Can someone check my math for my pay during BCT and AIT??

[c.reel22]

I will be shipping out August 30th.

When I leave for BCT I will be an E-3. It says my pay will be $1706 a month. I am 18 and have no dependents or anything so there for that is the only money I will recieve correct? I figured out that from my drill pay a percentage of 14.63% has been taken out due to taxes + $27 for SGLI.

If my math is correct I calculated that while off at BCT I will recieve $714.70 twice a month.

I'll be at AIT until the middle of April. Will the 3.9% increase in Active Duty pay take effect of January 2011 or will I still get payed the 2010 pay rates?

[chd]

The 2011 pay raise is 1.4% (or something like that), not 3.9%, and you'll get that beginning in January 2011.

Of more critical importance, you're overinsured as an 18-year-old with no dependents. When you are in reception handling all of your financial information, ask them to drop your SGLI coverage from $27/month ($400,000) to $5-7/month ($50,000) or nothing at all. You'll save $200+ per year. Insurance is meant to insure against catostrophic loss that would affect your surviving dependents. Unless you have people that depend on your life financially, you don't need that much coverage. That, in my opinion, is a significant initial financial mistake that young soldiers make and, since $400,000 is the default coverage, few know any better.

[SteveLord]

The 2011 pay raise is 1.4% (or something like that), not 3.9%, and you'll get that beginning in January 2011.

Of more critical importance, you're overinsured as an 18-year-old with no dependents. When you are in reception handling all of your financial information, ask them to drop your SGLI coverage from $27/month ($400,000) to $5-7/month ($50,000) or nothing at all. You'll save $200+ per year. Insurance is meant to insure against catostrophic loss that would affect your surviving dependents. Unless you have people that depend on your life financially, you don't need that much coverage. That, in my opinion, is a significant initial financial mistake that young soldiers make and, since $400,000 is the default coverage, few know any better.

When I re enlisted, I remember choosing less...and they stuck me with $400k anyway...requiring me to fix it again. :mad:

[Chaplain4me]

If it were me I'd keep the insurance.

Several recruits die every year. It's tragic but it happens.

If you have a current lease you will recieve BAH.

[HR NCO]

If it were me I'd keep the insurance.

Several recruits die every year. It's tragic but it happens.

If you have a current lease you will recieve BAH.

Yes...but you have a family. If you have no family there is no need to carry that much coverage.

[chd]

When I re enlisted, I remember choosing less...and they stuck me with $400k anyway...requiring me to fix it again. :mad:

Same thing happened to me at pre-MOB.


If it were me I'd keep the insurance.

Several recruits die every year. It's tragic but it happens.

Sir, that's a fine opinion and all, but unfortunately isn't based on any rational (in the economic sense of the word) understanding of insurance and financial planning.

You insure yourself for those who depend on you financially. You don't bet $300+ for a $400,000 payout on some extremely unlikely event when you're 18-years-old and single.

[HR NCO]

You don't bet $300+ for a $400,000 payout on some extremely unlikely event when you're 18-years-old and single.

Yeah...even more then that its not about just playing the odds. The whole point of insurance like you said is to take care of those you were financially responsible for. If you are single then you have nothing that needs to be taken care of.

[chd]

Hopefully this National Guard forum thread doesn't start a revolution of young men reducing their SGLI payments resulting in raising premiums for all... quite a few will be looking for SteveLord, RSP NCO and chd...

[HR NCO]

Hopefully this National Guard forum thread doesn't start a revolution of young men reducing their SGLI payments resulting in raising premiums for all... quite a few will be looking for SteveLord, RSP NCO and chd...

I actually dropped my SGLI altogether. I got insurance outside the guard and now have 650,000 for 26.99.

[SGTHess]

I actually dropped my SGLI altogether. I got insurance outside the guard and now have 650,000 for 26.99.

Wow! Who did you find that through?

And for the record I carried less insurance before, but around the 25th week of my pregnancy I upped it. God forbid something should have happened to me during childbirth. This, I think, is good advice for any female soldiers who may find themselves pregnant and are going to stay in the Guard.

[HR NCO]

Wow! Who did you find that through?

https://www.zanderins.com/term/instantquote.aspx

[kswat07]

https://www.zanderins.com/term/instantquote.aspx
Really low premiums! Wow I might be making a switch

[Chaplain4me]

most people waste more than $27 a month on soda pop, junk food,going to the movies and eating out. It's not that much.

