1. 45: General Money Management
PURPOSE
STANDARD
BUDGETING
DEBT MANAGEMENT
RESOURCES

2. Purpose Prepare TSM’s for Financial Transition
Must produce A 12 Month Post Separation Budget
Why? Because Its part of the Career Readiness Standards (CRS)

3. Standard Encourage TSM to Save Recommended to have 3-6 Months
Why? Immediate Employment Not
Guaranteed after separated/retired

4. Budgeting It’s A Compilation of Personal Financial Data
Assist in Reaching Goals
Condition Of Individual Or Family

5. Tools
Spending Plan: used to determine the cash flow of an individual or family
Balance Sheet: statement of assets, liabilities, or capital at a particular point in time
Cash Flow Statement: flow of cash in and out of a business

6. Debt Management
Systematic way to help individuals if they are in debt to become debt free
Spread repayments over a period of time, should stop creditor taking legal actions

7. Debt Management To remove debt, individual must put forth the effort
Fleet and Family offers programs but may not be accessible after transition

8. Money Management Resources
Fleet & Family
Command Financial Specialist
Military One Source.com
Navy Marine Corps Relief Society
Annual Credit Report.com

9. Summary Must Produce a 12 month post budget
Encourage TSM to start saving early
Recommended 3-6 months worth of finances saved
Financial Specialist are available to assist TSM’s…Go see them early before its too late

10. 46: Personal Savings & Investment
PURPOSE
SAVINGS ACCOUNT
INVESTMENTS
RESOURCES

11. Explain to TSM the importance of saving and what options are available
Purpose
Explain to TSM the importance of saving and what options are available

12. Savings Account Banks and Credit Unions offer them
Look for an FDIC or NCUA insured bank/credit union
They do not provide a lot of interest earnings
Designed to have money set aside for withdraw when needed

13. Bonds Certificate of Deposits (CD) Stocks Mutual Funds
Investments
Bonds
Certificate of Deposits (CD)
Stocks
Mutual Funds

14. Options U.S. Savings Bonds: Very safe, very modest interest rates
Certificates of Deposit (CDs): Safe (if insured), slightly higher interest rates, and less flexible
Individual stocks: Significant potential for earnings, via dividends and price appreciation, but even greater risk

15. Options Municipal or Corporate Bonds: Higher returns, higher risk
Mutual Funds: A pooled investment in a collection of stocks and bonds; higher potential returns with more risk

16. Potential Return Higher Low Low Risk Higher Individual Stocks
Mutual Funds
Corporate Bonds
US Bonds
CDs
Savings accounts
Low Risk Higher

17. Resources Navy Marine Corps Relief Society Fleet & Family
Save & Invest.com
Military Money.com