Money Strategies for Teacher households

[Lady Margaret]

Anyone know of some website links to finance articles/strategies directed towards those in the teaching field? I'd be so appreciative!

My DH is an elementary school teacher in central Illinois and he's just begun classes for his Master's in Music Education.
He's arranged his pay so it is deposited every 2 weeks year-round.
Our medical insurance for the whole family is taken out of his paycheck before we "see it".
Most advice I read about future savings deal with 401ks, but with teachers, there's the pension system set up for them. Setting up an IRA for additional income would be wise but I'd love some info on how to budget & plan on a teacher's type of income, presently & upon retirement.

Blagoevich & Quinn have and continue to mess with the teachers' pensions so we don't want to be too secure in that!

TIA for any help!

[Sweet_Southern_Mama]

I don't know of any links, but my husband is a teacher and we've been living on one income until a month ago and we've successfully budgetted/planned with the arguably small paycheck. He gets paid only once a month, but here's what we do:

He gets paycheck of around $2400.00 on the 20th of each month so we have a "fiscal month" from the 20th to the 19th of each month.
I immediately write a check for 10% to our church $240
Also transfer 10% of the paycheck into savings $240
We then pay ALL of our regular bills that day so (such as utilities, satellite, mortgage, everything that we have to pay every month).
Then we know how much we have to live on the rest of the month. With couponing and all, we usually have several hundred left over and I pay that toward debt (student loans for us). If one doesn't have a lot of self control you might pay toward the debt first, then see how much you have for the rest of the month. We like to make a game of seeing how much we can have left over just before his next paycheck to pay toward the student loans. I know this probably wouldn't work for everyone but I just thought I'd share in case some of it could help :)

[anaj06]

I don't know of any, but I love your siggy....

My answer when DH asks silly questions like this is "one more than what we have now."

[anaj06]

I don't know of any, but I love your siggy....

My answer when DH asks silly questions like this is "one more than what we have now."

and if it is free then the limt of th sale more than what we have now.

[anaj06]

Just to make sure...you do know about the adjustment to income deduction on your tax return for OOP teaching supplies.

[nwonder]

Look for a 403b (like a 401K). Set aside a small budget for supplies that he may not get reimbursed for. DH keeps me to $1,000 a year. Like kaylaledford we pay most bills when I get paid. Then use DH for food and other items. If you try to pay bills through the month, you get bit.

[jackilvsmath]

I don't really have a strategy, but I am also a teacher in Central Illinois! HI!!!!! It's nice to know of another couponer in the area.


Jacki

[whea-wix]

I teach in Idaho. I get paid on the 20th, too! Only once a month, and I like it. I get all my cash in one heap. I pay all my "have-to's" immediately, then live off a budget for the rest of the month. But the root of your question, I think, is savings and retirement. Does your state do "Persi" for state employees and teacers? If so, your DH has been contributing to one of the safest retirement funds ever. It is wonderful. My retirement planner says that I will only need $100k when I retire because of Persi. (But I started teaching at 21).

Also, our state does a teacher fund. Every teacher is given $300 to spend on classroom supplies. I (and every teacher in my district) have a district credit card that I use to make these purchases. I just have to turn in my transaction log and reciept.

[babymains]

I teach in tx and 300 for class supplies sound s great. Don't have it here.
I just change district and I will be paid every two weeks instead of monthly, now talk about messing up a budget.

I just want to say the federal gov in the stimulus plan double the "supply credit" from $250 to $500 as an instant write off on your federal taxes without recipts.

I want also say that most school systems are safe and secured by state governments. In tx they just went to 13- 4 week payout to retirees.

I would do a 403b thru a teachers association like nea would be good to look into.

[Lady Margaret]

Thanks for the tips folks!
My hubby is actually reimbursed for everything he buys for his classroom so the tax write-off wouldn't pertain to us. Thanks though!