Out of 630,000 homeless people in the United States, approximately 67,495 are veterans and 30.2% of veterans are unemployed, according to the Military Wallet. After serving the military, life should be fun and fulfilling. But that’s not always the case for service members who are forced into early retirement due to lifelong injuries.
They may experience challenges such as poverty, lengthy periods of unemployment, disabilities, mental health issues, and home foreclosure. Fortunately, having flexibility in your retirement is still possible after leaving active duty earlier than planned.
Cut Fixed Expenses
Cutting down the cost of fixed expenses like food, clothing, transportation, insurance, and shelter is great for ensuring your funds last longer. For example, you can move to a smaller house to cut the cost of utilities, insurance, and tax. Also, consider moving to an affordable location.
Other ways you can cut expenses is by limiting to one car or use public transportation. Also, opt for less expensive life insurance cover, and commit to eating at home often.
Consolidate Debts with Personal Loans
Paying off debts and avoiding loans is one of the best tactics to attain financial independence after retirement. Unfortunately, you are likely to take loans to settle medical bills, mortgage, and buy food. Although loans offer some financial aid, the interest rates can be high. If you have bad credit, access to financing can be challenging. For these reasons, you may want to choose personal loans for veterans.
Despite having a bad credit score, personal loans for retired military personnel are easy to access. They also have flexible terms; for example, APRs range from 5.99% to 35.99% and a repayment term of 3-60 months based on the loan amount. The flexibility of these personal loans allows you to pay off old debts. That way, you can focus on repaying your loans at a lower interest rate.
Have a Travel Plan
Traveling during your early retirement for relaxation and sightseeing is therapeutic. However, aim for budget-friendly travel that will push your money farther. Whether you are going on vacation abroad or within the region, pick travel dates during off-peak seasons.
Find Streams of Income
While most veterans with injuries qualify for disability benefits, the payouts are not always sufficient for housing and other basic needs. As a result, they end up with accumulated debts. There are various part-time job opportunities for veterans looking for jobs to stay busy during retirement. It is also wise to invest in passive income. Renting out your home, blogging, and photography, for example, can help you bring in a passive income while you travel.
Creating a retirement budget that covers the cost of food, utility bills, transport, insurance, and shelter is essential. A financial plan prevents you from overspending your monthly income and retirement benefits. Hire a financial adviser that will help you choose the right savings and investment plans to support your monetary goals.