Dear Dave,

My husband and I both lost our jobs over a month ago. I’ve been interviewing, and he started a two-week training program for a new job the other day, but right now we’re in survival mode. We just cashed in an annuity, and were wondering if we should pay down debt and reduce the money going out each month, or just live on it?

- Veronica

Dear Veronica,

I’d sit on the money for now. It’s raining, and you need an umbrella. Don’t misunderstand me. You need to be honorable and pay your debts, but you may have to put that on hold for a while. Right now, it’s more important to keep food in the house and keep the heat on. Make sure you hug on each other a lot, too. This kind of situation is scary, and can be very stressful.

It’s been a rough winter for you guys, but it sounds to me like you’re seeing a light at the end of the tunnel. The great news is that the light isn’t an oncoming train! Your husband is about to start making money again, and it sounds like you’ve got some possibilities. Through this stretch, honest communication can make a huge difference. Make sure your creditors know what’s happening. Let them know that you want to make things right, and that you will make things right as soon as you can.

God bless!

- Dave

Dear Dave,

My husband has been active-duty Navy for 22 years. He plans to stay in for 30 years, and retire with a pension equal to 75 percent of his base pay. Considering that he’ll receive that money, should we still go ahead and save 15 percent in a Roth IRA for retirement?

- Megan

Dear Megan, Continued...