WEBVTT
00:00:00.160 --> 00:00:04.959
Okay, imagine that you guys have been given a task from an agency to do.
00:00:05.120 --> 00:00:12.800
You ask them how much is gonna cost, in addition to the$850 billion that you just got in order to do it.
00:00:12.880 --> 00:00:17.600
And you say, uh, you know, add the two, carry the one, oh, about an extra$200 billion.
00:00:18.079 --> 00:00:19.120
That is not a typo.
00:00:19.600 --> 00:00:28.160
That is the number that the Pentagon sent to the White House informally asking as a supplemental funding package for Operation Epic Fury.
00:00:28.480 --> 00:00:35.679
Here's what they told you in the headline: the money is to fund the war in Iran, replenish weapons, keep the mission running, etc.
00:00:35.920 --> 00:00:36.560
We called this.
00:00:36.640 --> 00:00:44.560
We told the audience weeks ago that the moment Operation Epic Fury launched, a supplemental funding request was gonna come later on down the line.
00:00:44.799 --> 00:00:45.600
Told you that.
00:00:45.679 --> 00:00:47.840
And we told you why that matters.
00:00:48.000 --> 00:00:59.119
Not just as a taxpayer, but as a service member, as a military family, and as someone whose financial life is directly connected to what happens inside of that Pentagon budget.
00:00:59.280 --> 00:01:01.920
Today we're gonna go deeper into that headline.
00:01:02.000 --> 00:01:11.439
Okay, Lara's gonna break down exactly where that$200 billion is coming from and what the DOD or DOW does with your money while the supplemental act is still pending.
00:01:11.599 --> 00:01:15.519
B is gonna walk you through what it means for the most common service member.
00:01:15.599 --> 00:01:22.079
So from that E4 to at Nellis, NCO at Ramstein, A1C Working Security Forces right here in the States.
00:01:22.239 --> 00:01:31.120
And lastly, Michaela is gonna give you the concrete action steps to protect yourself financially and personally because this mission affects you whether you deploy or not.
00:01:31.439 --> 00:01:34.959
This is the$200 billion briefing.
00:01:36.079 --> 00:01:38.319
Internet is going nuts with it already.
00:01:38.480 --> 00:01:45.200
Can you please take us in and let us know where this$200 billion is coming from, if granted?
00:01:45.439 --> 00:01:46.319
You got it, Chris.
00:01:46.480 --> 00:01:50.799
Listeners, let me give you the financial architecture of what's happening right now.
00:01:50.959 --> 00:01:55.840
Because understanding where this money comes from is the only way to understand what it costs you.
00:01:56.079 --> 00:01:58.560
First, let me put the number in context.
00:01:58.719 --> 00:02:11.680
At$1.38 billion per day, the$200,$200, excuse me, billion dollar supplemental requests would fund approximately 145 more days of operations.
00:02:12.000 --> 00:02:15.759
That takes us roughly through mid-August 2026.
00:02:16.240 --> 00:02:19.280
And that assumes the burn rate didn't increase.
00:02:28.719 --> 00:02:34.240
Now, the question you need answered: where does that money actually come from?
00:02:34.560 --> 00:02:35.759
Show me the money.
00:02:36.319 --> 00:02:37.919
The supplemental appropriation.
00:02:38.800 --> 00:02:47.360
That budget funds day-to-day military operations, pay, benefits, housing allowances, training, and infrastructure.
00:02:47.840 --> 00:02:49.840
The supplemental is separate.
00:02:50.080 --> 00:03:03.039
It is specifically designed to fund emergency war operations, weapons expenditure, munitions replenishment, additional deployment costs, and mission critical equipment that was not planned for in the base budget.
00:03:03.199 --> 00:03:05.199
Why does that distinction matter to you?
00:03:05.919 --> 00:03:13.280
Because in theory, your pay, your BAH, your BAS, those are protected inside the base budget.
00:03:13.599 --> 00:03:20.800
The supplemental is not supposed to cannibalize the money allocated to keep service members housed, fed, and compensated.
00:03:21.520 --> 00:03:23.919
In theory, we'll come back to that.
00:03:24.560 --> 00:03:26.719
Source two, the national debt.
00:03:27.520 --> 00:03:33.120
The United States national debt crossed$39 trillion this week, y'all.
00:03:33.759 --> 00:03:34.719
$39 trillion.
