moneyformilitary

Reposting Against My Will

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 16:08:00 +0000

No one is actually forcing me to write this; however, I slightly disagree with the statement. A brief synopsis is people are using their own bank cards at AAFES and the NEX sponsored stores. Not only do the exchanges lose money on point-of-sale machine fees, they are now complaining that the STAR Card has lost its customer base. A small part of the STAR card's profits are given back to the military. These profits are given back to the military in Moral and Welfare funds. I disagree with some of this because the STAR card is a credit card and the majority of bank cards are being used as a point-of-sale function and not being put on an interest bearing credit account. But here is the article in its entirety and you can choose for yourself. Remember...I never endorse spending money no matter what the end result may be.

Military StarSM Card Strengthens Troops’ Return on Investment

DALLAS –The use of bank-issued cards by troops at their exchanges costs the military community millions of dollars annually that could be directed to Morale, Welfare and Recreation (MWR) efforts.

Last year alone, bank issued card processing expenses at Army & Air Force Exchange Service (AAFES) facilities jumped approximately 12 percent, ultimately sapping more than $65 million from the Exchange and, in turn, critical MWR programs in 2006. Since 2001, AAFES has paid more than $310 million in fees to card issuing banks, resulting in lost revenues for the military community.

“Traditionally, two-thirds of AAFES’ earnings are paid to MWR, while the other third is returned to the military community in the form of improvements, such as technology investments or capital expenditures to enhance the shopping experience,” said AAFES’ Chief Financial Officer Harold Lavender. “With 100 percent of AAFES earnings going back to authorized customers in one way or another, something as seemingly insignificant as credit card processing fees can quickly add up to a quality of life issue.”

One way military families can help reduce costs and strengthen their Exchange benefit is to take advantage of the Exchanges’ exclusive Military StarSM Card. Unlike bank cards, profits generated from the Military StarSM Card are shared with military communities through contributions to the military service's MWR funds. These funds reduce the tax burden of all U.S. citizens, and are used to fund Youth Services, Armed Forces Recreation Centers, aquatic centers post functions and golf courses that are enjoyed by military families across the globe.

“Using the Military StarSM Card is one of the easiest ways for troops to directly impact their Exchange and MWR benefits,” said Lavender. “Reducing these unnecessary expenses can go a long way in maximizing the dividend AAFES annually returns to the military community.”

The Military StarSM Card is accepted at AAFES, Navy, Marine Corps and Coast Guard Exchange activities, as well as the Exchange Catalog and the Exchange Online store at www.aafes.com.

For more information on the Military StarSM Card, visit www.aafes.com and click on the Military StarSM Card icon.

-- 30 --

The Army & Air Force Exchange Service (AAFES) is a joint command of the U.S. Army and U.S. Air Force, and is directed by a Board of Directors who is responsible to the Secretaries of the Army and the Air Force through the Service Chiefs of Staff. AAFES has the dual mission of providing authorized patrons with articles of merchandise and services and of generating non-appropriated fund earnings as a supplemental source of funding for military Morale, Welfare and Recreation (MWR) programs. To find out more about AAFES' history and mission or to view recent press releases please visit our Web site at http://www.aafes.com/pa/default.asp.

No Fee Checkings Accounts

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 16:07:00 +0000

I hope everyone that reads my blog understands that my MAIN philosophy is to not pay any fees. Here is an explanation of what I mean. If you put in $1000 into a savings account earning nothing, than that $1000 will not be able to have the same purchase power in five, ten, or twenty years. You will be indirectly losing money to inflation. That is why saving your money is so important and I'm sure everyone that reads this blog understands this.

Paying fees for checkings or savings, or paying extensive fees for brokerage management, commissions, is also diminishing your purchasing power. If you go to an ATM machine and take out $20, you will be assessed a $1.50 from the ATM machine and $1.50 from your bank. That's $3 just to take out $20; which is a 15% fee. 15% fee and nobody is rioting over that. Imagine if there was a 15% tax on everything you buy.

People are paying maintenance fees, balance inquiry fees, and many others just to do their everyday money business. I switched to USAA checkings because of several reasons.
Try finding internet information about military banking on say...Wells Fargo. There is none. You have to call...that's right...you have to use the telephone.
USAA is only for military members so the whole site is on the internet.
Free checks....FOREVER.
No Annual Fee
No ATM fees and you get refunded up to $15 of other ATM machine fees.
So check your last couple bank statements and see if you have any fees. If you do, switch over to another bank or check out USAA checkings.

