a few C notes stashed away in the box springs.
Instead, what we do is set up a separate account for setting aside that money. It’s different from the account where you get your paychecks deposited into. Theoretically, it should be more difficult to access money from this account so that you don’t go spend it in a wild bender of a shopping spree, so, depending on how much self-control you have, this could mean going to another bank for this account.
5 Fast & Easy Ways to Save $50 per Month
March 20, 2013
By David Bakke, a contributor for Money Crashers Personal Finance.
He shares his tips for saving money, building wealth, and preparing for the future.
If your overall financial picture needs to be improved, it's going to take some time. However, you've got to start somewhere, and your monthly expenses are a good place to begin. Saving $50 per month may not sound like much, but if you can find five different ways to do this, you'll have saved $3,000 in only one year. Here are five simple options: