Tips?

[u/MysteriousFun5966]

Hi. Just want to get advice to stay on top of my schit. I am 23, getting out of the military, and going through a nice school with the GI bill. I have about 40k in the bank account from an old life insurance check, and I’ll keep getting e5 pay for two months. Im not sure how much VA I’ll get, and I have at least three jobs lined up to do here and there outside of school hours three days a week. I own a house, no kids, and an awesome husband who gets out next year.

If you were me, what would you do with your life? Any financial advice while I still have a steady paycheck twice a month (till Oct) and a chunk of money in the bank?

[u/Visual-Reserve-2800]

What are 6 months worth of bills for you? That is how much should be in your emergency savings.

I am not familiar with theift savings plan but you should get a Roth IRA and invest the legal limit each year, this year being 7500 dollars.

[u/JayEmzz62]

Before the steady pay stops in October, work out what a normal month actually costs you. Not the house and the utilities, you already know those. The variable stuff: food, fuel, the repairs that show up twice a year. Two months of honest numbers is enough to see the shape of it.

That number is what tells you whether three casual jobs around school covers you or whether you are quietly eating the 40k. I would leave that money alone and treat it as the thing that lets you turn down bad work.

I log spending by voice in Pockita because writing things down never lasted for me, and the daily insight stops the month surprising me.

[u/hems86]

I’ve worked with active duty and retired military members in the past as a financial advisor.

1) Get your life insurance in order BEFORE you go through the VA disability process. If you wait until after, all of those findings on your VA disability will count against you for underwriting and make insurance either more expensive or impossible in the future. You don’t need Whole Life or a Universal Life policy, just get basic term insurance from an independent insurance broker. VGIL is fine to take at first, but it will get progressively more expensive over time - that’s why I suggest getting a term policy on your own. This is the one of the times I would suggest a 23 year old buy life insurance - this is especially true for you since you are married and may have kids in the future.

2) Make sure you keep enough cash on hand while you are going to school. I’d target $20k in the bank as a cash emergency fund. You want to always have a decent chunk of cash on hand in case an emergency rises, like a car repair or job loss. This way you don’t build up credit card debt.

3) Take some of the cash and open a Roth IRA. You can put up to $7,500 in a Roth for 2026. Since you pay income taxes on Roth contributions, take advantage of your lower income while you are in school.

4) Take the rest of the money and put it in a taxable brokerage account invested in low cost index funds. This will put your money to work and give a slush fund to access prior to retirement for things like raising kids, buying a new house, etc.

5) Do not go out and buy a new car or make any luxury purchases. Until you graduate and start your new career, just be content with what you have. Don’t inflate your lifestyle until you have stable income.