A few of weeks ago, I shared How to Budget for a PCS (military move), which included a FREE budget form for your PCS. Today, I am sharing our initial Overseas PCS Budget. We have approximately 6 months before we will be moving from England and back to the United States. Are we excited? Of course! Is it a little bitter sweet for this “adventure” to be ending? Definitely!
I was planning on waiting until my husband received “official orders” before sharing where we will be moving. However, it is always a hurry up and wait game when it comes to the military. We have jumped through all the hoops and are just waiting on paperwork.
For those of us who have to financially prepare for an overseas move. We need at least six months to get our finances prepared. I also thought it might be
“fun” “interesting” to follow how we prepare our finances. See them change a million times and then finally successfully (fingers-crossed) complete an overseas military move.
Where are We Moving?
I know, I know hurry up and tell us already. Right? Unfortunately, we are not moving “home” where our mortgage house is located. We were quite bummed, but knew it was a long shot from the get go. We will seriously consider selling this home within the next year. Don’t worry, we still plan on paying off the mortgage as quickly as possible!
Okay, so on to the good news. We were only disappointed for about 90 seconds after hearing/reading the news where we will be headed this summer. This place, where we will call home by the end of the year has an extremely high cost of living! There are beaches, palm trees, and lots of sunshine… and it’s NOT California… We are “island hopping”… we will soon be calling HAWAII home!!!
Yes, we know! We are EXTREMELY lucky, blessed, the military gods love us, and all the above. We have actually been keeping it quiet from a lot of our extended family, friends, and acquaintances. I’m not sure if it’s out of fear of jinxing the opportunity or avoiding the “envy” and/or opinions about living on an island. lol. So, if you know us in “real life” and hadn’t heard the news… SURPRISE! lol.
What Does this Mean for Our Family?
Although, I have been saying for the past month or two that we are moving back to the United States. The military views Hawaii as an “overseas” or OCONUS (outside continental U.S.) move. This means we get to jump through extra hoops and lots of appointments before we get there. Hasn’t been too fun being “very” pregnant and my husband being swamped with work, but we’ve managed. 🙂
OCONUS locations are “controlled tours” which means my husband works there for a set number of years. This does benefit us in that we can plan to stay put and know an approximate date of our next move. This is beneficial to our finances because we can establish financial goals for the next 3-4 years without worrying about another move messing up our plans. We also know our approximate income and expenses.
2016 Overseas PCS Budget
Assets, Refunds & Extra Income
PCS Fund ___$0___
* We will be using $5000 of our $20,000 Emergency Fund for our PCS fund. Our mortgage will be within months of being paid off, so we feel comfortable with a smaller EF. We expect to have a minimum of $1000 left from our car repair/maintenance fund (currently $1700+).
Selling Your Car(s) _$1000.00_
*We have estimated low. We should be able to get $1200-$1500 for our car.
Selling Your Home ___$0___
Yard Sale __$200.00__
*We have a few household items we will sell (2 smart phones, GPS, vacuum, iron, fans, transformer, etc.)
Deposit Refunds _$2200.00__
Our deposit refunds will depend on the currency exchange rate. We expect go get $2100-$2400 from our rental house deposit. We should also have small ~$100 refunds from our Road Tax and electricity/gas bill. So we are under-estimating to be safe.
Extra Income ___$0____
Total Assets: _$9400.00_
Expenses at Current Location
Medical/Dental Procedures ___$0____
Moving Expenses _$50.00_
* There will be a couple of items we ship via the U.S. Post Office to our new location. Basically a few baby items that won’t fit in our suitcases and we don’t want to spend 3+ months living without.
Child Care ___$0____
Cleaning Your Home _$100.00___
*We plan on buying paint and will need to repair a few very minor things. We will also rent hedgers to get the garden in tip top shape.
Selling Your Car(s) ___$0____
Rental Car __$300.00_
*I have looked up local rental car rates. We should be able to rent a car for a month for just under $300.
*There may be an overlap of us paying rent for a day or two while actually living in a hotel. This is to cover that possibility.
*We have already secured a place with a kitchen to live in, between moving out of our home and our actual departure date. We should be able to cash flow our food expenses with our regular monthly budget.