And the advantage of the plan is it works if you are killed in war, or do something stupid.

Read the fine print many plans willl not pay out in cases of war and certain accidents.

It's not that expensive.

[HR NCO]

most people waste more than $27 a month on soda pop, junk food,going to the movies and eating out. It's not that much.

And the advantage of the plan is it works if you are killed in war, or do something stupid.

Read the fine print many plans willl not pay out in cases of war and certain accidents.

It's not that expensive.

My point isnt that it's to expensive...its just that its an expense that isnt needed for many people. I guess I just listen to Dave Ramsey too much :)

[Chaplain4me]

Not all policies cover things such as terrorism and war.

You really need to make sure that your policy covers war and terrorism before you go down range.

Not all policies are created equal.

The SGLI policy will payout in all circumstances, even those I care not to mention.

[SteveLord]

You can also get like $50k from USAA for maybe 5 bucks a month...no questions asked.

[ParalegalNCO1]

Not all policies cover things such as terrorism and war.

You really need to make sure that your policy covers war and terrorism before you go down range.

Not all policies are created equal.

The SGLI policy will payout in all circumstances, even those I care not to mention.

The only two things that stop SGLI are treason and desertion (AWOL 30+ days).

Many active duty units love to tell the myth about how not wearing a seatbelt or going away for the weekend without a pass stops its payout if something happens. That is all just a bunch of hoopla.

[matthew.ritchie]

...When you are in reception handling all of your financial information, ask them to drop your SGLI coverage from $27/month ($400,000) to $5-7/month ($50,000) or nothing at all. ....

I always recommend that every Soldier carry at least the minimum SGLI. If you have the minimum, you can increase it at any time with one piece of paper, no questions asked. If you decline SGLI, you must answer some medical questions, and thus it's theoretically possible that you may not get coverage. SGLI is also linked legally to some other insurance rights (e.g., VGLI for separated Soldiers, FSGLI for families), which may mean nothing to you. Then again, it may mean the world. That's the whole purpose of insurance, of course, is to mitigate the risk of unlikely disasters.

The main question for life insurance is, "If I died today, who will be economically injured?" Not emotionally, but economically. My wife is a full-time mom, and we have three school-aged children. If I drop dead in a freak toothpick accident, they have no source of income. For me, SGLI isn't enough. If you're 18, and have no wife, no children, no disabled parents or siblings who may depend on you later in life (don't forget them!), then you need the minimum coverage -- just enough to keep your parents from going into debt to pay for your funeral, and any final expenses.

The VA (https://www.insurance.va.gov/sgliSite/calcuator/needsCalc.htm), as well as every other major insurance company (https://www.usaa.com/inet/ent_utils/McStaticPages?key=insurance_life_military_benefits ) and financial planning firm (http://personal.fidelity.com/global/search/inquira/resultsindex.shtml?question=life insurance), has an insurance needs calculator on their website. Plug in some facts, and they'll give you guidance. Do this on three or four websites, and you'll see that different methodologies will give you different answers. As a young single man, your case is pretty simple. Fidelity tells me I need another $250k of term. USAA tells me I have more than enough term, but I should get a small permanent policy.

For all the gory details on SGLI, start here (https://www.insurance.va.gov/sgliSite/SGLI/SGLI.htm).

[bojangleman]

might be a dumb question, but does the monthly rate vary from state to state?

because mine is $20/m for $400,000.

Alex

[Bingo]

Hopefully this National Guard forum thread doesn't start a revolution of young men reducing their SGLI payments resulting in raising premiums for all... quite a few will be looking for SteveLord, RSP NCO and chd...

After reading this post. I decided to do the minimum for SLGI at meps when they asked me.

As a side note though:

A Insurance salesman pitches the idea to soldiers that the army operates on a budget. He asks "So who do you think they will send to war first - the soldiers with the 50k or 500k policies?"

Some food for thought.

[SteveLord]

After reading this post. I decided to do the minimum for SLGI at meps when they asked me.

As a side note though:

A Insurance salesman pitches the idea to soldiers that the army operates on a budget. He asks "So who do you think they will send to war first - the soldiers with the 50k or 500k policies?"

Some food for thought.

Units are deployed, not soldiers (excluding special circumstances.) And they are not chosen by the sum of everyone's SGLIs.

I do think it's a a little funny though. :D