A strong sense of financial confidence and a commitment to improving fiscal health drive the military's career forward in 2022.
In a First Command Financial Behaviors Index, three out of five middle-class military families (commissioned officers and senior noncommissioned officers with annual household incomes of $50,000 and above) say their financial situation has improved.
According to the survey, 66 percent are highly confident that the upward trend will continue.
Military families plan to take concrete steps to keep their finances on track in 2022. According to the survey, military families plan to:
Being financially independent (29 percent)
Saving for retirement or increasing retirement savings (26 percent)
Spending less (26 percent)
Improving credit score (22 percent)
Paying off debt (22%).
Make intelligent stock market investments (20 percent).
Creating a budget (20 percent).
In the new year, many families will also reassess their insurance needs. About one in five people plan to purchase long-term care insurance.
Respondents will also consider:
Health insurance (19%)
Life insurance (17 percent)
Disability income insurance (14 percent)
Property and casualty insurance (14 percent)
COVID continues to hurt the financial sector. According to the Index, 64 percent of military families have been financially impacted by the flu.
According to the survey, 47 percent of military spouses have lost their jobs or income due to the virus.
Financial advisors also reduce uncertainty about the future for many families. The index suggests that 82 percent of active-duty families with a financial advisor think their financial situation will improve, and thirty-nine percent don't have an advisor.
“Work with a financial coach to keep meaningful financial resolutions,” says First Command CEO Mark Steffe. “We expect an increasing number of military families to seek financial security with the help of financial professionals this year.”
A Brief Overview of First Command
Military families are assisted by First Command Financial Services and its subsidiaries, including First Command Brokerage Services, First Command Advisory Services, and First Command Bank. We have been helping households with their finances since 1958 through face-to-face coaching at First Command Financial Advisors.