MoneyTalk: Save with a Plan

Resources from the Podcast

• Financial Goal-Setting Worksheet
• Financial calculators such as these from Bankrate
• Thrift Savings Plan (TSP) calculators
• America Saves (Make a Plan: How to Save Money)

Three archived MFLNPF webinars:

• • Savings Strategies for Non-Savers
  • Saving Strategies for Military Families 
  • Basic Money Management 

Shownotes

What Should People Save Money For?

• Emergencies, short-term goals, medium-term goals, and long-term goals

Can you give some examples of each type of goal?

3-6 months expenses, vacation, car, retirement

How Can People Start Saving Money?

• Mentally tell yourself that you are going to do it and set savings goals with a price and time deadline
• Having a specific goal is a lot more motivating than saving for saving’s sake

Walk me through the goal-setting process from start to finish.

An online calculator, worksheet.

When Should People Start Saving Money?

• Start as soon as possible. If you are not saving money currently, the best time to start is today
• Increase savings when income increases or expenses-like loan payments- decrease

What are things people can do TODAY?

Sign up for TSP, change jar, savings challenge

America Saves Encourages People to Save With a Plan…What Does “Saving with a Plan” Look Like?

• Research the total cost of your savings goals (e.g., a vacation trip or buying a “new-to-you” car)
• “Do the Math”: divide the cost of the savings goal by the number of months to save to get periodic savings
• Use a worksheet or online calculator to determine the annual, monthly, or per-paycheck savings amount
• Prepare a list of goals with the cost of each goal, its time deadline, and amount of time to save periodically

Give me an example of planned savings.

$10,000 goal, 3 yrs., $3,333/yr., $128.20 bi-weekly.

What Are Some Tools and Resources to Save with a Plan?

• Financial Goal-Setting Worksheet
• Financial calculators such as these from Bankrate
• Thrift Savings Plan (TSP) calculators

What does research say about planned savings?

Planners save more at all income levels.

What are the Benefits of Saving with a Plan?

• A plan makes you more future-minded; it forces you to think about what you want and when.
• A plan helps you see your progress; if you save $2,500 toward a $5,000 goal, you are halfway there.

How often should people review their saving plans?

• Re-evaluate your savings plan at periodic intervals like every 6-12 months; you need time to see progress.
• Also re-evaluate your savings plan when life circumstances change (e.g., a big raise or marriage).

What are Some Final Tips for Saving with a Plan?

• Automate your savings when you have a regular paycheck (e.g., service members)
• Save when you can if your income is volatile (e.g., military spouses)
• Plan to save all or part of windfalls (e.g., tax refunds)
• Start small; complete the 30-Day $100 Savings Challenge: https://www.slideshare.net/BarbaraONeill/30-day-100-savings-challenge-0416

Where can military family-serving professionals get more information about planned savings?

• America Saves (Make a Plan: How to Save Money): https://americasaves.org/for-savers/make-a-plan-how-to-save-money
• Three archived MFLNPF webinars: Savings Strategies for Non-Savers, Successful Savings Techniques, and Saving Money: Research Insights