Join the Military Saves campaign Published Feb. 26, 2008 By Sharon Nichols 14th Force Support Squadron COLUMBUS AFB, Miss. -- Individuals and families are learning how to set and reach their financial goals as members of the Military Saves program. These participants are paying off debts, and saving money to achieve financial independence, to pay for cars, education, homes, vacations or to retire. The goals are as unique as each person involved. Save for Emergencies Building an emergency savings fund is the top goal of Military Savers. Having an emergency savings fund may be the most important difference between those who stay afloat and those who are sinking financially. Maintaining emergency savings of $500 to $1,000 allows people to easily meet unexpected financial challenges such as replacing the tires on a car; buying shoes for a child, paying for a visit to the doctor or dentist, or flying to be with a sick parent. The emergency fund not only allows people to cover these expenses, it also gives them the peace of mind that they can afford these types of financial emergencies without having to incur debt. Lack of an emergency savings fund is one reason many individuals borrow too much money at high interest rates. For example, with emergency savings, Americans probably would not have to take out $2 billion a year in payday loans at interest rates that average 300 to 500 percent. Save for Purchases Having a car can help people earn more, spend less and get better value in their housing. Cars, however, are relatively expensive to purchase and maintain. Individuals can reduce their transportation expense by learning to make wise purchase decisions. Similarly, almost anyone can afford to own a home with proper preparation. Military Saves can help people develop a plan to save money for a down payment, moving expenses and post-purchase expenditures such as home improvements or repairs. At the same time, reducing credit card and other debts will increase their credit score and their chances of getting a lower-interest loan. Save for Retirement Retirement savings is a top priority for most savers. Many people do not have an employer-sponsored retirement plan, such as a 401(k) plan. Military members and civil servants can participate in the Department of Defense 401(k) equivalent, the Thrift Savings Plan. If their employer doesn't offer a retirement plan, they can still save for retirement, and get some tax benefits in the process, by putting money in an Individual Retirement Account. Join the Campaign Everyone, military or civilian, is invited to join the Military Saves program by registering your savings or debt reduction goal through the Military Saves website, www.militarysaves.org. When they join, they will receive an email reminding them of their savings plan, and the American Saver newsletter (by email) four times a year. From time to time Military Saves may email with news of a free seminar offered by DOD or one of the military services, or they may invite participants to enter a contest or submit their story for the newsletter or a special event. Military Save won't send more than one email per month on average, and participants will always have the chance to unsubscribe. For more information, contact the Airman and Family Readiness Center at 434-2790.
