Ten Financial Commandments Part I

Well, here are ten good rules that someone might considering follow to achieve financial freedom and also not waste an important asset, money.

1.Thou shalt not buy things before having the money. Many us think that we can pay for it later, so we buy it with our credit cards. Then, when the bill comes we are worried how we are going pay for it. We have several sleepless nights and finally decide to make the minimum payment and then we start ourselves down the path of credit card debt.

2.Thou shalt not put money first.Even though we may have several money problems, I have seen far too many divorces over the fact that people are not spending time together. Money should not be the first priority. Spending time together with people we love can change our atitude towards money. I have always enjoyed what Suzie Orman says after each show. People first, then money, then things.

3.Thou shalt make constant contribution to an Roth IRA. Roth IRAs are an important part of our retirement plans. Most of us in the military are under the income limits for Roth IRAs. Single filers: Up to $99,000 (to qualify for a full contribution); $99,000-$114,000 (to be eligible for a partial contribution. Joint filers: Up to $156,000 (to qualify for a full contribution); $156,000-$166,000 (to be eligible for a partial contribution. Also, this is important to contribute to just in case we decide that 20 years in the military is not for us. A least we will have sometype of retirement plan in place if we contribute to this faithfully. See Roth IRA contributions


4.Thou shalt not waste money. Sometimes we do stupid things with our money. Sometimes we forget to put money in our checking accounts or do not have enough money in them so we go ahead and write a check hoping that next pay check will cover the expenses. Before you know it you have a bounced check. Most of the time, these fees are around $15-$50 per occurrence. There are numerous fees out there (like ATMS) that penalize us for our forgetfulness or our instant need for money.

5. Thou shalt talk with parents about financial matters. It is kind of taboo to talk with our parents about money matters. Sometimes, they provide us with good advice and other times not so good. However, the most important thing we need to do is have a chat with them about their financial situation. Sometimes, you'll find they are not doing so well In short talk with your family about these matters.