Financial Planning for Defence Personnel

Financial Planning for Defence Personnel

The recent news of 23-year young Captain who laid his life while fighting on the border moved my heart. Their patriotism and the willingness to risk life for the nation is commendable. This emotional fervor for them last for few days and then the reality of life dawns on their family. As a financial planner I was wondering about their families and whether they plan their finances.

The soldier life is very demanding, not only for themselves but also for their families which involves long duration of time away from family or frequent moves from one place to another. Since they are driven by strong sense of patriotism, everything else including finance takes a back seat. In such a scenario, it their family who needs actively support in financial planning while the soldier is away on duty.

Since the defence life starts early, the best solution is to invest the savings in your Provident Fund or Defence Services Officers Provident Fund. This is the most secure option which will build up the necessary funds during retirement or in case of any calamity. The next option is to set aside some savings for the family needs. As the government takes care of the housing and medical needs of the defence person as well as his family, the surplus left should be invested in investment options with moderate risk and higher than FD returns. This could provide funds for education, health and housing needs of the defense person and his family. The corpus available on retirement along with regular savings can help a soldier live a life of financial independence. A good financial planner can help to balance their income with risks and future needs.

Manoj Chahar
Founder & Storyteller at
Manoj is the founder of, with 15 years of corporate experience & expertise in financial markets. Manoj has corporate stints with Kotak Securities, IIFL group & Philips India. He holds an MBA (PGDM) degree from Symbiosis (SIMS) Pune.
His interests include birding & adventure activities.

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