During the summer, I am often trying to find fun low-cost activities to keep my kids busy and have fun as a family. This summer, I found out about an amazing offer to military families. An organization called Blue Star Families has an initiative with the National Endowment for the Arts that provides free admission to hundreds of museums all over the United States. I learned that this offer is open every summer from Memorial Day through Labor Day and that in addition, many museums continue to welcome military families at no cost throughout the entire year.

There is an easy to browse through list of participating museums at www.bluestarfam.org Museums that are part of the program simply require you to show a military ID and you get admission for the service person as well as all dependents. We live near Chicago and my family took advantage of admission to the Morton Arboretum, the Dupage Children’s Museum and the Chicago Children’s Museum. I was amazed at the generosity of the participating museums and we look forward to utilizing the program next summer as well!

In addition to the Blue Star Museums initiative, the Blue Star Family organization provides numerous resources for Military families. According to the website, the mission of the organization is to “Support, Connect and Empower Military Families.” The website truly should be utilized by all military families. There is an extensive list of helpful links and resources with all things related to the military. There is an outstanding list of national U.S. Companies that provide deals and discounts to military families. Another useful link on the website is a list of college scholarship opportunities available to members of the military as well as spouses and dependents.

In addition to the helpful resources, Blue Star families have several other amazing programs. Books on base is another recent Blue Star initiative that sounds fantastic. Through sponsors and donors, the organization is providing books and reading material to military children living on post, or attending schools that have a lot of military families. Individual families can request that their child be a recipient by going to Blue Star website. There is also a program called “Operation Appreciation” where letters can be sent to show appreciation to military members as well as families.

If you are a military spouse, you should definitely check out www.bluestarfam.org for resources and to start taking advantage of the excellent programs in place to support military families!

It is known that dealing with a deployment can be an huge source of stress on families. It is also commonly known that exercise is a fantastic way to reduce stress. So, it makes sense that going to the gym while your loved one is deployed can be not only be great for your body but it is a fantastic way to feel better about yourself and improve your mental health.

If you live near a military post, you can take advantage of the MWR (morale, welfare and recreation center). But if you are a National Guard or Reserve family, you may not have that option. But thankfully, the Department of Defense and the YMCA have partnered together in the YMCA Military Outreach program. YMCA’s throughout the United States and Puerto Rico are offering free memberships to National Guard and Reserve families while their sponsor is deployed. In addition, they offer free memberships to active duty families that relocate away from a military post during the deployment. In order to take advantage of this program, you simply show a military ID, a copy of deployment orders and bring the following form to your local YMCA: http://www.militaryonesource.com/Portals/0/Content/Forms/YMCAeligibilityform.doc.

With a free membership you can use all of the fitness facilities including the pool. Many facilities also offer rock climbing walls, outdoor field use and fantastic members only events. In addition, you receive the reduced member rate on all class and activity enrollment fees for yourself and your children. Another great feature of the YMCA is that they offer free childcare for up to two hours while parents work out.

During my husband’s most recent deployment I took full advantage of the YMCA program with my children. It truly made all of us happier to go to the Y a few times a week. I was able to take a break and do something good for myself by working out and my kids had a blast playing in the Kidzone. We all loved playing in the pool together and my kids were able to take swim lessons and join sports leagues. I truly believe that the distraction of having fun together helped all of us cope with my husband being gone. The YMCA Military Outreach program is outstanding and something that military families should take advantage of!

One of the major benefits of joining the military as an active duty soldier is the family medical coverage through Tricare and access to zero cost prescriptions at any Military Treatment Facility (MTF).  In addition, any time a National Guard or Reserve soldier is on orders for thirty days or more, he or she is also eligible for these benefits.

Great Resource for National Guard Families

As an Army National Guard wife of ten years, my husband has spent almost a third of his time on active duty status due to deployments, schools and time spent in recruiting.  But in all the time he’s been on active duty, we have not lived anywhere near an Army post and therefore have not had access to a Military Treatment Facility.  Tricare members may use a traditional drugstore pharmacy to fill prescriptions but depending on the types of prescriptions a family needs, the prices can really add up.  Over time, I’ve heard the common complaint of military families saying that prescriptions cost way too much if you are not able to fill them on post.

What is Express Scripts?

