Financial Resources for Service Members: Where to Find Help
The U.S. military offers a wide range of financial resources to help support service members and their families. These resources range from basic pay and special allowances to education benefits, housing assistance, savings programs, and emergency financial aid. With so many resources available, keeping track of each one can be a bit of a hassle. In this article, we will provide a list of the most common financial resources for US service members (outside the base pay) and where to find help regarding each one.
Basic Allowances
Alongside the base pay, the U.S. military provides additional basic allowances to cover housing costs and food expenses, as well as incentives and special pay. These include:
Basic Allowance for Housing (BAH): A financial benefit designed to help cover housing costs for service members living off-base.
Basic Allowance for Subsistence (BAS): A financial benefit designed to help cover (only) food costs for active-duty service members.
Family Separation Allowance (FSA): A financial compensation provided to service members for being separated from their families due to deployment.
Hardship Duty Pay (HDP): Additional pay for service members assigned difficult jobs or posted to remote locations.
Hostile Fire/Imminent Danger Pay (HF/IDP): Additional pay for service members serving in combat zones.
Educational and Career Assistance
The US military also offers several benefits for service members looking to further their education, improve their military career, or gain professional skills outside the military. These benefits include:
Post-9/11 GI Bill and Montgomery GI Bill (MGIB): Provide varying coverage for tuition fees (as well as housing allowance and book stipend in the case of Post-9/11) to active service members of the military.
Federal Tuition Assistance (TA): Covers tuition costs for active-duty service members, Reserve, and National Guard service members pursuing college courses.
Yellow Ribbon Program: Covers additional education expenses not covered by the GI Bill.
College Loan Repayment Program (CLRP): Helps repay student loans for eligible service members.
Credentialing Assistance (CA): Pays for professional certifications and licenses to support career growth.
SkillBridge Program: Allows transitioning service members to participate in civilian job training and internships.
Other Financial Resources
Outside basic allowances and educational and career assistance, the military offers other financial resources, including:
Savings and Retirement Plans
The military offers a ton of financial resources for military service members looking to save for retirement and other purposes. These include:
Thrift Savings Plan (TSP) – A retirement savings plan similar to a 401(k), offering tax-deferred and Roth options with low fees.
Blended Retirement System (BRS) – A combination of the traditional military pension and the TSP, allowing service members to benefit from both.
Savings Deposit Program (SDP) – Allows deployed service members to earn a high interest rate (10%) on their savings while serving in combat zones.
Housing Assistance
The military also offers deployed members various housing assistance including Basic Allowance for Housing (BAH), Overseas Housing Allowance (OHA), Military Housing Privatization Initiative (MHPI), and Veterans Affairs (VA) Home Loan. For more information on each housing assistance, click on the links provided.
Healthcare and Insurance
Medical coverage is another crucial benefit deployed service members can take advantage of. These include:
TRICARE – A comprehensive healthcare program that offers medical, dental, and vision coverage for active-duty personnel, retirees, and their families.
Servicemembers’ Group Life Insurance (SGLI) – Low-cost life insurance coverage for active-duty personnel.
Conclusion
The US military offers a wide range of financial resources and benefits to service members. Above are just a few of the most common ones. Some of these benefits can be shared with family members while others are exclusive to service members who fit specific roles e.g., retired, on active duty, or Reserve. To find out more information about these financial resources and benefits, or to find help on applying for them, simply click any of the links above.