Adam Suggests the USAA Cornerstone Strategy Fund (USCRX)

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 16:05:00 +0000

Here is what Adam's comments were the USAA First Start Fund, "I owned this fund for a few years and it was PAINful to say the least. I switched to Cornerstone Strategy Fund, which in my opinion is the best moderate risk fund USAA has. I also owned Capital Growth which did very well for me. I would stay away from First Start though, unless you like losing money."

The Cornerstone Strategy Fund (USCRX) is rated 4-stars by Morningstar. If you look at the first chart given, it shows that the DOW Jones has beaten it over the past five years; however, the USCRX has beat the S&P 500 in the same time period. The expense ratio is 1.17% which is too high, in my opinion. The high expense ratio makes Morningstar look unfavorably on it. The top four holding are all DOW Jones components. The fund percentages are typical of the main-stream herd. 21% of the assets are in financials and 13% is in health care. This is where most mutual funds are turning their assets.

Don't look at this mutual fund to consistently beat the market. I'm a little disappointed at the expense ratio. I have a neutral opinion on this mutual fund. I don't think you will lose money, but I don't think that the high expense ratio will justify the meager gains.

Again, I'm not a certified financial planner or a mutual fund analyst. You should make your decision by reading around and doing your own research.

12 Most Useful Sites for Military Finances

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 16:03:00 +0000

So, I briefed some members of my unit on finances and I showed the a couple sites. I wanted to let everyone know that these sites exist and how to use them for financial planning. Enjoy.

List of websites from finance class (5/23/07)

www.salary.com – Can be used to find out what education you may need for hundreds of jobs and can find the salary you should expect for specific area codes. Start by either entering in the job title or search the “all titles” section and then enter a ZIP code of where you want to work.

https://mypay.dfas.mil – After you log into Mypay, click the federal withholding link. Then click the IRS tax withholding calculator link. Enter in all your information (remember to enter in that we get paid monthly.)

www.myfico.com – This is where you can find out much your credit score can affect purchasing a home or a car. Then click on the “about myfico scores” tab on the middle of the page to find out how to increase your credit score.

www.annualcreditreport.com – If you haven’t received a free credit report in the last 12 months, then you can access it from this website. Or you can find your respective State’s website that allows for one free credit report a year.

www.bankrate.com – This is the Mecca of searching for financial information. You can search the best credit card rates, CD/Savings rates, and anything else. The banks compete with each other to get top listed on this site. So you win by their competition.

www.edmunds.com – This site uses local data to tell you how much “haggle-room” you have when buying a new or used car. It’s ZIP code specific and is almost exact. You can even print this up when you go searching for cars.

www.nada.com – This website will tell you the total amount of a loan that a bank will give you for a car. This IS NOT the value of the car. It is simply how much a bank will finance for each certain car.

www.tsp.gov – This is the information side of the Thrift Savings Plan (TSP). You can actually start it by going to the Mypay site. In the briefing I talked about the L fund. So click the large “L” link, click on the L 2040 (or whatever fund matches your retirement date), and the click the “play” icon to start the graphic that shows you how the L fund will AUTOMATICALLY adjust your money throughout the five funds without you doing anything.

www.morningstar.com – This is the Bible of mutual funds and general stock information. They have an awesome education center that will teach you everything. They have stock and mutual fund screeners that you can search thousands of mutual funds and stocks that meet your criteria.

www.fool.com – In the mediavel days, the only person in the entire kingdom that was allowed to tell the King the truth was the Fool or the Jester. This website “tells-the-truth” to investors. It also has an excellent education center.

www.zillow.com – This site uses advanced calculations to figure (Zestimate) how much homes are worth. You can see the price movement of any house that has an address.

Other useful sites:

www.bloomberg.com

www.realtor.com

Your Fico Score

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 16:02:00 +0000

It's important to know your credit score when you:
Are making a large purchase like a car or house
When applying for a new job
Before moving to a new place; because you will need to get cell phones and other utilities that charge less for good credit scores.
You credit score's most important job is to give you an interest rate depending on your credibility. According to Myfico.com a 500-579 will give you a 9.683% interest rate on your house and a 760-850 will give you a 5.883% interest rate. That's a difference between $2,653 (500-579) monthly payment versus a $1,776 monthly payment (760-850). A difference of $900 a month can be more than a $100,000 over a 30-year time period.

Here is a quick list of the factors of your credit score:

35% is your payment history - How well you've paid on your bills.
30% is the amounts that you owe - Most importantly your capacity (credit limit/balance)
15% is the length of your credit history - How long have you had a source of credit opened.
10% is the amount of new credit sources have been opened - Points go down when applying for new credit.
10% is the types of credit used - Houses, signature loans, and cars are good sources of credit used.
Please go to www.annualcreditreport.com to get your free credit report. Or you can pay on the www.myfico.com site and get a real credit score.

