More ways to save
Service members also have more options when it comes to retirement savings.
Invest up to $10,000 in the military's "savings deposit program" — each time you're deployed. You'll get a guaranteed rate of return of 10 percent a year.
Also, there's the Thrift Savings Plan, basically a low-cost version of a 401(k) savings plan, that is open to all service members. In 2016, you can contribute up to $18,000, or $24,000, if you're age 50 or older. You can also choose either a traditional TSP or Roth TSP, which allows tax-free withdrawals in retirement. And, with tax-free combat pay, you could increase your contributions to $53,000 this year
These are just a few of the perks for military service members and veterans, who often aren't aware of the wide range of benefits available to them.
"For those who have questions, it's imperative that they contact Veterans Affairs to find out more," said Scott Scredon, co-author of "The Veteran's Money Book."
"Taking advantage of their hard-earned benefits could make a significant difference in their financial lives," he said.