(BPT) - Each year, approximately 200,000 men and women transition from the U.S. military to civilian life.1 It can be a dramatic life change with financial implications that many people don’t realize or plan for. Much attention is given to accessing healthcare, transitioning careers and pursuing educational opportunities, but the adjustments to your personal finance situation may be overlooked.
To help prepare U.S. service members for their next mission, it’s helpful to think about a “transition plan” about three years before your anticipated discharge date. This gives you time to research, ask questions and create a plan to help achieve the civilian life you want.
“Like most things in life, having a plan to get you from where you are to where you want to go is a key to success,” said Russell Simmons, Certified Financial Planner® at Charles Schwab and Army Reservist. “A military transition plan is no different.”
Simmons suggests taking time to think about and plan for these five key personal finance matters to help you find solid financial footing going into your new career:
“The transition to civilian life is a disruption to life in many ways,” Schwab’s Simmons said. “But taking the time now to prepare for the life that you want in the future can help you make smart financial decisions that will have both immediate and long-term benefits.”
About the 2020 Financial Literacy Survey
This survey was conducted online within the United States by The Harris Poll on behalf of Charles Schwab from June 4-8, 2020, among 2,046 U.S. adults age 18 and older. This online survey is not based on a probability sample and therefore no estimate of theoretical sampling error can be calculated.
This information is for educational purposes only. It is not intended to be a substitute for specific individualized tax, legal, or investment planning advice. Where specific advice is necessary or appropriate, consult with a qualified tax advisor, CPA, financial planner, or investment manager. Charles Schwab & Co., Inc, Member SIPC.
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