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May Is Military Appreciation Month: 5 Financial Tips For Every Military Family Thumbnail

May Is Military Appreciation Month: 5 Financial Tips For Every Military Family

In honor of Military Appreciation Month, we recognize those in the military as well as their families. Military members and their families face one-of-a-kind challenges, such as deployment to conflict zones, overseas assignments and the constancy of change - all of which make dedicating time to personal finance a challenge. Luckily, there are special tax breaks and other benefits unique to service members. Follow these five tips to take advantage of potential benefits and simplify your military family’s personal finances.

Tip #1: Focus on Retirement Savings

The Thrift Savings Plan is one way to save for retirement that's specific for military members. You may also have access to a Roth TSP, which acts similarly to a Roth IRA but without income restrictions. By contributing to a Roth TSP, you don't lower your taxable income now, but you will be able to withdraw the money tax-free when you enter retirement.

Tip #2: Save with High Interest

The Savings Deposit Program allows eligible personnel serving in designated combat zones to deposit up to $10,000 and earn up to 10 percent in annual interest.1 This can be an effective way to boost your savings for the future. By comparison, it's not uncommon to find savings accounts at various banking institutions that offer less than one percent in annual interest rates.

Tip #3: Tax-Free In, Tax-Free Out

Saving in a Roth IRA may be a good idea if you receive tax-free combat-zone pay. This allows you to deposit tax-free income and take tax-free qualified withdrawals in retirement. You can also withdraw contributions to a Roth IRA at any time, without income taxes or penalties.

Tip #4: Take Advantage of Your Education Benefits

The Post-9/11 GI Bill covers the full cost of in-state tuition, up to 36 months, plus housing fees and $1,000 a year to use for books and supplies.2 You can even transfer these benefits to your spouse or children if you don’t plan on using them yourself.

Tip #5: Low-Cost Life Insurance

Backed by the Department of Veterans Affairs, the Servicemembers’ Group Life Insurance protects your family with low-cost term life insurance coverage. If you are an eligible service member, you may be automatically enrolled in this program.3 Depending on your status or branch, you may have other life insurance options available to you as well. If you haven’t already, you’ll want to review your options and determine whether or not your coverage is up-to-date.   

More Ways to Maximize Your Money

Aside from specialized programs and offerings, there are a few things every military family can do to help get or keep their financial standings in order.

Set Goals

Like any mission, success begins with articulating the goals you want to pursue. Make sure they’re measurable, attainable and timely.

Establish a Budget

A budget can serve as the foundation of financial discipline. Having a weekly or monthly budget set in place can help you control spending impulses that lead to greater debt levels.

Pay Yourself First

Determine how much money you need to set aside to reach your savings goal, deduct this amount from your paycheck and budget yourself to live within the limits of what remains.

Establish an Emergency Fund

Uncertainty marks the lives of military families, so be sure you have an emergency fund that allows you to be as prepared as possible for these changes.

Control Your Debt

Indebtedness is one of the enemies of financial independence. Focus your efforts on paying down high-interest debt, like credit cards or personal loans.

As you think through your financial goals, remember that taking action today is your first and most important step. Take advantage of all your unique benefits and opportunities so that you and your family can live your best financial life.

Christi Shell, CWS®, AAMS®, BFA®, CETF® is Managing Director of Wealth Management at Shell Capital since 2011 and has over 30 years of personal finance experience. Christi started her career after high school joining First Tennessee Bank in 1991, where she worked her way up to manager while also earning a B.S. in Organizational Management from Tusculum University.  Christi later became manager of Regions Bank until she joined Shell Capital. Christi earned certifications of Certified Wealth Strategist®, Accredited Asset Management Specialist®, Certified ETF Advisor®, and Behavioral Financial Advisor™.  She completed the prestigious Wealth Management Theory & Practice program at Yale University. Christi holds a Series 65 Investment Advisor license and helps clients with overall wealth management and financial planning.


  1. https://www.investopedia.com/special-savings-plans-for-military-5193105
  2. https://www.investopedia.com/terms/p/post911-gi-bill.asp
  3. https://www.va.gov/life-insurance/options-eligibility/sgli/