CHARLESTON AIR FORCE BASE, S.C. –
Whether you're 18 or 48, you and I have something in common: we won't always be on active duty.
As my career comes to end, I want to pass on something crucial I've learned ... have a plan. If I could go back, I would be much more aggressive in my planning. I started putting the following tips into practice halfway through my career. My plan began 10 years ago; yours can start sooner.
Develop and implement a budget
Live on what you make. If you have two incomes, try paying all your bills with one of them. Your total expenditures should not exceed your income. If they do, something's got to go. A budget isn't a purchase restrictor, it's a spending plan. Write down everything you have to pay, then direct your dollars. Money is just money. You have to tell it what to do and where to go.
Eliminate debt
Credit should work for you, not against you. If you currently carry balances, work diligently to pay them off. Start with smaller debts. Then apply those payments to pay others. Before you know it, all of your debt will be gone. It feels great to mark items off your budget. It may take some time, but even small, principal-only payments could shave years off the length of the loan.
Save
Save for things you want. Don't buy it until you can pay for it. Can't think of anything you want? Have some money there for when you do see something you really want. Save for things you can't plan for -- cars break down ... roofs leak. You never know what tomorrow holds, but with something in savings, you will be in a much better position to deal with it.
Invest in your retirement
Don't leave your retirement income entirely up to someone else. Start putting some money into a retirement account now. If you invest $50 each payday (that's two nice dinners) for the next 20 years, at 8 percent interest, your account will be worth $58,861. What's the worst that can happen? You'll have extra money to live on when you retire ... not a bad position to be in.
Education
Get it. With the new GI bill, there is no excuse. No employer will look down on you for completing a course of study and you will never regret getting a degree.
Help others
Be a good steward so you can help meet others' needs. It's wonderful to be the one giving a helping hand instead of looking for one.
You have a dependable employer and outstanding resources at your disposal. Use them wisely. The sooner you begin, the better your position will be when you leave active duty. It's never too early or too late to get started. When your time in the Air Force is finished, you'll be able to walk confidently into the next chapter of your life rather than wonder what in the world you're going to do now.