If you are losing on month two then you are going over budget. Two months straight in debt = termination. Get up to 20 soldiers, 10 engineers, 20 scientists and 2 tanks in the first few months. Should keep you in the green moneywise.
As for research go with something like: laser pistol, laser rifle, alien alloys, personal armour, medkit, laser cannon, heavy plasma, plasma cannon, craft tech, power armour, crafts, mars.
Mmmmmmm.....tactics....
Bring 10 soldiers and a rocket tank. Laser anything is better than the rifles and pistols you start with. Swap those out ASAP. If your troops have over 35 strength, give them autocannons. If they have decent accuracy on top of it, give them either heavy cannons or rocket launchers. The cannons should be firing HE rounds +90% of the time. Give these guys sidearms in case they run out of ammo or get in a close range battle. The weaker troops get your rifles and pistols along with a mix of proximity nades, standard nades, and HE packs (and bring two smoke grenades, they are nice for departure).
Turn 1: Prime both smoke grenades. Throw one at the top of the ramp and one at the base.
Turn 2: Send the tank and 4 guys out the back. Clear the immediate area.
Turn 3 ->: Scout with the tank and fire with the soldiers from the rear. Find the UFO then put a proximity nade 1 meter from the door. Clear the map on the exterior on the UFO. Move your remaining guys out as you clear the map.
Entry: After securing the various buildings, etc on the map, move you troops towards the UFO. If nothing came out and tripped the proxy while you where scouting, blow it with a standard nade. Move your highest reaction troops next to the door (Laser pistol rocks here vs sectiods/floaters). Send them straight into the door with maxed TUs. If there is more than one alien on a line of sight, move back out; if only one, shoot it and move out; otherwise find cover inside. Move more troops in over the next few turns. If the engine is intact don't use HE with your heavy weapons troops, use their sidearms. Work your way through the ship slowly, high reaction troopers first, until you wipe out the remaining crew. (And if the interior is gutted and there is no engine: Nuke the hell out of the place with HE..... :evil: )