A great way to save money on prescriptions if you are covered through Tricare but do not live near a MTF is to use Tricare’s mail order pharmacy: Express Scripts.   Basically, it costs 1/3 of the price to get prescriptions filled. You can order a 90 day supply of a prescription for the same cost as you would pay for a 30 day supply at a drugstore pharmacy.   Even more exciting news is that as of October 1, Express Scripts is offering generics at no cost!

How Do I Sign Up?

Using Express Scripts is very easy to do.  Simply go to www.express-scripts.com to set up a family account.  Once an account is set up all you have to do is print a form and take it with you to the doctor.  The doctor can fill out the prescription section and fax it directly to Express Scripts to fill your order.  If you go to an appointment without the pre-printed form, you can also send a traditional doctor prescription note to Express Scripts in the mail. The company works very quickly to get orders sent out in just a few days.  Another benefit is that you will get email reminders sent to you when it is time to refill a prescription every 90 days.

My family has used the mail order pharmacy program whenever my husband has been on active duty orders.  We have saved a lot of money over the years by using this service.  The only downside is that you have to wait a few days to get your order in the mail so it is not always convenient when someone is sick and needs their medication right away.  But, for anything that is taken on a regular basis I would absolutely recommend Express Scripts!

The Army identification card is issued to the Army member at the same time as his dependents, which is typically his wife and children. Army identification cards are only issued to children who are 10 years or older if they’re living together with the soldier. If the soldier only has partial custody, it is possible the child shall be issued a military ID before the age of 10.

There are plenty of advantages for the military ID card. While the cards are being modified to not involve the social security number of dependents, it nevertheless includes a large amount of personal information, a lot like a driver’s license. It is important to secure the card and never misplace it.

Identification. Not surprisingly, the principle purpose with the card should be to identify the Army member and his dependents. The Army member may also be able to use his card to for accessibility purposes on certain government computers and programs.

Accessibility. The Army ID card will be requested if you are purchasing in the commissary, exchange or other areas on a military post. It could also be requested in case you are making use of the fitness center or other post facilities. In addition, the gate guards will ask for this after you attempt to drive on post. In case you are on post, you should generally have your military ID card ready.

Insurance. Tricare does send separate insurance cards if requested but most military members and dependents use their ID card to serve as their insurance card as it has the pertinent facts on the card.

Discounts. On several occasions, the military ID card will entitle the cardholder to military discounts and also other advantages at retail institutions or entertainment venues. It continually pays to ask about military discounts that happen to be offered.

Your military ID does generally has an expiration date but doesn’t need to be updated every time there’s a modification in rank.

Rumor:

My soldier has to wait four to six weeks to receive his first paycheck but I’ve heard there are ways to get around it.

Fact:

Unfortunately, this rumor is generally true as the first paycheck typically does take four to six weeks to arrive. It depends on when in the pay cycle he begins basic training, if he has all of the necessary paperwork completed and how fast they process the paperwork.

In most situations, he will receive his first paycheck within two pay cycles of starting basic training (not arriving there). However, I always tell everyone to be prepared for six weeks just in case.

Some people have emailed me to say they heard that the recruiter can speed up the paycheck process and help him get it faster – FALSE. The recruiter doesn’t have anything to do with him getting paid.

Some have said if they complete all of the paperwork ahead of time, he will get paid faster – FALSE. While this does help and ensures mistakes are not made on the paperwork, having the paperwork completed before he arrives will not speed up the process. However, it is a good idea to have all of this information gathered up before he leaves so he has what he needs.

Typically, there is enough time between him leaving his current job and enlisting in the Army to set up a plan to avoid financial hardship while waiting for his first paycheck. Calling his commanding officer will not speed up the process or help out your soldier. If all else fails, call your creditors and let them know the situation. They are much more understanding if you make the call versus waiting to be called about a late bill.

Good luck!

This is a guest post by Robert Stretch of VA Benefit Blog.

Military veterans and active duty service members have long reaped the benefits of an easy mortgage process, thanks to the Department of Veterans Affairs VA home loan program, which provides mortgages to veterans and active duty service members at low interest rates even if the borrower has a low credit score or little to no cash for a down payment.

However, thanks in part to a shaky economy and increased lending regulations, mortgages have become more difficult to obtain and subject to more intense financial scrutiny and it seems that VA loans have fallen victim to many of the same cutbacks as traditional loan programs.

