3 Financial Safety Nets Every Michigan Military Family Should Activate

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Michigan military families are experts at adapting to new orders, changing schools, and jobs that change as often as the calendar. However, economic stability shouldn’t be left up to resilience. Good safety nets create stable predictability when the unexpected occurs like medical emergencies, career shifts, or unforeseen expenses. 

Below are three powerful systems to use proactively. Each is effective alone, but together, they create a solid, long-term system for protecting income, preserving benefits, and reducing stress for the whole family.

VA Disability Compensation for Service-Connected Health Conditions

The most effective economic safety net for Michigan military families comes from the Department of Veterans Affairs. The VA disability compensation program provides tax-free benefits monthly for conditions connected to your time in the military.

The range of service-related issues that can get you compensation is wide, covering all sorts of physical injuries and health problems from military duty. Veterans who have been around hazardous materials during their service might face some risks that won’t show up until years down the line. For example, if you served on Navy ships, in shipyards, or at military bases where they were using asbestos, which was the case for buildings from the 1930s to the 1980s, any exposure could lead to lung diseases or cancers, including mesothelioma. 

If that is the case, it’s possible to qualify for compensation, especially when it comes to mesothelioma VA disability claims, which often grant a 100% disability rating for this type of cancer if it’s related to military service. Veterans are also not required to establish financial need to be eligible, but they only need to prove their disease was caused by their service.

Military Family Emergency Financial Assistance Programs

Michigan military families have access to some special emergency economic aid that’s tailored just to their situation. These programs appreciate that military life is riddled with economic curveballs that other families don’t usually experience, like having to pay for transportation when you’re stationed far away from home or surprise expenses during deployments or PCSing between bases.

Some of the more popular options include the Navy-Marine Corps Relief Society, Army Emergency Relief, Air Force Aid Society, and Coast Guard Mutual Assistance programs. All these programs do the same thing: issuing emergency loans and grants to active-duty members, vets, and families. These groups get what life in the military is about and can jump in fast when families are met with financial hurdles.

Unlike conventional banks, these programs take into account military compensation, deployment-related expenses, and the special monetary issues military families encounter. They offer true support by offering no-interest loans for last-minute expenses, especially when it comes to high-ticket items like car repairs or medical bills that military insurance won’t cover.

Comprehensive Military Insurance and Investment Benefits

Yet another major financial safety net is to maximize the insurance and investment benefits available exclusively to military family members. These plans offer financial stability and growth potential beyond what most civilian family members can obtain but they require aggressive involvement and wise decision-making to provide maximum return.

Similarly, the Thrift Savings Plan is one of the finest wealth-building tools available these days, as it offers low fees and matching contributions from the government for military personnel. Michigan military families who save as much as they can to TSP and benefit from the government match build massive retirement funds that guarantee their financial status for years to come. 

The recently introduced Roth TSP option is also an interesting choice, allowing military families to pay taxes on the contributions up front and then withdraw tax-free growth and withdrawals at retirement. It serves as a special option for young military personnel who are in lower tax brackets.

Endnote

Each of these economic safety nets functions best when Michigan military families know more about them and learn how to take advantage of them in a proactive manner. Be sure to educate yourself about these options to be able to build several levels of economic security that insulate you and your family from unforeseen circumstances.

*This article is based on personal suggestions and/or experiences and is for informational purposes only. This should not be used as professional advice. Please consult a professional where applicable.