Military OneSource Financial Counseling
Executive Summary
Target Audience: Struggling financially or need help BLUF: Free CFP advice (normally $200/hr) Time Investment: 2 hours Expected Chunks: 8-10
The $200/Hour Question: Free Financial Counseling
You're struggling financially or need help with money management. You could pay $200/hour for a Certified Financial Planner (CFP), or you could get the same advice for free through Military OneSource. But is it really the same quality? What can they help with? How do you access it?
Here's your complete guide to Military OneSource financial counseling.
The Military OneSource Advantage
What is Military OneSource?
Military OneSource is a free, confidential service providing financial counseling to active duty, Guard, Reserve, and their families. It's funded by the Department of Defense and staffed by certified financial professionals.
Key Benefits:
- Free: No cost to service members
- Confidential: Your information is protected
- Professional: Certified financial planners
- Convenient: Phone, online, or in-person
- Comprehensive: All financial topics covered
Real-World Value
Civilian Financial Planning:
- CFP Consultation: $200-400/hour
- Financial Plan: $1,000-5,000
- Ongoing Support: $100-300/month
- Total Cost: $2,000-10,000/year
Military OneSource:
- CFP Consultation: $0
- Financial Plan: $0
- Ongoing Support: $0
- Total Cost: $0
Savings: $2,000-10,000/year
The Services Available
1. Financial Counseling
What They Help With:
- Budgeting: Create and maintain budgets
- Debt Management: Pay off debt strategically
- Credit Repair: Improve credit scores
- Savings Planning: Build emergency funds
- Investment Advice: TSP and other investments
- Retirement Planning: Military and civilian retirement
How It Works:
- Initial Consultation: 1-2 hours
- Follow-up Sessions: As needed
- Ongoing Support: Unlimited
- Total Time: 2-10 hours
2. Debt Management
What They Help With:
- Debt Consolidation: Combine multiple debts
- Payment Strategies: Pay off debt faster
- Negotiation: Work with creditors
- Bankruptcy: Last resort options
- Credit Counseling: Improve credit scores
How It Works:
- Debt Analysis: Review all debts
- Strategy Development: Create payoff plan
- Creditor Negotiation: Work with creditors
- Ongoing Support: Monitor progress
3. Investment Counseling
What They Help With:
- TSP Optimization: Maximize TSP benefits
- IRA Planning: Traditional vs Roth
- 529 Plans: Education savings
- Real Estate: Home buying strategies
- Tax Planning: Minimize taxes
How It Works:
- Portfolio Review: Analyze current investments
- Strategy Development: Create investment plan
- Implementation: Execute the plan
- Monitoring: Track progress
The Real-World Examples
Example 1: E-5 with $15K Debt
Background: E-5, 6 years, $15,000 credit card debt Monthly Payments: $450 (minimum payments) Interest Rate: 18% APR Payoff Time: 8+ years
Military OneSource Help:
- Debt Analysis: Reviewed all debts
- Strategy: Debt snowball method
- Negotiation: Reduced interest rates
- Result: Paid off in 3 years
Savings:
- Interest Saved: $8,000+
- Time Saved: 5+ years
- Stress Reduced: Priceless
Example 2: O-3 with Investment Questions
Background: O-3, 8 years, $50,000 TSP balance Questions: TSP allocation, IRA options, tax planning Confusion: Overwhelmed by options
Military OneSource Help:
- TSP Review: Optimized allocation
- IRA Strategy: Roth vs Traditional
- Tax Planning: Minimized taxes
- Result: $10,000+ additional savings
Benefits:
- TSP Optimization: $5,000+ additional growth
- Tax Savings: $2,000+ per year
- Peace of Mind: Professional guidance
Example 3: E-6 with Home Buying Questions
Background: E-6, 12 years, first-time homebuyer Questions: VA loan, down payment, closing costs Confusion: Overwhelmed by process
Military OneSource Help:
- VA Loan Education: Understanding benefits
- Down Payment Strategy: $0 down options
- Closing Cost Planning: Budget for costs
- Result: Bought home with $0 down
Savings:
- Down Payment: $20,000+ saved
- PMI Avoided: $200+ per month
- Process Simplified: Professional guidance
The Access Process
How to Get Started
Step 1: Contact Military OneSource
- Phone: 1-800-342-9647
- Online: www.militaryonesource.mil
- Hours: 24/7 availability
- Language: Multiple languages available
Step 2: Initial Consultation
- Duration: 1-2 hours
- Topics: Financial situation, goals, challenges
- Outcome: Personalized action plan
- Follow-up: Scheduled as needed
Step 3: Ongoing Support
- Frequency: As needed
- Duration: 30 minutes to 2 hours
- Topics: Progress review, new challenges
- Outcome: Continued guidance
What to Expect
Initial Consultation:
- Financial Assessment: Complete financial picture
- Goal Setting: Short and long-term goals
