Download - Military Financial Health
Financial Health
Jennifer Conole, M. S.Transition & Relocation ManagerBase San Pedro, Work-Life Division – Detachment San Diego
Financial Health
Why financial education and counseling?
Financial Goal-Setting The Financial Pyramid Debt Management Credit TSP and retirement planning Financial Resources
Why training and counseling?
USCG vulnerabilities! PCS! Spouse Employment Deployments Security Clearances
Economy Regular salary increases Transition preparation Retirement planning
Financial Goal-Setting
S.M.A.R.T. goal-setting Specific Measurable Attainable Realistic Time-specific
Financial Goal
“I want to be rich.” “I want to have $500,000 saved by
age 65. I will invest $250/month for 10 years in the TSP, beginning at age 21.”
“I want to be debt-free.” “I want to pay off $10,000 in credit
card debt and student loans within 2 years. I will put $500/month toward my debt, and not use my credit card anymore.”
The Financial Pyramid
Money Management Monthly living expenses: 70%
Savings Emergency Reserve Goal-Getter
Investing: 10% S. L. Y. Rule of 72
Financial Planning Pyramid
Options, commoditi
es, etc.
Controlled spending
Adequate income
Adequate insurance
Goal- getter
Emergency
Reserve SAVINGS
LEVEL
MANAGEMENT
LEVEL
Stocks Bonds Mutual funds
Real estate
Hard assets
IN
VEST
MEN
T
LEVE
LS
Debt Management
Debt ≠ Fine wine Debt to income ratio Monthly expense: 20% The faster you pay, the more you
save!* *The longer you take, the more you pay!
Credit
How you are “graded” for loans Scores range from 300-850 Negative items remain for up to 7 years MYTH: Once an item goes to collections
for nonpayment, and I pay the balance in full, it disappears as a negative item from my credit report.
Free REPORT www.annualcreditreport.com Your SCORE is not free!!!
What Affects your Credit?
Military Saves
www.militarysaves.com Pledge to become a “saver”
Quarterly informational emails Financial educator code for your
FREE score and report analysis!
Credit
Why it’s important Loan interest rates▪ Home loans▪ Vehicle loans▪ Student loans
Cell phones Apartments Security Clearance EMPLOYMENT!
Retirement Planning
Will you have $650,000 by the time you retire?
Roth IRA TSP
***ROTH FEATURE OPENED ON 07 MAY!***
The magic of compound interest and time
Financial Resources
San Diego Homeport Website www.uscg.mil/homeport (find San Diego)
TRM and Command Financial Specialists FREE financial counseling
CGMA Discounts, freebies, education grants
and interest-free loans, emergency assistance
NFCC (through agreement with CGMA) FREE financial counseling and Debt
management!
Financial Health
Why financial education and counseling?
Financial Goal-Setting The Financial Pyramid Debt Management Credit TSP and retirement planning Financial Resources