00:03:35.120 --> 00:03:38.879
When a supplemental appropriation is approved, that money is borrowed.
00:03:39.360 --> 00:03:41.439
It is added to the national debt.
00:03:41.599 --> 00:03:46.639
And borrowed money comes with a this is the number that doesn't make the headline.
00:03:47.039 --> 00:03:49.120
The$200 billion price.
00:03:49.199 --> 00:03:51.840
I know y'all are gonna get tired of me saying that number, but it's true.
00:03:51.919 --> 00:03:52.639
Yeah, it's a lot.
00:03:52.879 --> 00:03:54.879
This is the price tag they're quoting today.
00:03:55.120 --> 00:04:03.840
The true cost of the war when you account for long-term veteran health care, debt interest, and disability claims will be measured in trillions.
00:04:04.000 --> 00:04:06.879
Again, I I can barely count to 850.
00:04:06.960 --> 00:04:07.120
Yeah.
00:04:07.360 --> 00:04:07.520
Okay.
00:04:08.080 --> 00:04:08.319
Yeah.
00:04:09.039 --> 00:04:16.160
Source number three the DOW base budget and the reprogramming authority gap.
00:04:17.040 --> 00:04:21.120
Here is the piece of financial architecture that most briefings skip entirely.
00:04:21.279 --> 00:04:24.000
And it is the one that matters most to you right now.
00:04:24.560 --> 00:04:27.920
The$200 million supplemental has not been approved.
00:04:28.000 --> 00:04:30.560
It is a request, not a reality.
00:04:31.199 --> 00:04:34.399
So, what does the Department of War do while the supplemental is pending?
00:04:34.639 --> 00:04:38.319
And a war is still burning at$1.4 million.
00:04:38.959 --> 00:04:39.199
Billion.
00:04:39.600 --> 00:04:39.839
Billion.
00:04:40.079 --> 00:04:40.319
Billion.
00:04:41.120 --> 00:04:41.439
Billion.
00:04:41.920 --> 00:04:42.240
Billion.
00:04:42.800 --> 00:04:43.120
Billion.
00:04:44.079 --> 00:04:54.399
They use something called reprogramming authority, the DOW's legal authority to move money between existing budgeting accounts without waiting for new funding approval.
00:04:54.720 --> 00:05:01.120
Up to$4 billion can be reprogrammed within a few before additional oversight is triggered.
00:05:01.439 --> 00:05:11.360
Where it comes from training accounts, military construction, equipment procurement, civilian workforce, research and development budgets.
00:05:11.519 --> 00:05:16.079
This is how the DOW keeps the war funded while the paperwork catches up.
00:05:16.800 --> 00:05:27.360
And understanding it is critical because when the Department of War exercises reprogramming authority, it moves money from the budget lines that fund your daily installation life.
00:05:28.000 --> 00:05:30.800
Not your paycheck, not your BAH.
00:05:31.199 --> 00:05:32.319
Those are statutory.
00:05:32.879 --> 00:05:33.519
Protect it.
00:05:34.079 --> 00:05:46.959
But everything that makes your installation function day to day, training budgets, civilian contractor workforce, military construction, equipment maintenance cycles, those are exactly the accounts reprogramming authority pulls from.
00:05:47.120 --> 00:05:54.879
The DOW has used reprogramming authority to fund active operations multiple times in the past two decades.
00:05:55.199 --> 00:05:56.160
It is legal.
00:05:56.319 --> 00:05:57.439
It is documented.
00:05:57.600 --> 00:06:03.519
And it is happening right now in some form while a supplemental request works to the system.
00:06:03.920 --> 00:06:07.519
This is not a warning about what might happen.
00:06:07.759 --> 00:06:13.680
This is a briefing on what historically does happen and what Michaela's going to walk you through.
00:06:13.839 --> 00:06:16.720
But first, B, ground truth.
00:06:16.959 --> 00:06:21.040
What is this already costing the service member on the line today?
00:06:21.279 --> 00:06:22.879
Well, 200 million.
00:06:25.600 --> 00:06:28.160
I said about I need about tree fitting.
00:06:29.759 --> 00:06:31.120
Tree fitting, bruh.
00:06:31.360 --> 00:06:32.879
Let me give you the ground truth.
00:06:33.360 --> 00:06:43.920
Because I've been doing this long enough to know that when leaderships start talking about supplemental budgets and emergency appropriations, the people who feel it first are the people wearing stripes.
