Soldiers should have a plan for tax refunds to help maximize the best use of the money, according to Fort Belvoir's Financial Readiness Program manager.
Instead of vacations and shopping trips, tax refund money can be used for bills and to reduce debt, according to Erica Drame, FRP, manager.
Drame said she has seen an instance where a Family spent its tax return on a vacation and later had to ask for financial assistance from Army Emergency Relief after the Family's car broke down.
"Having a plan for your tax refund can reduce future problems," she explained.
Drame said her office is ready to help people put together a budget.
"It all begins with a budget," she said. "A budget will help you know how much money is coming in and going out. And based on how much is going out, that lets you know how much is left to apply to your bills."
The FRP is an Army Community Service program designed to help prevent financial difficulties. Its goal is to help active-duty and retired military, their ID card holding Family members, and Army civilian employees save money, live within their means and invest for the future.
Financial counselors provide one-on-one counseling, debt management assistance and offer other financial classes, according to Drame.
People who are ready to invest in their future: Have a budget, save on a regular basis, use their credit wisely, and have adequate insurance for their Families, according to Drame.
When it comes to savings, it is okay to save as little as $10 a month because it helps build a habit. Servicemembers will then be better prepared to set aside larger amounts of money if they get a promotion or a part-time job.
"Savings is very important, no matter how small or large the amount is," Drame said.
She also said servicemembers do not need to be in dire financial straits to visit her office. Sometimes Families who are doing well, can do even better with a few tips.
"It is all about 100 percent awareness to let these Soldiers know that Financial Readiness is here to help them and to educate them and to give them the tools and resources that they need in order to conquer their financial lives," Drame said.
She also encourages eligible servicemembers and Family members to utilize the free tax preparation services are available at the Fort Belvoir Tax Center, starting in February.
Those seeking advice can set up a financial counseling appointment. For more information or to set up an appointment, contact Drame by email at erica.f.drame.civ@mail.mil or by phone at (703) 805-1833.
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