The World's Second Richest Man is no longer Warren Buffet

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 16:01:00 +0000

Well the day that I've feared has finally come. The CEO of Telmex, the telephone operator of mexico has become the world's second richest man, besting Warren Buffett by 700 million dollars according to Forbes. He has gained four billion dollars in four months since Forbes unveiled it's annual list of billionaires. In less than two years, his net worth has gone up by 24 billion dollars. Today is a sad day for me. Give me some love on my site to help me out.

Tanyetta Asks about IRA's...

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 16:00:00 +0000

Tanyetta asked...Can you put money into an IRA and not buy stocks? I just want a place to hold my money, that has good interest, and that i can add to each month. How do you start one? Do I go through my bank, or a place like ING or something?

Tanyetta also asked...Where can I find the most up-to-date information on the TSP and what should I invest in first, the TSP or an IRA?

A Roth IRA is a place to put $4,000 per person ($8,000 for married couples) and have a tax-shelter. The $4,000 you put in is already taxed money. It will grow tax free (because you already paid it out of your income). When you retire at 59 1/2 it will not be taxed. You do not have to buy stocks; however, you are not taking full advantage of the tax benefits. You can start one through your local bank, IND Direct, USAA, or any brokerage.

I would max out my IRA first then contribute to your TSP. So you can put up to $4,000 into a Roth IRA and then another $15,000 into the TSP. Just remember the TSP is before-tax money that grows tax-free. You then pay taxes when you are withdrawing your money. This is called tax-deferred. It's disadvantage is, you will be at a higher tax-bracket when you are withdrawing the money.

For the latest info on TSP, go to www.tsp.gov.

Some advanced stock stuff w/definitions!

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:59:00 +0000

A stock is a share of a company. Once you issue shares on the market, it becomes public, meaning the public owns a part of a company. There is this private equity company called Blackstone. It's a private equity insurance company. It is about to sell shares of it's company; however, they are not voting stock. Blackstone gives very limited information about it, but the information that they do give shows that it has a better profit margin and better operating finances than public companies. If it goes public though, won't that defeat the purpose of being a private equity firm?

Patrick from CashMoneyLife was given a chance to talk to SEC Commissioner Atkins. He asked the question for me and he said he wasn't able to comment on specific stocks. Check out Patricks's site at http://cashmoneylife.com.

Six Countries Lose Imminent Danger Pay

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:58:00 +0000

Imminent danger pay is currently $225 a month. Here is a list of the six countries that are losing their imminent danger pay.

Bosnia-Herzegovenia
Angola
Georgia (the country not the state: )
Sierra Leonne
Croatia
Macedonia
Some of the countries will recieve higher hardship pay (from $100 to $150). This will only affect a small amount of soldiers...a small amount compared to the total force. This is just another survey/annual check/adjustment to military pay that will start to affect everyone soon. The military is cutting back and trying to save money anywhere it can.

I can't stress the importance of saving your money and increasing your disposable income. If you lost $225 a month, in imminent danger pay, and your hardship pay only went up by $50, you are still losing $175. It sounds sad but some people can't afford a loss of $175. Reducing your debt is the best way to prepare for something this bad. Having an emergency fund will also help.

First Step in Financial Freedom

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:56:00 +0000

Everyone that starts their personal finance track always wants to either start with debt consolidation or straight to investing. But people have to remember that their pre-investing steps are just as important as reducing debt or actual investing. The first step in any financial plan is to have appropriate insurance coverage. Damages to your health, your car, or your house can erase years of saving and financial planning very quickly. The results of not having appropriate insurance can be disastrous.

You need to have the correct amount of insurance for your life, home, and auto insurance. You don't want to be over insured or underinsured. Thanks to the internet you can search on hundreds of sites for Home Owner Insurance Quotes, or auto insurance quotes, or even life insurance quotes. However, being in the military usually it's best to take advantage of the SGLI. Some (most) life insurance companies won't cover us in a time-of-war. Make sure you look at the specific state you are going to be stationed at when comparing prices. Don't use nation-wide averages because different states have different requirements such as flood, tornado, and earthquake premiums. So if you are going to be stationed at Davis-Mothan AFB, AZ, just look at Arizona Insurance Quotes or if you are going to Nellis AFB, check out only Nevada Insurance Quotes.

