If you’re considering hanging up your uniform, it’s important to think about the value of what you’re leaving behind, says Sgt Cam Eden (RLC) – the man behind financial education channel the Savvy Squaddie.
In his latest YouTube video, he works out the extra cash he’d need to match his lifestyle as a sergeant on an annual salary of £42,510 living in Service family accommodation.
Spoiler alert – it’s more than you might think, as the following figures show.
Factoring in everything above and more, Sgt Eden reckons he’d need to earn £85,563 on civvy street to live as he does now.
“The numbers are surprising, but our pension in particular is extremely valuable,” he says.
“There are many reasons people leave, but this exercise is worth doing so you go into civilian life with your eyes open.”
For my three-bed quarter, plus a garage, I pay £218 – almost £1,600 less than I would for a similar property in my base area. And you have to pay for water as a civvy – another £50 per month on average.
The MoD pays a whopping 43.8 per cent towards our pension, whereas civvy employers only have to contribute three per cent (some pay more). My current salary gives me an annual contribution of £18,619. Assuming my new bosses paid the minimum rate, I’d have to earn £91,378 to match what I get now.
And this is just what civvies pay per prescription item, not in total. This will obviously vary from person to person, as will dental care, but a check-up and a filling will set you back around £100, even on the NHS – if you manage to find an NHS dentist, that is.
A gym membership will cost around £27 per month versus zero now. Soldiers also qualify for free wraparound childcare. Our local school charges £300 per month – and a civvy employer would be highly unlikely to pay for that.
