In a major shift in military policy, the U.S. Army recently increased the maximum enlistment age from 35 to 42 years in a bid to align with other arms of the armed forces such as the Air Force, Space Force and Coast Guard. This move opens up new possibilities for those in their early forties who are considering a career in the military.
The finances of such a decision would look significantly different for these individuals when compared to those enlisting at 18. The Army has seen fluctuations in the maximum enlistment age over the years, with the age being elevated to 42 during the periods of active deployment in Iraq and Afghanistan from 2006 to 2016, before falling back to 35.
Military salaries are taxpayer-funded and follow a predetermined structure. Notably, a study by the RAND Corporation in 2022 found that older recruits exhibit better retention rates: recruits aged 25 to 35 are 15% less likely to leave initial training and 6% more likely to reenlist.
New recruits receive varyingly generous allowances and benefits: starting base pay in 2026 is expected to be $2,407.20 per month. Other allowances include a Basic Allowance for Subsistence of $476.95, and a Basic Allowance for Housing (BAH), which varies based on location. Certain bonuses, including quick-ship and enlistment bonuses linked to specific jobs, are also on offer.
Additionally, the Army has been actively seeking recruits with technical skills, aiming to have a third of its force holding college degrees by 2025.
Major financial benefits arise after 36 months of service when veterans can access full in-state public university tuition and other educational benefits via the Post-9/11 GI Bill. Health insurance coverage is also provided, leading to significant savings for soldiers and their families.
For long-term financial security, individuals who serve for 20 years under the Blended Retirement System (BRS) receive a lifelong monthly annuity, along with contributions to the Thrift Savings Plan, the federal government's equivalent to a 401(k).
Given these financial details, prospective recruits in their 40s have much to deliberate when considering an Army career. It is indisputable, however, that the new age limit presents a different financial calculus for this demographic.