If you need any help evaluating your current insurance coverage please let me know. I bet that almost everyone reading this doesn't have the appropriate insurance in one category or another.

Disclaimer: The linked sites are from an advertiser. The links provided are paid for links. There are numerous sites in which to find insurance quotes and that paid one given is just one of the many to go to.

USAA offers free advice for TSGLI recipients

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:50:00 +0000

USAA recently contacted me and wanted me to tell my readers about the free financial advice for TSGLI recipients; whether you are a USAA member or not. Remember USAA is the financial institution for Armed Forces personnel by former armed forces personnel. It's kind of like my website slogan..."A financial blog to help military members with their finances, created by a military member." Here is the e-mail:

Brandon
First, I wanted to thank you for your service. I truly and sincerely appreciate what you and other Vets have done to preserve our freedom and our way of life.

I’m reaching out you because I’m hoping you’ll tell Money for Military readers about a new program at USAA to help the men and women who receive Traumatic Servicemembers Group Life Insurance (TSGLI). As you probably know, TSGLI is the government program that provides servicemembers a one-time, lump sum payment of $25,000-$100,000 for certain injuries sustained in the line of duty. In a nutshell, USAA’s salaried financial advisors will provide free, impartial financial advice to anyone who received TSGLI – whether they are a USAA member or not.
All a TSGLI recipient has to do is call USAA’s Financial Advice Center at 1-800-645-1641 and tell the advisor that they received TSGLI. Depending on the complexity of the situation, the advisor will either offer them free advice on the spot, or set them up with a more comprehensive, free financial planning session.
Why is USAA doing this? Simple – USAA is committed to serving the men and women who defend our freedom. The people who receive TSGLI are a special breed of heroes – they’ve sacrificed in ways that most of us can never comprehend. The very least USAA can do is help those brave men and women make responsible financial decisions. But they have to take the first step and call the Financial Advice Center at 1-800-645-1641.
If you’d like to discuss this further, please let me know. And of course, you can repost this email – I would just ask you leave my contact information off of it.
Thanks again for all you do
Mike

And the follow up e-mail:

And thank you – I can not tell you how much I personally appreciate your assistance in helping get the word out because this is something I am passionate about. I did some volunteer work with wounded Soldiers @ BAMC, and started hearing about these 18 year old kids who lost their legs just burning all their TSGLI money on plasma screen TVs, MP3 players, etc… $100k is a lot of money, but it can go fast…and we already have too many homeless Vietnam Vets. I’m an Afghanistan Vet myself, and I look at these wounded guys and gals as my brothers and sisters, and you take care of your family. The easy part was making this happen – a lot of people moved very quickly to make it possible for TSGLI recipients to get free financial advice. The tough part, however, is reaching these TSGLI recipients, and that’s why I appreciate folks like you who will help spread the word to our nation’s heroes.

Emergency Savings and Options

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:48:00 +0000

No matter how hard you plan you will always have an emergency. I've always said on my post that you should have three-to-six months of expenses saved up in a high-yield savings account (i.e. http://www.ingdirect.com/). What if you haven't listened to this conventional wisdom and you do have an emergency? Here are some options in order of financial prudence.

Use your military aid society. For qualifying financial difficulties, the four military aid societies can give you interest-free loans that you can payback. There are also loans that you don't have to payback. Army - Army Emergency Relief Air Force - Air Force Aid Society Coast Guard - Coast Guard Mutual Assistance
Navy/Marine - Navy and Marine Corps Relief Society

Depending on your credit rating, you can get a signature loan from your bank. A signature loan is a loan from a bank for a small amount (the amount depends on your credit history). The only thing that you have to have for collateral is your signature. These are interest-bearing loans but they are generally cheaper than a credit card.

The last resort you can use, is a pay-day loan. Pay-day loans are loans taken on your next paycheck that you pay interest on. The interest is generally high and they should only be used as a last resort. You can check out http://www.nationalpayday.com/. They've personally contacted me and we've talked about the risks of these payday loans and they understand where I come from.

Some people might be confused that I'm telling people to get emergency funds from a signature loan or even a payday loan. Financial responsibility is important in the military. If you can responsibly get one of these interest loans and bounce back from an emergency then you will not have to worry about military punishment. The worst part scenario is this. You have an emergency, you can't bounce back, and then your get punished by the military by losing rank or getting kicked out. You will have even less money. If you are reading this you should not be thinking about these options, you should be thinking about saving for an emergency fund.

Armed Forces Tax Payer Information

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:47:00 +0000

It's April now. You are only two weeks away from filing your taxes. Before you do please check out the IRS Fact Sheet for Tax Payers in the Armed Forces. IRS Fact Sheet 2003-11 provides important information that you may need when filing your federal taxes. The first part is exclusions.

