Michael Fourte shares a few financial tips to help new military members better manage their money.

1. FINANCIAL TIPS FOR
NEW MILITARY
MEMBERS
P r e p a r e d b y :
M I C H A E L F O U R T E

2. Managing money can be challenging to anyone,
but it can be especially hard for those new to
the military. Many people choose to join the
military right out of high school, before they
have any experience with receiving a steady
income. How you manage your money directly
impacts how successful you are, so follow these
four tips to avoid failure.

3. AVOID DEBT
Try to live within your means and avoid
putting yourself into debt, credit card
or otherwise. Having a certain amount
of debt can even ruin your career. The
military does forgive some student
loans, but a great way to avoid even
taking on student loans is to join the
ROTC while still in college. While
having a little bit of debt right now
may not seem like a big deal, interest
adds up quickly if you are unable to
pay it off in a short amount of time.
When you have other bills you’re
responsible, paying back debt feels like
throwing away money.

4. SAVE FOR RETIREMENT AND
YOUR TRANSITION OUT OF
SERVICE
While both of these things seem like forever away,
it’s never too early to start saving money. The
military has a great retirement plan. If you serve for
20 years, you can earn about 50 percent of your
base pay after retirement. While this is a good plan,
it might not be enough for you to survive on, which
means you should be saving in addition to that.
Also, only 15 percent of people remain in the
military for that long, meaning you’ll likely
transition back to civilian life at some point. Doing
so is costly, as you may need to relocate and take
some time off of work to do so. Having money
stocked up for when it’s time for you to make this
move will make it much easier on you.

5. LOOK FOR PERSONAL AND
PROFESSIONAL ADVANCEMENT
Through the military, you have the opportunity to take
some training and leadership courses. Put yourself out
there and take as many as can. These types of training
will give you a new set of skills which may open you up
for promotions and pay raises. No matter how long you
serve, these types of opportunities will make your career
richer and may also benefit you in civilian life, as these
types of skills often transfer in some way.

6. USE YOUR
BENEFITS
Through the military, you have the opportunity to
take some training and leadership courses. Put
yourself out there and take as many as can. These
types of training will give you a new set of skills
which may open you up for promotions and pay
raises. No matter how long you serve, these types
of opportunities will make your career richer and
may also benefit you in civilian life, as these
types of skills often transfer in some way.