About this episode
095 | The author of the Military Dollar joins Brad and Jonathan to discuss the various ways that service members can optimize their finances and choose financial independence, including retirement plans, financial planning, health care benefits and the GI Bill. Working in the military can set someone up to retire after 20 years with a pension and the ability to pursue whatever interests them. Why do many young members of the military actually have financial problems? Has Military Dollar ever seen any specific education for new servicemen? How could a young person change his/her mindset to make more frugal choices and pursue FI? Why did Military Dollar decide to pursue financial independence? How did she get started? What was MD's savings rate early on? How has MD set herself up to potentially retire by 41? What was the moment that changed MD's mindset and approach toward finances? How do most military members approach debt? What does the optimized path to FI look like in 2018. What's the difference between the old Legacy Retirement and new Blended Retirement System? What advantages does the Blended Retirement System have for people who don't stay in the military for 20 years or more? What is the biggest difference between the enlisted and the officer's route to FI? How can people plan for and understand relatively predictable promotions and pay raises? If someone starts young and doesn't increase their lifestyle spending, getting to a 50% savings rate is very possible. Within the military retirement system, what investment options are available? Active duty health care = free for you and your family. How does the GI Bill work, and how does that help with college expenses? The GI Bill can be passed onto family members, but does include a service commitment. If the GI Bill is used by a service member's children, or after separating from the military, there is a housing allowance available. GI Bill will cover all tuition and fees as an in-state student for public universities. GI Bill will cover approximately $22k for private universities. What is the Yellow Ribbon program, and how does it help cover the difference? What is the minimum time of service to qualify for the GI Bill? What's next for the MD whenever she retires from the military? How does MD balance her commitment to the military with her interest in serving her community? How will MD know when it's time to retire? For more information, visit the show notes at https://ChooseFI.com/095