Exclusions are income that you can exclude from pay taxes on. When you receive income in a combat zone, you are allowed to exclude that from your pay.

You are also allowed extensions.

Extensions are granted to military members when they are deployed or have been in continous hospitilization due to a deployement.

But most people want to know where the combat zones are located, according to the IRS. If you check out the fact sheet, there is a comprehensive list of all the applicable combat zones.

http://www.irs.gov/newsroom/article/0,,id=108525,00.html

TSGLI Further Explaination

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:43:00 +0000

On my last post, USAA contacted and wanted me to tell everyone that USAA offers free financial advice/consultation for people who have received TSGLI. You don't even have to be a member of USAA to get the financial guidance. I didn't tell everyone what the TSGLI was.

TSGLI - Traumatic Servicemember's Group Life Insurance
As of December 1, 2005 if you are enrolled in SGLI you are automatically enrolled in TSGLI. The normal SGLI only covers you for life insurance...so the only way to collect is to die. TSGLI is an additional insurance that will pay you for traumatic damages that happened during your military service. Some payments are from $25,000 to $100,000. (Source: Department of Veteran's Affairs http://www.insurance.va.gov/sgliSite/TSGLI/TSGLI.htm)

Here is a link to the listing for different payouts. For example, "Total and Permanent Loss of Sight in Both Eyes," will pay out "$100,000."

USAA wanted me to tell everyone that most people receiving the TSGLI are wasting it on big screen TV's and cars and stuff. USAA wants to ensure that everyone receiving TSGLI knows the proper way to handle a windfall of cash and the possibilities of saving that money and making a lot more. Thanks Dimes for reminding to explain TSGLI in more detail.

A Raise in the Military?

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:42:00 +0000

All of us military members know that the only way to get a raise is to get promoted or wait for the annual and bi-annual raises. These are often small and don't really do anything besides keep up with inflation. The only real way to get a raise, in the military, is to increase your disposable income.

Disposable income is money that you throw away. Just Kidding! Your disposable income is what's left after you pay all of your bills. The only way to increase your disposable income is to pay off bills. Ever since I started this blog I have been telling everyone to pay off your debts. Here is an example of getting a raise by increasing your disposable income.

You get $1000 a paycheck, $2000 a month. After all of your bills you have $250 left each paycheck or $500 each month. If you have a $50 a month credit card bill and pay it off, you theoretically got a $50 a month increase in your pay. Most people don't think like that. That is how you have to start thinking. What's the use of getting paid $100,000 a year if you have $95,000 in debt a year (due to mortgages, car payments, and credit card bills.)? If you are making only $20,000 a year and you only have $10,000 in debt a year (maybe rent/utilities).

For complicated-financial language, this is called your income/debt ratio. The more income you have the higher the ratio. The more debt you have, the lower the ratio.

MyTroops.com

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:41:00 +0000

I was just contacted one of the owners of www.MyTroops.com. A former infantry Army guardsman started this website after he deployed. His wife also runs the site, contacted me and wanted me to tell everyone about it.

On the homepage, you can register a troop that is deployed or you can shop at respected/well-known stores; i.e. Target, Kids'R'Us, and others. You can save on products using their coupons at over 80 stores. The companies that you buy stuff from will pay a commision to a deployed troop. Troops that are deployed will receive "gift certificates for gears, toys, flowers, and more." Check it out and tell me what you think.

Disclaimer: I was not paid for this site. I was actually contacted by one of the owners and I actually checked out the site. They are doing a great service to deployed "Soldiers, Sailors, Airmen, Marines, & Coast Guardsmen." Check it out!

Free Access to the Rosetta Stone Software for Air Force

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:40:00 +0000

Some MAJCOM's in the Air Force are offering free access to the Rosetta Stone software. If you go to the library you can get a free username and password. The software that ACC offers has all 30 languages. The Rosetta Stone software is the premium software in learning a new language right now. Brand new, the software costs around $250 or more. Please go to your local on-base library and ask if they offer the Rosetta Stone software for free. I know that USAFE and ACC have it for sure. USAFE had a four week wait time two months ago. Check it out.

The Chief of Staff of the Air Force said that military members must try to learn other languages to be better cultured. I agree with this statement. I think the biggest problem in Iraq is our inability to understand the Islamic culture in Iraq. Islam is different in every country and every city. You can't use a one size fits all approach. We must learn their language and their culture.

