Permanent Change of Station Finances

A permanent change of station (PCS) is part of military life. With the right planning and awareness, moving for the military does not have to scramble your finances. The key is to know what you are eligible for, build a cushion, stick to the budget, and use resources.

Understand what the military pays for

Before spending money or signing leases and to help avoid unexpected out-of-pocket costs, figure out what allowances and reimbursements you will get.

▪        Per Diem – Covers meals and lodging while traveling to the new duty station; amount depends on certain factors (e.g., mode of travel, location, dependents)

▪        Dislocation Allowance (DLA) – A flat sum meant to help with the costs of relocating; depends on rank and whether there are dependents

▪        Temporary Lodging Expense (TLE) / Temporary Lodging Allowance (TLA) – Applicable for temporary housing when moving (TLE for CONUS, TLA for OCONUS)

▪        Mileage Reimbursement – Reimbursement may be eligible for those driving based on official distance and authorized travelers

Build a PCS budget

Review the official travel regulations and talk to your installation finance or transportation office to help build a realistic PCS budget. Setting aside funds for PCS can prevent reliance on high-interest credit or emergency borrowing.

Wrap up old accounts, update address

▪        Close or transfer accounts connected to the old location and recover any deposits owed

▪        Update address with the post office and all creditors – a missed bill can trigger late fees or damage credit

Use free resources the military provides

▪        Installation Financial Readiness Centers – Counselors who help build your moving budget

▪        Office of Financial Readiness (FINRED) – Worksheets and tools tailored for military moves

▪        Military OneSource – Moving checklists, budgeting tools, and guidance specific to PCS

Read the original article here.