00:06:44.160 --> 00:06:46.240
And, you know, that's me and Kay.
00:06:46.319 --> 00:06:47.120
We're going to be feeling.
00:06:47.279 --> 00:06:50.240
I mean, hype back in the day, but me and Kay right now.
00:06:50.399 --> 00:06:59.279
So let me walk you through five ways this$200 billion can touch your daily life, whether you deploy or not.
00:06:59.519 --> 00:07:01.040
All right, impact one.
00:07:01.360 --> 00:07:04.160
And I'm going to tell you right now, I'm feeling this right now.
00:07:05.439 --> 00:07:07.519
And Eric, so as I said, people are going to feel it.
00:07:07.759 --> 00:07:09.519
Gas and energy prices.
00:07:09.759 --> 00:07:10.879
I know y'all feel it.
00:07:11.040 --> 00:07:12.560
I know you go to that pump.
00:07:12.720 --> 00:07:16.399
And the national average, I think it's like at four something dollars.
00:07:16.480 --> 00:07:17.439
That's the average.
00:07:17.600 --> 00:07:23.040
But in some places like California and I think Las Vegas is up there too, like five, six.
00:07:24.000 --> 00:07:24.480
We're at five.
00:07:24.560 --> 00:07:25.199
We're at five.
00:07:26.480 --> 00:07:27.439
A gallon.
00:07:27.680 --> 00:07:28.240
Yep.
00:07:28.560 --> 00:07:30.399
Y'all go back to five.
00:07:30.639 --> 00:07:31.439
Yeah, we are at five.
00:07:31.759 --> 00:07:32.000
Five.
00:07:32.319 --> 00:07:32.639
Five.
00:07:32.879 --> 00:07:33.360
In some places.
00:07:34.160 --> 00:07:35.120
Crazy, bro.
00:07:35.600 --> 00:07:36.560
So think about this.
00:07:36.639 --> 00:07:39.519
All right, the Strait of Horror moves, that's that's like big in the news right now.
00:07:39.680 --> 00:07:44.639
The waterway that handles roughly 20% of the world's oil supply.
00:07:44.800 --> 00:07:46.079
That is a critical piece.
00:07:46.160 --> 00:07:47.519
That's a critical waterway.
00:07:47.920 --> 00:07:52.720
Has been under selective shutdown since OEF started.
00:07:52.879 --> 00:07:54.959
And I'm not talking about Operation Enduring Freedom.
00:07:55.040 --> 00:07:57.279
I'm talking about Operation Epic Fury.
00:07:57.600 --> 00:08:01.600
The result, our American families are praying, paying, sorry, excuse me, paying approximately.
00:08:02.160 --> 00:08:02.879
We are praying too.
00:08:03.120 --> 00:08:04.399
We are praying too.
00:08:04.959 --> 00:08:07.439
Freudian slip, that needs to be said.
00:08:08.480 --> 00:08:15.519
They're paying approximately 80 cents more per gallon of gasoline compared to pre-strikes.
00:08:15.680 --> 00:08:18.959
You know, we're already struggling to make ends meet.
00:08:19.199 --> 00:08:29.839
And now, on top of that, you know, with inflation, with eggs, you know, the cost of uh bread, water, sugar, I mean, you name it, everything is through the roof.
00:08:30.000 --> 00:08:33.360
Now you're gonna add 80 cents per gallon on top of that.
00:08:33.519 --> 00:08:34.159
Come on, man.
00:08:34.320 --> 00:08:37.440
So now, if you live on base, your commute might be shorter.
00:08:37.600 --> 00:08:40.559
You might have that e-bot, you know, whatever, Tesla.
00:08:40.720 --> 00:08:51.759
But if you're like most service members, living in the economy, driving to the installation every day, that 80 cents per gallon is coming directly out of your pocket.
00:08:52.000 --> 00:08:57.200
Not your BAH, not your BAS, your take-home pay, that base pay.
00:08:57.279 --> 00:09:01.120
At 15 gallons per fill-up twice a week.
00:09:01.360 --> 00:09:02.639
That's on average, right?
00:09:02.799 --> 00:09:03.600
That's on average.
00:09:03.759 --> 00:09:10.159
That's roughly$24 more per week and 96 more per month.
00:09:10.399 --> 00:09:11.519
Just to get to work.
00:09:11.679 --> 00:09:17.759
So no Netflix, no HBO Max, you know, no, oh, I'm gonna have a couple beers now.
