SISIP Special

How do you conquer price increases and maintain your lifestyle in 2023?
Whether you’re preparing to relocate for the CAF and looking to refresh your household budget, or trying to ensure you maintain your current lifestyle, check out these tips to beat inflation and maximize every dollar you earn, tailored for military families.
Track your spending
Before you know where you can trim the fat, you want to realize what you’re currently spending money on. Take note of how you spend money each month and where you may be seeing the biggest price increases on household goods and services in 2023. Look for fluctuations in spending. Are there months with a lot of birthdays when you may need more for gifts? Or perhaps you redirect spending when a member is on tour. Childcare costs may increase temporarily, for example, but you find you’re spending less on gas for the cars
Create a budget
People think a budget is restrictive. But having a plan for your money buys you more freedom. Sound cliché? With an accurate plan, you can avoid impulse purchases and consider where to spend less, how to pay down debt more quickly and save money for the future. Tip: Look at hidden costs like subscriptions and auto-payments. Are you using that museum pass or a streaming service, or have you delayed cancelling? Some subscription service providers will allow you to pause temporarily in the summer months or when you’re deployed and unable to take full advantage of the service.
Pay down debt faster
Every CAF member and veteran gets free financial advice through SISIP Financial. Ask your advisor if you’re in a good financial position to pay more than minimum payments on your debt, especially on high-interest loans like credit cards. For mortgages and lines of credit, you could benefit from boosting payments now, especially if you’re locked in at a low payback interest rate. You’ll thank yourself when you renew.
Look for deals on everything
CAF members, veterans and their families get great discounts on travel, gear and more through CF One Member Appreciation. Be sure to take advantage of that. But also look at coupons, apps, retail reward programs, anniversary sales, and price matching. It all adds up. If you think you’re paying too much for telecom or another regular service, consider calling your provider and asking for a better deal.
Invest any “extra” money
CAF members routinely receive temporary or one-off allowances. You may even receive a lump sum of money. Consider taking your per diem, tour pay, spousal separation or deployment allowance and investing in your future. With the right savings plan, you’ll pay less income tax now, keep more money, and watch your savings keep pace with — or even outgrow –inflation. This ensures you don’t fall short if things get more expensive in the months and years to come.
Carefully consider big-ticket purchases
Watch out for lifestyle creep when you get a salary increase or a temporary bump in your monthly income. It’s tempting to buy that new truck or take an expensive vacation. Even with extra cash in hand, it’s important to understand your spending limits so you don’t get overstretched. Ask your SISIP advisor to help you plan for bigger purchases so you can maintain your lifestyle.
Contact SISIP financial counsellor and financial security advisor Dominique Jeaurond by visiting her office in CANEX, or call her 204-765-7121.