Book Review: The Automatic Millionaire by David Bach

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:39:00 +0000

This book is basically just a reincarnate of what I've been saying for the past five years. I really like how the book is very action orientated. I really feel that most people just need to start. Start doing something and this book is written in the layman's terms. Here are some notes that I got.

"Homeowners get rich; renters stay poor."

"Put aside a few dollard for yourself, THEN pay all your other bills."

"...so many people waste big money on small things." I call this the Wal-mart principle. A lot of inexpensive things are expensive. (That's a Money for Military quote right there).

"The problem isn't how much you earn...it's how much you spend."

Some of the time-value principles don't take in effect that inflation has on eating away at your nest egg. His models and graphs do not take into affect inflation.

He suggests putting fifty percent of your savings into eating away debt. I would put more like 75%. Being debt-free is better than having money saved away.

He used the DOLP (Dead on Last Payment) factor for paying off credit cards. I disagree. I always suggest paying off the smallest balance first and then move to the next smallest balance. You will create a snow-ball affect.

Please use the provided link and purchase this great book. Actually try to do some of the things that he recommends.

USAA Mutual Funds

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:30:00 +0000

I recently did a post about USAA mutual funds. I recommended that people should open up an IRA and put it into some USAA mutual funds. Upon further research I realize that the USAA mutual funds aren't that great compared to their peers. Even their expense ratios are pretty high for being a bank dedicated to the military members. This is just an initial opinion. Check them out yourself by going to www.morningstar.com. I've noticed that on the USAA mutual fund page, they don't offer the ticker symbols. Here are they are:
Aggressive Growth: USAVX
CA Bond: USCBX
Cornerstone Strategy: USCRX
Extended Market Index: USMIX
FL Tax-Free Income: UFLTX
Balanced Strategy: USBSX
Capital Growth: USCGX
Emerging Markets: USEMX
First Start Growth: UFSGX
GNMA: USGNX
Growth: USAAX
Growth and Tax Strategy: USBCX
Income: USAIX
Intermediate-term bond: USIBX
NASDAQ-100 Index: USNQX
Growth and Income: USGRX
High-Yield Opportunities: USHYX
Income Stock: USISX
International: USIFX
NY Bond: USNYX
Precious Metals and Minerals: USAGX
Science and Technology: USSCX
Small-Cap Stock: USCAX
Tax-Exempt Long Term: USTEX
Total Return Strategy: USTRX
S&P 500 Index Member: USSPX
Short-term Bond: USSBX
Tax-Exempt Intermediate-term: USATX
Tax-Exempt Short Term: USSTX
VA Bond: USVAX
Value: UVALX
World Growth: USAWX

Thrift Savings Plan (TSP) Contributions Change

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:12:00 +0000

In 2007, the TSP-maximum contribution will now be $15,500, up $500, from $15,000. This will now match the 401 (k) maximum limit. This is important because of the fact that Social Security won't be lasting any longer. Here is the original message:

Nov. 30, 2006

Release No. 098

Thrift investment board sets 2007 TSP contribution limitsRANDOLPH AIR FORCE BASE, Texas - The Federal Retirement Thrift Investment Board has announced a $500 increase in regular Thrift Savings Plan contributions to $15,500 for 2007 elective deferral maximum contributions.

Contributions for the catch-up plan will remain at the same $5,000 limit set in 2006.

"TSP is a long-term retirement savings plan, which everyone should consider," said Janet Thomas, a human resources specialist at the Air Force Personnel Center here. "It's a great supplement to military and civilian retirement plans."

TSP offers investors the chance for lower taxes each year they contribute, and taxes are deferred until the employee withdraws the account after retirement."

Investment money is deposited directly from each paycheck so you never have to think about it. That makes it easy to 'pay yourself first' while only investing what you deem appropriate," said Ms. Thomas.

Catch-up contributions are additional tax-deferred contributions, separate from regular TSP contributions. For those who are eligible, catch-up contributions provide a way for individuals to secure their retirement if they began investing late in life.

To be eligible for catch-up contributions, civilian and military employees must be age 50 or older in the year in which the first deduction from pay occurs, be in a pay status and must be able tocertify they will make (or have made) the maximum "regular" employee contributions of $15,500 to a TSP or other eligible account by the end of 2007. The "other" type of eligible account could be a uniformed services TSP account or another eligible employer plan, such as a401(k). Employees must also not be in the six-month non-contribution period following a financial hardship in-service withdrawal.

Catch-up contributions automatically stop with the last pay date in the calendar year or upon reaching the maximum catch-up dollar limit for the year, whichever comes first. Eligible employees must submit a new election for each year they wish to participate.

