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Keep Your Sanity At Moving Time

By Julie Dawson

• Mortgage Qualifier
• Mortgage Loan Calculator

Spring 2004

Moving is ranked up there on the list of life's most stressful events, somewhere after losing a job and having a loved one die. For most military families, moving is inevitable and frequent. Being ready can keep down unexpected expenses that compound the stress of a move and can start a cycle of credit and debt that is hard to move away from.

Here are a few considerations to plan for a move.

Think Ahead

Preparation helps avoid mistakes than can cost money, energy, time and sanity. Cathleen, a Marine wife, says she approaches moves "like a wedding planner." She lays out moving lists as soon as the orders are certain and has a detailed timeline for when everything should happen.

My own moving lists include such details as when to have the giveaway/garage sale, when to do the final loads of laundry, and when to prepare recipes using the food items you're not able to pack. Having lists is even more critical when there is little advance notice of a move.

The U.S. Post Office has an excellent checklist in its address change and moving packet, available free at any post office or online at www.usps.com.

You Live Where?

It's critical to update address and phone changes as quickly as possible. Credit cards and other bills that are delayed while the mail forwards may still cost late fees and affect credit records. If possible, arrange to manage these accounts with toll-free phone numbers during the move or online with e-mail reminders. Auto insurance premiums also may change with a new zip code, so be sure to update policies promptly.

Conveniently, the IRS has an address change form online at IRS.gov that can be printed and mailed so tax refund checks find their owners after a move. Many other important sources also have online forms or allow instant online address changes to save a few dollars in postage.

Are You Covered?

Underline this point: Buy a renter's or personal property insurance policy before your move. Ask around any military community and be ready for stories of movers leaving furniture out in the rain and then putting it into storage for two years, packers boxing porcelain collectibles without any paper or padding, moving trucks catching on fire or driving off mountainsides - these are rare but real occurrences!

Insurance is a bargain when weighed against the cost of replacing the contents of even one room. Most policies cover a lot more than loss by fire or disaster. For example, people's food that spoiled during a prolonged local blackout was claimed and reimbursed under renter's policies, which allowed families in this situation to replace their groceries and not go into debt. Often, the benefits received for one claim cover the cost of an entire year's premium. (Remember that, in today's insurance climate, too many insurance claims may cause your insurance to be cancelled.)

Keep the policy even after the move, since the coverage is crucial in any military housing or rental, and the small expense is worth it. Renter's insurance may be able to reimburse damages in days, versus the weeks or months it may take to collect from the government. Personal insurance also usually requires a lot less paperwork and hassle than the documentation required by the government. Less time spent on researching replacement costs means more time spent replacing the item and getting on with life in a new location.

USAA has insurance policies that are specifically suited to military needs, and many other insurers also offer coverage.

Get What You Deserve

Know in advance the benefits available for military moves, and ask for them when there is maximum benefit. For example, the burden of initial housing expenses can be minimized by obtaining advance BAH (basic allowance for housing). In the set-aside program, the deposit is waived and the monthly rent may be lowered since rent is paid via direct deposit to the landlord. These programs offer the most benefit before signing a lease or paying a lot of expenses out of pocket.

Make sure orders include DLA (dislocation allowance), if applicable, to help with moving costs, and ask that it be issued in advance. Unlike advance pay or advance BAH, which is withheld from pay in monthly increments through the next 12 months, DLA never has to be paid back.