Posted on Aug 23, 2014
SGT(P) Karen Lonn
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I am not an expert on the TSP and Roth IRA, but I do know that it is important to invest in our futures. Does anyone have a Power Point Presentation that I could use. I want to give a class to my soldiers. It was never explained to me, and now looking back I wish that I had started earlier in my career.
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MAJ Daniel Buchholz
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Make sure that you emphasize that the TSP is one of the better long term solutions for any retirement money. Even the cheapest ETF's have fees around .09 (not counting fees to purchase those ETF's) compared to the TSP's .03 fee. The performance is comparable to the ETF's the mirror each of the funds.
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SFC John Birks
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I don't have them and more since I retired, but I found them by either searching Google and/or AKO for them (ex. TSP Brief.ppt, or Retirement brief.ppt, ect.) When searching for them I found it very helpful to add ".ppt" or ".pdf" in the search box and it would greatly narrow the results.
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SSG Timothy McCoy
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Edited 10 y ago
SGT (P) Karen Lonn,
KISS it, Sargent.
Our jobs as NCOs are to prep our soldiers for either the Battle Field or the Board Room. This is one of the point I would cover on Integrate and monthly counseling. I TRIED kept it very simple. Investing is a multi- level, time, risk item. here is a couple of points to ponder
The Rule of 72. Simple Interest compounding. example < % interest received divided into 72 = years to double investment. or % / 72=time ex. 10%/72=7.2 years. Ex 7.2%/72=10 years. Ex. 5%/72=20 years. Ex. 2%/72=35years
Be and owner not a loaner as above.
Think of a triangle. Bottom level, highest safety, lowest risk 60% of total investment ie. 6 months of living expenses in saving accounts, life issuance, land, trees, Education.
Next level, less safety, higher risk, 30% of total investment, stocks, Bonds (no Saving Bonds, If you wnat to know I will tell you) invest what you can afford to loose.
Next higher 7% of T.I. Gold, silver, Gems, artworks
Highest level 3% of T.I. LOTTO tickets No safety and you take on all the risk. Who knows you might be the next Million $$ soldier like the one in Texas(?).

this is a very large nut schell if you want some more help LMK and I will give you what I know and this was a lot of it.
HtH
Tim
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SSG Timothy McCoy
SSG Timothy McCoy
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SGT (P) Karen Lonn,
Also I forgot to add some Definitions of Inflation, Time, Goals.
Inflation is the loss of buying power. Ex You get orders to ROK just as you going to buy _____ or a set of tires and your are going to be gone for a year. You buy your set of $1000 tires and leave them set for a year or put your $1000 in a Bank CD paying 2% for a year you are gone. Assume a 10% inflation rate. Your CD in a year is now worth $1020, but the tires are now cost $1100, you have to come up with th balance because you have lost $80 dollars in buying power. Your investments need to beat or at least keep up with Inflation.
Time. This is YOUR definition of length of time. Is kind of like the rifle range you have 50 meter targets and 300 meter targets. What is short term, mid, and long term.
Here are MY definition of time.
Short term, is now or under a year. Saving up for Leave, new set of tires, different rifle for hunting season.
Medium length time, 3 to 5 years. Funds like Reenlistment or any other wind fall funds. Saving for PCS, new/different car, college/trade school courses. CDs, Stocks, and Bonds for short term returns, to park monies for non-penalties to build up funds or a long/larger expense. Ex. Start buying $500 CDs every other month, with an automatic 12 month reinvest. Then in 24 months you $6K in savings ( not paying anything) with $500 coming due monthly. Then when you part company wiht the Military, you some of your expenses takin care of for the following next 24 months.
Long Term Time. 7 to 30 years. Land, house, Retirement Rocking chair. Ex. Buy your piece of ground now, plant some mixed hard woods. You pay, they grow and your, retire back to this piece of heaven. Log out the tress for a profit and take some of the wood to build your house and your Rocking Chair.
Or you go back to your piece of Heaven and find all the ground around you gets developed and it isn't Heaven no moe. Log off the trees Sell the ground to the developers and go find another piece of heaven as the new price will only cost what you have put into your first piece.
Goals. As with everything what is the reason for the investment. As you know Goals change and are a moving target. Goals are the retaliation of dreams that you have thought out and are actively planning for. You have written them down into a plan. A bad plan is better than no plan. A bad plan is proactive and you are projecting in you the SIT., no plan is reacting to the SIT. as it is coming at you.
If I can be of any assistance please let me know. Retirees supporting our AD kids

HtH
Tim
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