Transportation Expenses __$100.00__
*Our bus or taxi to the London airport will be put on my husband’s GTC (Government issued Travel Card). We shouldn’t have to pay the GTC bill until he receives reimbursement. This $100 is to cover a taxi if needed once we arrive in Hawaii.
*The travel time between England and Hawaii is ridiculous and would definitely qualify for a hotel stay. However, we plan on making a pit stop in Washington for a week or so.
Food Expenses __$40.00__
*We may need to buy a meal or two in the airport. We prefer to pack our own food to eat healthier, but we will see if it’s feasible.
Transportation of Your Vehicle(s) ___$0____
Vacationing or Visiting Family __$800.00_
*We will be visiting family/friends in WA state for a week or so. It appears we will have to pay the difference in airline tickets, because although we own real estate and are residents of WA it is not the “home of record” for my husband. My family will pick us up from the airport and we will be staying with them the entire time.
Expenses at New Location
Rental Deposit & First Month’s Rent _$5000.00_
*Use this BAH calculator for your budget. We have browsed Craigslist to determine what we can expect to pay in rent. Our best guess: $2100-$2500. We have used the top-end of the budget to determine this PCS expense.
Utility Deposits __ $0____
*We plan on cash flowing this expense with our monthly budget.
*We have looked at Craigslist. We plan to get two vehicles around $4000 each. The “extra” in this estimate is to pay for taxes/tests/registration and to give us a little buffer.
Rental Car __$250.00_
*I have looked into cost of a rental car in Hawaii. This should pay for a one-week rental. Hopefully, we can find a car to purchase within the first week.
Hotel/TLF _ $400.00_
*We should not have to pay for this out of pocket. But you never now, sometimes there is a delay in paperwork/funds. So this is just to ease our minds “just in case” type of scenarios.
Restaurant/Convenience Foods __$300.00_
*Who knows how long we will be in Hawaii without our household items. Washington to England took just under 2 months for our Unaccompanied Baggage AKA “fast shipment” (where we pack most of our kitchen items). So we are assuming it will take longer than 2 months. We may be eating restaurant foods and sandwiches for quite sometime. 🙁
*We have Iphone 4’s in the U.K. We could bring them to the U.S. and cross our fingers we can find a network that will be compatible. Although, our plan for now is to sell them and most likely sign up with Republic Wireless. We will have to pay for our phones, but then their monthly plans are extremely affordable!
House Supplies __$200.00_
*We will have to buy a few small appliances (microwave, toaster) because we have 220v appliances here in the U.K. Fortunately, we have a 110v vacuum, coffee maker, and a few other kitchen appliances.
Re-Stock Kitchen __$300.00_
Professional Licenses/Certifications ___$0____
*My national certification is $65, which I will renew next month (good for 3 years). I will need to get a Hawaii state license. The fee is $85 and it appears they start taking applications in October for the following year, which is the soonest I will return to work. So, we will just budget for this at that time.
*Our wardrobes will definitely need to be “updated” coming from England where we only have a couple weeks of summer. We have “summer clothes” from when we lived in WA that can make do for a while. We plan on cash flowing this expense and just slowly building up an “island” wardrobe.
Other: (Brother’s Wedding) _$1400.00_
*My husband’s brother is getting married in October. We will need to purchase airline tickets shortly after arriving in Hawaii, so we have made this part of our PCS expenses.
Total Expenses: __$18,740.00__
Assets $9400.00 – Expenses $18,740.00 = $9,340.00 (Amount We Need to Save)
We NEED to SAVE just over $9,000!!!
This is definitely an amount that I am glad we have time on our side! Currently, on an average month we have an “extra” ~$2500 in our budget. We will comfortably be able save $1500 and still pay extra on our mortgage every month. Our plan for now is to save $1500/month between February and July.
As we get closer to our departure date, we will have a better idea of our expenses and income. We will most likely need to readjust our savings over the next few months. Remember budgets are flexible and every changing. This is only our initial and very approximate budget. The only purpose is to give us an idea of how much we need to save in the next 6 months.
Is Your Family Moving this Year?
Do You have a PCS/Moving Budget?