Lenders will still be providing VA loans, even to those borrowers who take advantage of the zero down payment option, but the credit score requirements have gotten much more stringent in recent years.

Major lenders like JPMorgan Chase, Citigroup, and Bank of America typically do not provide VA loans to applicants who have credit scores below 610. Wells Fargo is even more strict, with a cutoff score of 600 (the average credit score for all borrowers is 750, while the average for VA loans is 700).

These credit score policies also apply to the Streamline Refinance program, which allows borrowers with a current VA loan to refinance into another VA loan with very little paperwork (and as a result, less money due to fewer fees, etc). However, for the first time, many lenders are requiring borrowers to pay for an appraisal during the streamlined refinance process, which costs at least $300. If the appraisal of the home results in a finding that the loan value is higher than the home value, the application will most likely be rejected.

As a result of the new trend towards tighter lending requirements, total VA loan volume has fallen in 2010 while the country’s overall loan volume has risen nearly 20%. While increasingly rigorous lending regulation is perhaps an inevitability following a period of “anything goes” lending as we saw in the early part of the decade, it’s important to note that the overall default rate for VA loans is lower than any other mortgage program at around 2.6% of all VA loans made, which indicates that perhaps VA loans do not represent the risk lenders believe they might.

Sources:

NY Times, Saving to Invest, Las Vegas Sun, Stock Markets Review, Provident Plan

This new policy officially went into effect in October but I’m finding more and more people who aren’t aware of it. Just recently, I sat in on a blogger’s roundtable that gave more information about the policy and also allowed us to hear personal stories from soldiers who had utilized the policy.

In the past, it was up to the command to grant leave to soldier who became a father. Now, there is a policy in place that grants the new dad (whether for the first child or subsequent children) ten days of non-chargeable leave. The leave must be taken all at once and within 45 days of the baby’s birth. Since this has been passed, it is no longer up to command whether it should be granted – it is guaranteed leave for a new parent.

If the father is deployed overseas when the baby is born and unable to return for the birth, then the soldier can still take 10 days of non-chargeable leave upon his return to the states. In this situation, the leave should be taken within 60 days of redeployment.

Also, its important to note that this policy applies to fathers of new babies. Female soldiers who give birth fall under different leave policies as well as military families who are adopting a child. Kudos to those who pushed for this new policy. It is definitely a step in the right direction and ensures all new fathers will receive the same amount of time with their new family regardless of their unit or command.

from June 2009 MTTA Newsletter

The new Post 9/11 GI Bill entitles soldiers to transfer their education benefits to their dependents if they choose. The GI Bill education benefits can be transferred to a spouse or child if the soldier meets certain conditions.

Eligibility

Benefits can only be transferred to dependents who are enrolled in DEERS (Defense Enrollment Eligibility Reporting System).

• The soldier must have served a minimum of six years and reenlist for an additional four years in order to transfer benefits to dependents.

Or

• If the soldier has served ten years and is precluded from reenlisting, he must serve out the maximum time he is allowed.

Or

• Retirement before July 1, 2010 = no additional service
• Retirement before August 1, 2010 = one year of additional service
• Retirement after August 1, 2010 and before August 1, 2011 = two years of additional service
• Retirement after August 1, 2011 and before August 1, 2012 = three years of additional service

Transfer of Education Benefits

The soldier must apply through the Army to be approved to have benefits transferred to dependents. This can be completed online. Visit the VA’s GI Bill website for more details and links.

Applying for Benefits

After the approval has been given by the Army, the family member who is receiving benefits needs to complete VA Form 22-1990e that is available on the VA’s website. This form can be filled out online and submitted or printed and mailed to the VA office corresponding to the school address.

On August 1, 2009, the new Post 9/11 GI Bill was introduced. It is distinctly different from the old Montgomery GI Bill programs.

One of the major differences for families is that it allows for the benefits to be transferred to dependents in certain circumstances. While this was also possible with the Montgomery GI Bill programs as well, it was even more limited.

