Friday, April 8, 2011

Shipmates: Where to Turn if Shutdown Happens

News of a DoD doc­u­ment out­lin­ing plans to deal with the pos­si­ble gov­ern­ment shut­down hit the web caus­ing con­cern for mil­i­tary ser­vice­mem­bers and their fam­i­lies. The spe­cific con­cern is the DoD plan to deal with mil­i­tary pay.

The 13-page draft plan pre­pared for the ser­vices and defense agen­cies says “All mil­i­tary per­son­nel will con­tinue in nor­mal duty sta­tus regard­less of their affil­i­a­tion with exempt or non-exempt activ­i­ties. Mil­i­tary per­son­nel will serve with­out pay until such time as Con­gress makes appro­pri­ated funds avail­able to com­pen­sate them for this period of ser­vice.”

There are two things to keep in mind if the gov­ern­ment shut­down occurs.

First, the longest gov­ern­ment shut down in the last 20 years occurred in late 1995 and lasted 21 days. In the worst case sce­nario a shut­down would result in a delay in mil­i­tary pay, but ser­vice­mem­bers will even­tu­ally get paid.

Sec­ond, if the Fed does shut­down there are branch spe­cific finan­cial relief resources mil­i­tary ser­vice­mem­bers can turn to for tem­po­rary finan­cial assis­tance.

Under no cir­cum­stances should ser­vice­mem­bers turn to com­mer­cial sources for finan­cial assis­tance with deal­ing with any pay issues. This is the kind of sit­u­a­tion where ser­vice­mem­bers can get eas­ily sucked into a pay­day loan and get them­selves in finan­cial quick­sand. If the Fed shuts down, your first steps should be to con­tact your land­lord, cred­i­tors, and util­ity com­pa­nies to explain the sit­u­a­tion and then con­tact your ser­vice branch’s relief orga­ni­za­tion. They can offer short-term loans to help bridge the gap with­out caus­ing more finan­cial hard­ship.

http://militaryadvantage.military.com/2011/03/where-to-turn-if-shutdown-happens/?wh=wh

No comments:

Post a Comment