Financial Tips for Military Families During Deployment

Deployments are a typical part of military life, and almost every service member will experience one at some point during their career. It can be a fulfilling experience to deploy and serve our country, but it can also generate a lot of stress for our troops, especially when it comes to their finances. However, taking steps to be prepared and effectively managing your finances can help reduce some of this stress. Continue reading for some financial tips for military families dealing with an upcoming deployment.

6 Tips for Managing Your Finances While You’re Deployed

It’s important to manage your finances before and during your deployment so you don’t return home and trade your deployment stress for financial stress. Below, we’ve compiled some tips to help you get a jump start on your financial planning for your upcoming deployment.

1. Take Care of Your Bills

Making sure your bills are paid on time will have a positive impact on your credit score, so you don’t want to make late payments while you’re deployed and busy with other things. Even if you initially have the ability to pay your bills while you’re overseas, things can change and you might not have access to the internet or a device to log into your accounts for some time.

Start thinking about how you’re going to pay your bills. You can set up automatic payments for plenty of different expenses, which will automatically draw the money out of your account on the due date. If you have a spouse, you can also put them in charge of paying your bills while you’re away. Even if you can log in and pay your bills online while you’re overseas, automatic payments or having someone handle it for you will stop you from having to worry about due dates and bill payments

2. Cancel Unused Services

When you’re deployed, there are going to be some services you don’t use. For example, it’s not likely you’ll be using your home internet while you’re away if you live alone, so it’s something you can consider canceling until you get back unless you have a security system that relies on it. Other unused services you may have also include cable TV and streaming subscriptions. If you have a spouse or other dependents living with you, talk to them about what services they may not need or use while you’re away.

You will also want to take a look at your auto policy. You don’t want to cancel it completely, but if your vehicle isn’t going to be used, you will want to make some changes to your policy while it’s in storage. You will also want to keep some of your home utilities, especially your heating and air conditioning. Your pipes can burst in your home if it gets too cold in the winter, and keeping your home cool in the summer will help protect your electronics and furniture.

3. Consider Putting Someone in Charge of Your Finances

You can use a power of attorney to give someone the ability to make financial decisions for you while you’re deployed overseas. Doing this can help take the stress out of paying bills, especially if you have a bill that doesn’t allow you to set up automatic payments.

Make sure you carefully choose the person to whom you’re giving the power of attorney. You want to be sure you trust the person, but you also want to make sure they’re capable and won’t fall behind on making payments for you.

4. Build Your Savings

If you’re saving money while you’re deployed, you should start funneling that money toward a savings account. You’ll want an emergency fund and a savings account for future purchases you plan on making, whether it's a vehicle or a down payment on a home. You can even increase your TSP contributions so you can save more for your retirement.

If you’re deploying to a combat zone or are serving in a Qualified Hazardous Duty Area, you will qualify for the Savings Deposit Program from the DoD. This program helps deployed service members save by giving them access to a high-yield savings account.

5. Take Advantage of the SCRA

The Servicemembers Civil Relief Act (SCRA) offers legal and financial protection to service members and their dependents. You can use the SCRA to get out of a lease or lower interest rates when you’re deploying, which can help you save money while you’re away. As you start planning your finances for your deployment, take a look at the SCRA to see what kind of savings you can benefit from.

6. Set Some Money Aside

During your deployment, you should arrange your finances so you’re working toward your financial goals, which can include paying off debt, increasing your savings, or building an emergency fund. While it’s important to focus on these goals, it’s also important to put a little money aside that you can use when you get home.

Deployments are stressful, and it’s normal to want to have a little bit of fun when you return home. Setting aside some money for this purpose can prevent you from spending your savings or more money than you have when you get back. Generally, somewhere around 10% of any extra income you have during your deployment would be a good amount to set aside for your return, but this will vary depending on your financial situation. Once you get home, you can use the money you saved to relax and have some fun without having to worry about creating any financial stress.

How Military Spouses Can Reduce Financial Stress During Deployment

• Military spouses play a crucial role during deployment by helping our service members maintain their lives at home while they’re away. Part of this responsibility includes managing finances and reducing financial stress so our troops can focus on the battle overseas. Some tips military spouses can follow to help reduce financial stress during a deployment include:
• Stay within budget: If you don’t already have a budget, it’s time to sit down with your partner and create one. Once you have a budget, it’s important to stick with it. Create goals that you want to reach, whether it’s saving for a home, vehicle, a rainy day, or something else. It’s especially important to allocate some savings for emergencies so you don’t go out of your budget if something happens.
• Be on the same page: It’s important to sit down and talk with your spouse about your finances so you can be on the same page, especially with a deployment coming up. You should talk about your financial goals together and start creating a plan so you can reach these goals together.
• Consider opening new accounts: If you share an account with your spouse, or anyone else for that matter, it can be easy to accidentally overdraw the account if you’re not communicating enough about purchases. You may want to consider having a separate account for the deployer so they know the exact balance and don’t have to worry about funds disappearing or being charged with overdraft penalties.
• Automate your finances: You can take some of the stress out of your finances by automating what expenses you can, such as your bills and savings withdrawals. Not having to remember due dates can help reduce the risk of incurring late fees, which can easily add up. You can also worry less each pay period knowing your bills are taken care of, allowing you to focus on your other financial goals.
• Get the right protections: Life is unpredictable, but you can put protections in place to keep your belongings and valuables safe and secure. Renters, homeowners, and auto insurance are some of the most important to get in case something big happens and your belongings need protection. You may also want to consider looking into disaster protection and make sure you have a power of attorney for your spouse while they’re away.
• Join a support group: Deployments are hard on everyone involved, including spouses. It’s okay if you’re struggling with having to deal with the finances on your own along with everything else that comes with deployment. There are plenty of support groups you can join to help you while your spouse is away, allowing you to connect with other spouses who know what you’re going through and can offer their support and advice.

Military Luggage Company Offers Our Support to Our Troops Overseas

At MLC, we understand that a deployment can be stressful, for both our troops and their families. There’s a lot to prepare for and consider, especially when it comes to your finances. Take one step out of your deployment preparations by trusting in our high-quality gear for your upcoming operations. We offer wheeled loadout bags, assault packs, duffles, and more to help you gear up and prepare for your time overseas. We even offer a warrior discount to our service members to help them save while they’re getting their gear. Get started by taking a look at our selection, or contact us if you have any questions.