00:09:17.919 --> 00:09:20.320
No, now it's spent on going to work.
00:09:20.559 --> 00:09:21.600
Impact number two.
00:09:21.679 --> 00:09:27.279
And everybody needs to understand this that's in the military, and it's critical that we all understand this.
00:09:27.600 --> 00:09:32.159
Deployment is always an uncertainty, and it's increasing.
00:09:32.320 --> 00:09:37.360
You don't know what's gonna happen, and if your number is called, you gotta be ready.
00:09:38.159 --> 00:09:42.799
OEF is currently an air and naval campaign.
00:09:43.519 --> 00:09:53.919
Now, at any point in time, no confirmed ground troops as of this recording that could literally change on a drop of a dime.
00:09:54.159 --> 00:09:59.919
But the supplemental funding requests of this size are not written for air campaigns alone.
00:10:00.399 --> 00:10:03.279
War's supposed to be short, supposed to be over, it's coming up quick.
00:10:03.759 --> 00:10:04.399
We'll see.
00:10:05.200 --> 00:10:16.960
When the Pentagon asked for 200 billion, what language specifically, including what we may have to do in the future?
00:10:17.120 --> 00:10:22.639
That is our planning language for escalation, just in case we have to go there.
00:10:22.799 --> 00:10:26.559
We're not trying to go there, but if I gotta take you through there, I'm gonna take you through there.
00:10:26.720 --> 00:10:33.519
So if you're on a deploy unit right now, this is not the time to assume your timeline is stable.
00:10:33.679 --> 00:10:34.480
It's not.
00:10:34.720 --> 00:10:37.600
Because you're in the rest, reset, prepare phase.
00:10:38.000 --> 00:10:38.960
What phase are you in?
00:10:39.279 --> 00:10:45.679
Check your deployment calendar, check your dwell status, know your unit's sourcing assignment.
00:10:46.080 --> 00:10:52.559
Because if the campaign escalates, the pipeline moves fast and families absorb the schedule's shock.
00:10:53.200 --> 00:10:55.600
Your families, that's why you got to be ready.
00:10:55.840 --> 00:10:56.159
Okay?
00:10:56.639 --> 00:10:59.919
Impact number three, readiness and training compression.
00:11:00.080 --> 00:11:03.519
This is the impact that doesn't make a headline.
00:11:03.759 --> 00:11:12.240
But every service member who's been through a sustained high tempo operation knows exactly what I'm talking about.
00:11:12.399 --> 00:11:26.639
When a campaign draws heavily on DLW resources, munitions, airlift, ISR assets, logistics chains, the units that are deployed fill it in their training budgets that aren't deployed.
00:11:26.879 --> 00:11:30.720
Flying hours get prioritized for mission ready and deployed aircraft.
00:11:30.879 --> 00:11:34.559
Home station units fall behind currency requirements.
00:11:34.799 --> 00:11:41.440
Equipment gets pulled forward for operations, leaving maintenance backlogs at the home station.
00:11:41.600 --> 00:11:47.039
Training exercises get deferred or canceled because of OM accounts.
00:11:47.279 --> 00:11:50.799
Funding them are being reprogrammed towards the active fight.
00:11:51.039 --> 00:12:12.559
Flying hours are reduced for home station units, ground training exercises are deferred, equipment maintenance schedules are delayed, non-mission ready rates climb, qualification currencies lapse, members fall out of ready status, civilian instructor and contractor support are reduced on the installation.
00:12:12.720 --> 00:12:14.159
Here's why it matters to you.
00:12:14.399 --> 00:12:24.559
If your unit falls behind on readiness and an escalation order comes down, you are rushing to get current before your deployment.
00:12:24.799 --> 00:12:31.120
That is a stress on you, your family, and the unit's operational effectiveness.
00:12:31.360 --> 00:12:46.559
The service member who protects themselves from training compression are the ones who are proactively managing their time, managing their individual readiness, not waiting for the unit to tell them they've lapsed.
00:12:47.120 --> 00:12:49.600
Know your currency requirements.
00:12:49.919 --> 00:12:52.720
Know your next evaluation window.
00:12:52.960 --> 00:12:57.200
Don't let the operational tempo manage your readiness for you.
00:12:57.360 --> 00:12:58.240
Get ahead of it.
00:12:58.480 --> 00:12:59.600
Know your status.
00:12:59.919 --> 00:13:03.679
Impact number four, and this one is big.