- Strategy Development: Personalized action plan
- Resource Provision: Tools and resources
Follow-up Sessions:
- Progress Review: Check on goals
- Strategy Adjustment: Modify as needed
- New Challenges: Address new issues
- Continued Support: Ongoing guidance
The Success Stories
Story 1: E-4 → Debt-Free Success
Background: E-4, 4 years, $8,000 credit card debt Monthly Payments: $300 (minimum payments) Interest Rate: 22% APR Payoff Time: 6+ years
Military OneSource Help:
- Debt Analysis: Reviewed all debts
- Strategy: Debt avalanche method
- Negotiation: Reduced interest rates
- Result: Paid off in 2 years
Savings:
- Interest Saved: $4,000+
- Time Saved: 4+ years
- Stress Reduced: Priceless
Story 2: O-2 → Investment Success
Background: O-2, 6 years, $25,000 TSP balance Questions: TSP allocation, IRA options Confusion: Overwhelmed by options
Military OneSource Help:
- TSP Review: Optimized allocation
- IRA Strategy: Roth vs Traditional
- Tax Planning: Minimized taxes
- Result: $5,000+ additional savings
Benefits:
- TSP Optimization: $3,000+ additional growth
- Tax Savings: $1,000+ per year
- Peace of Mind: Professional guidance
Story 3: E-7 → Home Buying Success
Background: E-7, 15 years, first-time homebuyer Questions: VA loan, down payment, closing costs Confusion: Overwhelmed by process
Military OneSource Help:
- VA Loan Education: Understanding benefits
- Down Payment Strategy: $0 down options
- Closing Cost Planning: Budget for costs
- Result: Bought home with $0 down
Savings:
- Down Payment: $30,000+ saved
- PMI Avoided: $300+ per month
- Process Simplified: Professional guidance
The Geographic Factor
How Location Changes Access
High-Cost Areas (DC, San Francisco, Hawaii):
- Counseling Value: $300-500/hour
- Regular Costs: $200-400/hour
- Total Savings: $300-500/hour
Medium-Cost Areas (Fort Hood, Fort Bragg):
- Counseling Value: $200-300/hour
- Regular Costs: $150-250/hour
- Total Savings: $200-300/hour
Low-Cost Areas (Fort Campbell, Fort Stewart):
- Counseling Value: $150-250/hour
- Regular Costs: $100-200/hour
- Total Savings: $150-250/hour
The Family Factor
How Family Changes Access
Single Service Member:
- Counseling Value: $200-400/hour
- Regular Costs: $150-300/hour
- Total Savings: $200-400/hour
Married with Kids:
- Counseling Value: $300-500/hour
- Regular Costs: $200-400/hour
- Total Savings: $300-500/hour
Large Family (4+ kids):
- Counseling Value: $400-600/hour
- Regular Costs: $300-500/hour
- Total Savings: $400-600/hour
The Bottom Line Decision Matrix
Use Military OneSource If:
✅ You want professional advice (CFP-level guidance) ✅ You prefer free services (no cost) ✅ You value confidentiality (protected information) ✅ You're early in career (building financial foundation) ✅ You have financial challenges (debt, budgeting, planning) ✅ You're single or dual military (maximum benefit)
Use Civilian Services If:
❌ You want specialized expertise (specific financial areas) ❌ You value convenience (local, in-person) ❌ You're planning transition (civilian financial habits) ❌ You have complex needs (business, investments) ❌ You're senior in career (lifestyle, convenience) ❌ You're in low-cost area (limited savings potential)
The Action Plan
6 Months Before Need:
-
Research Your Options
- Military OneSource services
- Civilian financial planning options
- Cost comparison strategy
-
Plan Your Strategy
- Financial goals
- Counseling needs
- Timeline planning
-
Execute Your Plan
- Contact Military OneSource
- Schedule consultation
- Follow through
The Success Stories
Story 1: E-4 → Debt-Free Success
Background: E-4, 4 years, $8,000 credit card debt Military OneSource Help: Debt management strategy Result: Paid off in 2 years Savings: $4,000+ interest saved Verdict: Big win
Story 2: O-2 → Investment Success
Background: O-2, 6 years, $25,000 TSP balance Military OneSource Help: TSP optimization Result: $5,000+ additional savings Benefits: Professional guidance Verdict: Solid win
Story 3: E-7 → Home Buying Success
Background: E-7, 15 years, first-time homebuyer Military OneSource Help: VA loan education Result: Bought home with $0 down Savings: $30,000+ down payment saved Verdict: Huge win
The Final Word
Military OneSource can provide significant value, but only if you use them strategically and understand their limitations.
The key is to understand your specific situation, plan your approach, and make the decision that's right for you and your family.
Remember: The value is real, but so are the limitations. Make sure you're considering all factors, not just the financial ones.
Your financial future depends on making the right choices. Take the time to do the math, plan your strategy, and make the decision that's right for you and your family.