3 Years and what $ do you got to show for it...

[Lando]

Hey Guys... I'm about to go off to BMQ and I was curious about how much money you guys ended up being able to save after your only/first 3 years in the Forces. I know we all talk about saving and keeping the cost of beer and strippers down but... How much did you really end up with after all that work?

 

[blacktriangle]

It depends, what kind of lifestyle do you intend to live? Are you frugal? Are you going to be paying for a car? Do you want to have fun and live it up? Can you pre drink before the bar/club and run home instead of calling a cab? Do you let yourself get conned into buying booze for chicks at the bar? Do you have a set savings plan?

If you get my point - some might come out with a house down payment, others might get out with just the shirt on their back and the memories.

Cheers.

 

[Luke O]

If you get my point - some might come out with a house down payment, others might get out with just the shirt on their back and the memories.

Or alcohol induced lack of memories.  haha.

I have a car payment, but I still hope to come up with a down payment for a house after my first 4 years.

 

[agc]

Hey Guys... I'm about to go off to BMQ and I was curious about how much money you guys ended up being able to save after your only/first 3 years in the Forces. I know we all talk about saving and keeping the cost of beer and strippers down but... How much did you really end up with after all that work?

You should write down some goals (like buying a house or whatever things you want), and see a SISIP financial counselor.  This is a free service for members of the CF, and theres an office on every base I beleive.

I can tell you that the biggest financial mistake I made early in my career was to buy a car.  I was posted to Halifax, where you need a dozen years in for a parking spot.  I could get to work in less than 15 minutes on the bus though, and not have to pay for parking somewhere.  A new car is about 300 or 400 bucks a month depending on what you want, plus gas, maintenance and insurance.  Pretty steep when you get 2 x $600 pay checks per month for the first year.

 

[Syn]

  Pretty steep when you get 2 x $600 pay checks per month for the first year.

I'm under the impression that 2x600 per month continues for three years, not just the first year.  Is this incorrect?

 

[agc]

I'm under the impression that 2x600 per month continues for three years, not just the first year.  Is this incorrect?

There are 2 annual increases for the rank of Private (Ordinary Seaman).  See CBI 204 at http://www.cmp-cpm.forces.gc.ca/dgcb-dgras/pub/cbi-dra/204-eng.asp

600 is a guestimate based on pay deductions including rations and quarters.  Individual mileage may vary.

 

[blacktriangle]

Or alcohol induced lack of memories.  haha.

I have a car payment, but I still hope to come up with a down payment for a house after my first 4 years.

Exactly

An 8 pack of cans of James Ready 5.5 costs like under $12 bucks in Ontario. Drinking it fast works for me.

600 bucks would be net pay for a Pte IPC 1, likely in Quebec during basic training. I guess that would be an ok estimate, but maybe someone recently through CFLRS could update us. It will go up depending on where you go next due to taxes etc. By the time you are a Pte IPC 2/3, there is no reason you can't save quite a bit of money every month. If anyone is really interested, shoot me a PM and I can give you a rundown of the money you could theoretically save at the glorious rank of Pte.

I would also agree to hold off on a car, if your situation permits it. If you do get one, just get a beater and don't put any collision on it.

The most sustainable way to save money is to set realistic goals. You can't expect to save everything, you will eventually go crazy and splurge. Set a reasonable goal, and then any time you get a raise - allow your savings or investments to see the difference, instead of your liver or a toilet in the shacks.

We get paid very well so remember that. If someone is perpetually broke in the CF, they will get no sympathy from me.

 

[Lando]

Well I plan on living on base (Shacks don't bother me ) and I only plan on buying a vehicle when I'm done my 3 years. And I'm not a big drinker. So in theory I should be able to save... I have set my goals and have roughly calculated how much I need to put away and what not but i defiantly will look into talking to some financing peoples.

Thanks guys.

 

[niceasdrhuxtable]

Well I plan on living on base (Shacks don't bother me ) and I only plan on buying a vehicle when I'm done my 3 years. And I'm not a big drinker. So in theory I should be able to save... I have set my goals and have roughly calculated how much I need to put away and what not but i defiantly will look into talking to some financing peoples.

Thanks guys.

Don't count on living on base to do you any great favours. A lot of bases you'll be paying close to $1000/mo for room and board. You might be able to find a bachelor or basement apartment for a lot cheaper.

 

[agc]

Don't count on living on base to do you any great favours. A lot of bases you'll be paying close to $1000/mo for room and board. You might be able to find a bachelor or basement apartment for a lot cheaper.

Further to that, some areas get a living allowance (called PLD).  If you're posted to Halifax for example, it's almost 700 bucks a month.  Combine 700 with the 500 in R&Q you'd save by getting an apartment, you're up 1200 a month from the numbers we talked earlier.

Sack away as much of that as you can in two years.  The two year time frame after you're posted is key.  You have two years to spend the money that's associated with your "cost move" if you qualify for one.  Things like real estate, legal fees, deed transfer tax, etc may be covered depending on your exact situation.  These are a big part of the initial outlay in purchasing a house should you choose to do so.

 

[ducky]

You have two years to spend the money that's associated with your "cost move" if you qualify for one.  Things like real estate, legal fees, deed transfer tax, etc may be covered depending on your exact situation. 

very helpful and insightful information to know beforehand...thank you!

 

[dapaterson]

One other point: once you're trained and posted to a unit, you may receive additional allowances (such as Sea Duty Allowance or Land Duty Allowance) that mean more money in your pocket.  Getting into the habit of banking that right away is another good way to save.