00:13:04.000 --> 00:13:06.799
Inflation is not done with you yet.
00:13:07.039 --> 00:13:07.840
Oh my God.
00:13:07.919 --> 00:13:08.639
Are you serious?
00:13:08.799 --> 00:13:12.559
The Strait of Hormoose closure isn't just about gas prices.
00:13:12.720 --> 00:13:24.320
Think about how many things utilize gas, diesel, fuel, in order to get you from point A to point B or get products from and goods and services around this country.
00:13:24.480 --> 00:13:26.559
And also air trap on everything else.
00:13:26.879 --> 00:13:28.559
Fertilizer prices are up.
00:13:28.799 --> 00:13:30.879
That means food production costs are up.
00:13:31.039 --> 00:13:33.200
That means grocery bills are going up.
00:13:33.600 --> 00:13:34.399
Check out that.
00:13:34.559 --> 00:13:37.519
How much is a uh a dozen eggs right now?
00:13:37.679 --> 00:13:38.000
Crazy.
00:13:38.240 --> 00:13:39.440
I always talk about that, yeah.
00:13:39.840 --> 00:13:40.320
Milk?
00:13:40.559 --> 00:13:41.200
Crazy.
00:13:41.600 --> 00:13:50.799
That means, you know, on top of the cost of living pressure that was already squeezing military families before a single bomb even dropped in Iran.
00:13:51.039 --> 00:13:52.480
We're already feeling the pressure.
00:13:52.559 --> 00:13:54.879
We don't get paid a king's ransom to do what we do.
00:13:55.039 --> 00:13:56.000
But we do it, right?
00:13:56.159 --> 00:13:56.960
Out of service.
00:13:57.519 --> 00:14:03.840
Your six BAH, I just want to underscore this for you, went up 4.2%.
00:14:05.200 --> 00:14:08.399
Gas went up 80 cents a gallon.
00:14:08.559 --> 00:14:10.000
Groceries are climbing.
00:14:10.320 --> 00:14:16.399
The Mac is working against you, even if your pay stayed exactly the same.
00:14:17.360 --> 00:14:18.720
You got to feel me on this.
00:14:19.039 --> 00:14:23.759
And here's the part that just it just messes you up.
00:14:24.000 --> 00:14:27.600
Inflation hits junior enlisted members the hardest.
00:14:27.679 --> 00:14:30.320
This is what pisses me off the most.
00:14:30.559 --> 00:14:42.480
An E4 or E5 living in an economy, paying rent, filling a gas tank, feeding a family has the least margin to absorb these cost spikes.
00:14:42.559 --> 00:14:43.440
It's messed up.
00:14:43.600 --> 00:14:45.039
It just completely upsets me.
00:14:45.200 --> 00:14:46.080
Impact number five.
00:14:46.399 --> 00:14:48.559
You need this man, and I gotta unscore this too.
00:14:48.639 --> 00:14:50.879
This is this is so critical.
00:14:51.120 --> 00:14:55.440
Your SGLI and life insurance exposures real.
00:14:55.759 --> 00:15:02.480
Those first six service members that die, I guarantee you they weren't like, oh yeah, I'm gonna die today.
00:15:02.639 --> 00:15:04.879
No, you don't know when it's gonna happen.
00:15:05.039 --> 00:15:05.919
You have no idea.
00:15:06.080 --> 00:15:09.519
I want to close, I want to close on this one.
00:15:09.759 --> 00:15:16.799
It's one that the Skiff has been talking about, briefing you on for months with Warrior Wealth, with the Warrior Wealth series.
00:15:16.960 --> 00:15:18.639
We're gonna keep talking about it.
00:15:18.879 --> 00:15:20.320
And finances are big.
00:15:20.480 --> 00:15:24.960
Health is wealth, and and and finances is do you need it all?
00:15:25.200 --> 00:15:35.679
When a campaign like OEF runs and when it potentially escalates, SGLI becomes the most important document in your financial file.
00:15:35.840 --> 00:15:40.399
Is your SGLI beneficiary beneficiary designation current?
00:15:40.639 --> 00:15:43.519
Is it your current wife or your former wife?
00:15:43.679 --> 00:15:46.399
Has your family situation changed?
00:15:46.639 --> 00:15:50.720
Marriage, divorce, new child since you've last updated it.