Regular TSP contributions stop when an employee's contributions reach the annual maximum limit and then automatically resume the next calendar year.

Investing in TSP is not limited to stocks. People can choose safer government securities or invest in the Lifecycle Funds.

Some specifics of the program include:

Military

-- May contribute any whole percentage of basic pay, as long as the annual total of tax-deferred investment doesn't exceed $15,500 for 2007. May also invest all or part of bonuses, special pay or incentive pay, as long as the member contributes from basic pay. Members may enroll in December; however, requested actions will not update until Jan. 1

.-- Those serving in tax-free combat zones are allowed up to $45,000 in annual contributions for 2007. The $45,000 total includes the tax-exempt combat zone contributions and the regular deferred contributions.

-- Military members can enroll or change their regular TSP contribution amount through the Defense Finance and Accounting Service Web site athttps://mypay.dfas.mil/mypay.aspx <https://mypay.dfas.mil/mypay.aspx> or by filling out a form TSP-U-1 Election Form at local militarypersonnel flights and finance offices.

-- Eligible members can enroll to make catch-up contributions at local military personnel flights and finance offices by filling out a Form TSP-U-1-C, TSP Catch-Up Contribution Election.

-- Contribution allocations (how an employee chooses to invest money among the investment funds) can be made by calling the TSP automated ThriftLine (877) 968-3778 for employees in the United States, the Virgin Islands, Puerto Rico, Guam, American Samoa and Canada; employees elsewhere should call (404) 233-4400 or logging onto the TSP web site at http://www.tsp.gov <http://www.tsp.gov> via their Account Access.

-- For general TSP questions, call the Air Force Personnel Center at (800) 616-3775 (press 1, press 1, press 1, and follow the prompts).-- Additional information about TSP, both regular and catch-up, is available on the TSP Web site. The TSP booklet "Summary of the Thrift Savings Plan" is also a good source of information. It is located on the TSP Web site under uniformed services TSP Forms and Publications.

Extreme Saver: Electronics Edition

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:06:00 +0000

So today I was walking at the BX and I was trying not to buy anything. I saw a stand selling SABRE electronics. There was a DVD player for only $24.99. I picked it up and it worked fine. It's even 220 compatible. The box it comes in says, "Built for the men, women, and families of the U.S. Armed Forces." I'm assuming this is the AAFES select electronics product. I can't find any reviews for this product on the internet.

I'm going to add a tracker to my site for the life of this thing. I had a normal DVD player (normal = expensive) and it broke a couple of weeks ago. It was my bedroom DVD player and it really sucked using my portable DVD player.

Has anyone else had any experiences with SABRE electronics? Is anyone jealous that I have a $24.99 DVD player? There is also a $34.99 with HDMI conversion.

I don't have any experience with SABRE electronics, but a DVD player at about $25 seems like a deal and if it broke within a year I wouldn't feel robbed. It's just $25, I feel some products don't have to be name brand. It's a good way to save a little bit.

I think you bought a lemon before. I think for the most part DVD players last longer then a month. The one I got my parents that came with speakers that sound really hot was less than $90 a walmart. Sometimes I think the NEX is a ripoff besides not paying taxes on goods. It all depends on what you are buying and in your case a $25 DVD with an unkown brand name sounds suspicious and you get what you pay for. - finance ninja

I don't necessarily agree with you get what you pay for with electronics. I'm a big SONY hater because of the outrageous prices. I'm hoping this DVD player lasts a long time. Thanks for the comments.

SABRE is an AAFES brand. It is made by a "famous" electronics maker that is unnamed. Because it is a "generic" brand the cost is much lower because you aren't paying for the advertising and marketing like you do with any name brand. I just bought the HDMI player but haven't hooked up the HDMI cable so I haven't been able to compare the regular picture with the upconverted picture. I can tell you the directions leave a lot to be desired. It appears that the remote is universal but there are no directions on how to configure it.

I'm curious to hear how this DVD player worked out for you. Also has anyone hear anything regarding the Sabre TVs that AAFES is selling?

thanks!

I received the HDMI Conversion DVD player yesterday as a gift. I am very anxious to see how the HDMI works!

Hows the DVD player so far?

Here is the website-- they have links to FAQs about their product there. http://sabrece.com/ I wouldn't discount this brand, since AAFES usually contracts with some of the better companies for their generic products.In the past they sold a Nike running shoe under their house brand. I purchased the HDMI DVD player and will see how it holds up.. On one of the links it talks about how their remote is not compatible with universal remotes, but gives some info...

