First Command Reports: Military Families Pursuing Financial Security
February 23, 2023
FORT WORTH, Texas – America’s career military are responding to a new year of economic uncertainty with a positive outlook and a commitment to improving their fiscal health.
The latest results of the First Command Financial Behaviors Index® reveal that roughly seven out of ten middle-class military families (commissioned officers and senior NCOs in pay grades E-5 and above with household incomes of at least $50,000) are extremely or very confident their financial situation will improve over the coming year.
They aren’t leaving their finances to chance, either. Military families are planning to take concrete actions. Their No. 1 financial objective for 2023 is to become financially independent, which was identified by 28% of survey respondents. Other aspirations or frugal activities planned for the year ahead include:
- Starting to save for retirement or put more money into retirement savings (26%)
- Using cash or debit cards more often instead of credit cards (26%)
- Making sound investments in the stock market (26%)
- Improving their credit score (25%)
- Keeping track of financial activities (25%)
- Learning to budget responsibly (22%)
- Shopping more at discount stores or for discount brands (21%)
- Increasing charitable giving (21%)
- Cutting back on excessive spending (17%)
- Getting out of debt (15%)
- Learning not to live beyond their means (14%)
- Buying a house (14%)
Many families will also be focusing on financial security by assessing their insurance needs in 2023. One in four plan to make sure they have adequate property and casualty insurance coverage. Respondents also will be looking at:
- Long-term care insurance (22%)
- Health insurance (22%)
- Disability income insurance (21%)
- Life insurance (19%)
Financial advisors are helping many military families counteract feelings of uncertainty about the future. According to the Index, 81% of active-duty families who have a financial advisor feel confident their financial situation will improve in the next year. That compares to just 66% who do not have an advisor.
“Working with a financial coach is an ideal way to make and keep meaningful financial commitments in the pursuit of financial security,” said First Command President/CEO Mark Steffe. “This year we expect many military families will look to improve their money behaviors and prepare for the future by putting their trust in knowledgeable financial professionals.”
About First Command
First Command Financial Services and its subsidiaries, including First Command Brokerage Services, First Command Advisory Services and First Command Bank, coach our Nation’s military families in their pursuit of financial security. Since 1958, First Command Financial Advisors have been shaping positive financial behaviors through face-to-face coaching with hundreds of thousands of client families.