Hello, i married 26(m) considering joining the army. We live in Houston, TX. Our current financial situation isn’t exactly where we want it to be. We would want to build up our saving and possibly buy a house. Realistically how much could i save in 4 years? joining the army has been a dream of mine for years but something was always holding me back. right now, it seems like the right time to do it and just go ahead and enlist. any feedback would be greatly appreciated.
thank you.
savings and future
byu/Expensive-Collar3785 inMilitaryFinance
Posted by Expensive-Collar3785
4 Comments
Start by talking to a recruiter. See which branch you like the most.
The amount varies wildly depending on where you are stationed. This is because you will get something called Basic Allowance for Housing, which is a tax-free allowance intended to pay for housing at your duty station. At basic training and tech school, you will get the amount for your spouse’s location instead.
I would guess that your basic pay would be around $35,000 on average over 4 years, so $140,000 over a 4 year enlistment, before taxes.
It depends on your what rank you join as, whether you have kids, whether your spouse works, how much debt you currently have, where you end up stationed, etc. You can find the base pay charts easily online. You’ll also get BAS for food ($465/month for enlisted) and BAH meant to cover approximately the rent and utilities on a 2-bedroom apartment.
The DoD estimates that a new, married E-1 makes the equivalent of about $65k/year. An E-4 with over 3 years of service is about $75k/year.
Your first 4 years, you should be able to store about $500-$1K a month, so, conservative spit ball $25-$50K after 4 years, this isn’t taking into account interest or capital appreciation. This is going to depend on promotions, location of service (BAH, etc), and quality of life.
You do get the VA perks with the goal of home ownership, 0% down being the big one after 90 days of consecutive active duty!
Joining the Army will not make you “wealthy”. Especially on a 4 year contract. Will you be able to afford housing and essentials as a junior enlisted soldier, absolutely. Can it still be a financial struggle, that’s up to your spending habits and lifestyle:
Without knowing your current financial situation it’s hard to say if it would an “improvement”.
You can absolutely generate wealth in the military, but it requires discipline, financial education, and being deliberate.