The Post 9/11 GI Bill differs in these main ways:

• Tuition is paid directly to the school instead of to the soldier
• The amount of tuition benefit differs by state based on the highest tuition rates for public institutions in that state
• Soldiers receive a book allowance of $1,000
• Soldiers receive BAH at the with dependents rate for an E-5 (regardless of rank) based on the school’s zip code (not available to active duty)
• Benefits can be transferred to dependents more easily
• The $1,200 buy-in that was required in the first year of service is no longer a necessity

Soldiers who signed up under the Montgomery GI Bill can transfer their benefits to the Post 9/11 GI Bill. Be aware that this transfer is permanent and cannot be reversed. It is in your best interest to thoroughly compare benefits and payment amounts before switching to the new program.

For instance, if you are pursuing online classes only, you may not be eligible for BAH. In that instance, it may be better financially for you to stay with the old version of the GI Bill.

For more information on the Post 9/11 GI Bill (including how to sign up for it), visit the Department of Veterans Affairs website.

When it comes to borrowing money, there is a lot you need to be aware of before you sign on the dotted line.

1. Your approval is based largely on your credit.

Maintaining excellent credit (i.e. paying your bills on time) is key to being approved for a loan. When you are going through the approval process, the loan officer will also take into account your work history, income, other bank accounts and other debt obligations you may have. Even if you have a few blemishes on your credit, you still may be approved but you should expect to pay a higher interest rate and possibly higher fees.

If there are mistakes on your credit report, you need to clear them up by contacting the credit bureau (Trans Union, Equifax and/or Experian). It is important also that you close any unused credit card accounts and if at all possible, consolidate your credit card debt to several cards. Even if you have $0 balances on your credit cards, having many lines of credit available makes you a high-risk loan because there is nothing that says you won’t max out your accounts tomorrow. If you don’t use it, close it out.

2. Your debt to income ratio is important.

This ratio will be calculated any time you apply for a new loan. Also referred to as DTI, this ratio tells the loan officer how much debt you have in comparison to your income. Let’s assume you have $3,000/month in income and $600 rent payment, $250 car payment and $50 minimum payment on your credit card for total debt of $900. Your debt to income ratio would be calculated as follows:

Debt / Income = $900 / $3,000 = .30 or 30%.

This means that 30% of your income goes towards paying your debt each month. Please note that most banks will use your gross income (before taxes) in this calculation and the only debts that are used will be any regular monthly payments (rent/mortgage, car loans, credit cards, other loans). Your electric, cell phone, cable, etc. will not be included in this calculation. The general rule is that DTI should not be more than 36-40%. By keeping the percentage low, it ensures you have enough money left to pay taxes and other monthly bills (groceries, gas, electricity, etc.)

Many mortgage companies use what is referred to as a back end ratio and a front end ratio. The front-end ratio includes all of your debt except the proposed mortgage payment and should be less than 28% by most standards. The back-end ratio includes all of your debt including your proposed mortgage payment and should not exceed 36% by most standards. When you are pre-qualified for a mortgage loan, your mortgage officer will in all likelihood use these percentages to tell you what size mortgage you can afford. Using the same income as above ($3,000), you would qualify for total debt of $1,080/month ($3,000*36%). With a $250 car payment and $50 credit card payment, you could afford $780/month mortgage payment ($1,080 – $250 – $50 = $780).

3. Watch out for extra fees

Many financing companies, particularly if they are offering a special deal, also usually have hidden fees in the loan. They are required by law to disclose these fees but they certainly won’t focus on it. Be sure you understand all fees associated with your loan before you sign the papers. A common fee and money maker for the financing companies is credit life insurance which pays off your loan in the event that you die. It is expensive coverage and in most cases is not necessary. Remember that nearly all fees are negotiable but they won’t budge if you don’t ask. Question the fees! All loans are required to disclose the interest rate along with the APR. The APR calculates an interest rate including all of the fees associated with the loan. If there is a big difference between the interest rate and the APR, it means there are a lot of fees associated with the loan. Beware!

4. Compare interest rates

There is a great website called bankrate.com that has daily national averages for a variety of loans. To make sure you aren’t being taken by your loan officer, check the rates here and question any differences. You may not get exactly the same rates. But if bankrate.com shows the average interest rate for a new car loan is 7% and they are charging you 12%, you need to find out why.

Research before you make any big purchasing decision and don’t be shy about checking around for the best deal. Do not, however, have everyone in town pulling your credit report to give you a quote. In some cases, many inquiries can adversely effect your chances to be approved as it can appear you have been turned down by those who have inquired about your credit.