22 Dec

Teaching Teens about Money

Lesson 1: Stress Savings!

There are many reasons that saving is first on this list. Teaching teens about money needs to begin with how they can save what they earn. Having savings can protect them against a lifetime of debt and financial security.

  • Saving money can help teenagers reach a financial goal and have more respect for the purchase. For example, putting a down payment on a car. When they’re more invested in the vehicle, you can bet they’ll be safer driving it.
  • Saving money is one way to avoid life’s hiccups, aka unforeseen incidents. If they lose their job or head off to college but still have expenses like car insurance, their savings will help.
  • If they have money saved, they’ll earn financial peace of mind. Life as a teenager is stressful enough – why make it more so by worrying about late payments.
  • More Money = More Independence from you. The more money they save, the less they have to rely on you and the more financial decisions they can make on their own. Teens need some financial independence and it is made possible due to savings.

Here is another article we wrote that talks about savings. If you are interested in setting up a savings account for young person, talk to a RMLEFCU representative about our piggy bank savings account. We’ll automatically kick off their savings with a $25 CD!

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14 Dec

5 Cars to Keep You Driving Smoothly in the Snow

Rocky Mountain Law Enforcement Federal Credit Union is proud to partner with AutoTrek in their mission to help our members find EXACTLY the car they need or want. AutoTrek employees will do the legwork and research for you. They will even bring the car to your work or home for a test drive! Your weekend will remain a car shopping free zone while AutoTrek works their magic to bring your car to you! Right now AutoTrek has 5 vehicles on their lot for driving smoothly in the snow. Whether you have a large family, or are a solo driver, one of these cars will work for you!

BONUS: RMLEFCU will match up to $500* towards your down payment on any car purchased in December at AutoTrek!

2005 Chevrolet Tahoe, $12,989, 121k miles

chevy-tahoe

2011 Toyota 4 Runner SR5, $21,989, 90k miles

toy4runner

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07 Dec

Beyond the Pension: Being Honest about Retirement

If you’re reading this, chances are you’re a police officer. Your retirement options are unique and there’s no one size fits all retirement planning for police. However, there are a few harsh realities that you’ll thank yourself for facing now, and not waiting until your retirement date is fast approaching.

Harsh Reality: You MAY find it hard to plan for how to spend your post retirement days.

There are many reasons for this.

  • You have more retirement to plan for since you have option to retire after 20 years of service. Retirement planning for police needs to take this into account!
  • Your job and your fellow officers are unique and your identity is tied to being a police officer. Therefore, while other people can disassociate themselves with their job – your line of work makes that difficult.

Solution: Figure out NOW what you want to do in retirement

  • Remember that we often enjoy doing things we excel at. Meaning, if your post retirement plans include “taking up something” or “exploring xyz” it might be wise to try it out now to see if it will be a short lived experiment.
  • Research of retirees indicates those who are happiest in often answer the question, “What will you do with all that time?” with responses like “giving back” and “discovering a sense of purpose”. Volunteering also helps maintain social interactions we previously had at work.
  • Make a list of how you would fill in an entire week if you weren’t working. What new things would you like to learn about and what new places would you like to see? Where would you like to live? What experiences would you like to have?

Harsh Reality: Your ideas about how to spend time MIGHT NOT align with your spouse’s ideas.

For example, you may want to hit the road in an RV and she or he would rather stay close and spend more time with the grandkids.

Solution: Have honest conversations and find common ground now to avoid disaster later. Spend time, without distractions, to discuss what you each envision for your retirement.

If they ARE ready to hit the road, RMLEFCU offers RV loans!

Harsh reality: Unless you change as easily as a chameleon, your spending habits likely won’t look much different in retirement.

Solution:

  • If your tastes are expensive, have a plan to still bring in money if there is a gap where your savings and spending do not meet.
  • Look at downsizing or moving to a location where the cost of living is more affordable. We have some Colorado suggestions in this blog.
  • You may be able to use your home’s equity to improve your cash flow during retirement. There are a few reasons this could be a viable option for you.

Harsh reality: Not everyone reads the fine print of their pension

Solution: Now, rather than when you’re approaching retirement, is the time to familiarize yourself with the rules, timelines, and options affecting your pension plan. Do not try to read before going to bed. Read them very carefully.

RMLEFCU is Colorado’s only credit union dedicated to police officers and we understand retirement planning for police. For this reason, we have an in house financial planner, Debby Wilson, about your retirement plans. She’s been working with our members for 18 years and her expertise is invaluable.