Just picked up the HDMI version. I dont have HiDef but it was cheap, er, inexpensive. Only problem was when I hooked it up I had to change it to NTSC while it was out of sync. That was a challenge. I hope that is the only problem we have.

I am an AAFES associate in the Power Zone for one of the S.E. region stores. Sabre plasma & LCD TVs are manufactured by Philips/LG. The remote control for the DVH300BKA (the one with the HDMI output) IS NOT universal. I too purchased this DVD player and for the time being use the component video output cables since my TV isn't HD with HDMI. There is a noticeable (good) difference in the picture quality compared to the Apex unit I was using before. The Sabre DVH300BKA has 720p/1080i video output capability. Don't be swayed by the fact it is made in China. If you look at all the other DVD players out there now the are made in China, too. The big name companies these days only design the products and have some plant in China slap them all together. All DVD players are mass produced in large numbers so you can expect to see bad apples out there from time to time even with the big name brands. BTW, some of the DHV300BKA DVD players actually have the HDMI cables with them even though they are not supposed to be included in the boxes. If you bought one and it did have the cable with it then consider yourself lucky.

I have a 26" lcd tv and cannot get a code so I can program my remote from direct tv remote to tv. What's the deal . I do like the tv!!!!!!

No complaints here. My Sabre DVD (DVH300BKA) player is fantastic. The remote works from at least 50ft away (that's as far as I can test it based on room size). Up-converted picture quality is outstanding. I must say that I have optimal equipment to use it on. JVC 46 inch 1080P with HDMI inputs. Only prob is guessing the remote code to program other remotes. Anyone know model type to base the Sabre on? I read Philips/LG, but no codes work so far.
The current Sabre product in the AAFES exchanges appears to be quality product and although there are no codes for the remotes, I called technical service and they sent me a learning remote for free that will operate both my TV and DVD player. VERY COOL!

By the way, I've heard from multiple sources that DirecTV locks their codes so you can't use another remote usually, unless you get an expensive harmony remote that downloads the newest codes from the internet.

Overall two thumbs up on Sabre from AAFES!!!

Slow and Steady Wins the Race!

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 15:02:00 +0000

Warren Buffett, the man I try to model my investing style by, has claimed the World's Richest Man billet. Too many people focus on short-term results and ignore the power of long-term investing. He is estimated to be worth 68 billion dollars; a 10 billion dollar increase from last year. His "A" class shares hit an all time high of $150,000 a share. The "B" shares will always be rought 1/30 of the "A" shares. Read more here: full story.

Credit Repair

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 14:59:00 +0000

How many readers out there wish they could erase bad credit? Having bad credit can severely impact your military career. Most security clearances are disapproved because of credit problems. I'm a security manager and I see that credit is always the reason why people can't get the appropriate clearance. If you need bad credit repair you can Google "free credit repair" or go to Legacy Legal or any other similar site. These sites can give you great information on how to get your credit back in order. Some people's credit problems are really severe and can only be helped using legal credit repair.

You need to be thinking about repairing your credit before you need it. Time is a fundamental factor in fixing credit and building credit. Even after you fix things on your credit history, you will still need time to affect your credit ratings.

It takes a millions times faster to build up massive debt then it does to pay it off. I'm an E-5 and I can get $25,000 in debt in a month. I don't even make $25,000 when I live on base. So I can see how people might need credit repair. The first thing you need to do is TO DO SOMETHING. The more time you wait, the worse it gets.

ING Direct Contest First Prize is $10,000

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 14:57:00 +0000

I entered the ING Direct, Adventures on the Road to Happiness contest. The goal is to write a 250 word essay. I wrote mine about how my family handled their money poorly and how it has driven me to start saving my money. You have to sumbit a photo too. I submitted one with my family all wearing orange shirts. My oldest son was making the picture difficult. However, we pressed through and have an adorable picture. The submissions have to be submitted no later than 31 Aug.

Wish me luck!
http://www.roadtohappinesscontest.com/

If you would like to open an ING Direct Savings Account, please e-mail me. Thanks.

Money for Military in the Blogosphere

noreply@blogger.com (Todor slavkov) — Wed, 14 May 2014 14:54:00 +0000

I was talked about today on Money Walks. Here is what he said.

"Money for Military wrote an article titled, Military Taxes Refund. He makes a very good point, why should we let the government keep our hard earned money and let them invest in it, while we could be using that for our own purposes and own investments. Although huge refunds always results in huge smiles, we need to realize…that’s our own money. Key point: try to pay just enough taxes to come out even!"

Check out his site.