00:15:50.879 --> 00:15:56.000
And this is the question Larae and Chrisha have been raising with the uh Warrior Wealth series.
00:15:56.080 --> 00:15:57.759
Is 500K enough?
00:15:57.919 --> 00:16:02.799
I'm gonna tell you, not you gotta really look at this thing in totality, man.
00:16:02.960 --> 00:16:07.279
I got five kids, six kids, five girls, and a son.
00:16:07.759 --> 00:16:15.440
And you gotta project out like, okay, college, you need to think about daily costs, daycare, everything together.
00:16:15.679 --> 00:16:18.399
500 is like, bro, that ain't gonna get it.
00:16:18.480 --> 00:16:18.720
I'm sorry.
00:16:19.200 --> 00:16:20.240
And you're keep telling them.
00:16:20.320 --> 00:16:21.440
We keep telling y'all.
00:16:21.679 --> 00:16:22.639
You're gone.
00:16:22.879 --> 00:16:24.240
You're not coming back.
00:16:24.480 --> 00:16:27.039
Don't pass go, don't collect$200.
00:16:28.159 --> 00:16:36.960
Now the burden falls on your spouse and your or your significant other to pick up that slack and that salary.
00:16:37.519 --> 00:16:44.559
And let's not say if they don't have like a technical skill or something that's a high-earning skill.
00:16:44.720 --> 00:16:47.519
What if they're a part of service as well?
00:16:47.679 --> 00:16:51.039
What if they are a teacher or something to that effect?
00:16:51.360 --> 00:16:54.399
Dude, those pay charts are topped out.
00:16:55.039 --> 00:17:00.159
So now they're held, they have that$500,000, and that's it.
00:17:00.320 --> 00:17:08.160
So think about this service members with a mortgage, dependents, no private supplement,$500,000 sounds like a lot to you.
00:17:08.319 --> 00:17:09.279
Run the math.
00:17:09.519 --> 00:17:18.079
If for at a 4% safe withdrawal rate,$500,000 general rates,$20,000 per year, and income replacement.
00:17:18.240 --> 00:17:19.440
Where are you going with$20?
00:17:19.680 --> 00:17:20.880
Where are you going with$20,000?
00:17:21.119 --> 00:17:21.519
No, no.
00:17:21.680 --> 00:17:22.400
Not over here, bro.
00:17:25.680 --> 00:17:27.839
You ain't going nowhere with$20K ain't gonna go.
00:17:29.839 --> 00:17:30.960
K can't even do that.
00:17:31.119 --> 00:17:32.400
K is like$20K.
00:17:32.480 --> 00:17:33.440
I can't do nothing with that.
00:17:33.759 --> 00:17:35.039
K, you can't do nothing.
00:17:35.359 --> 00:17:36.000
You can't pay nothing.
00:17:36.079 --> 00:17:37.440
I mean, you can pay a little something.
00:17:37.680 --> 00:17:39.440
A little car, a little piece of car.
00:17:40.079 --> 00:17:42.880
Something, but like, bro, that ain't gonna get it.
00:17:43.039 --> 00:17:47.839
Is$20K a year enough for you and your family to survive on without you?
00:17:48.079 --> 00:17:51.759
Now, now you now now see that's I want to just paint the picture.
00:17:51.839 --> 00:17:59.680
Is$500K in an investment account with an average 4% return rate on that$500K?
00:18:00.000 --> 00:18:02.960
Let's not say you're in an older house and your roof goes out.
00:18:03.279 --> 00:18:04.720
Where do you get that money from?
00:18:05.200 --> 00:18:06.319
That happens.
00:18:07.039 --> 00:18:12.559
And doesn't research say that it costs$18,000 per year to take care of one child.
00:18:12.799 --> 00:18:15.519
Yeah, it's like it's a it's a crazy.
00:18:15.839 --> 00:18:16.720
It's a beast.
00:18:17.359 --> 00:18:18.640
Children are expensive.
00:18:19.279 --> 00:18:21.279
Just there's a layer nobody's briefing you on.
00:18:21.440 --> 00:18:28.559
Larae told you about the DOW already, moving money internally through reprogramming authority, which is crazy.
00:18:28.720 --> 00:18:30.319
But you do what you gotta do.
00:18:30.480 --> 00:18:38.240
Uh, which means the discretionary programs that touch your daily life are already under financial pressure, right?
00:18:38.720 --> 00:18:45.359
So right now, today, before any supplemental is approved, K has your action order.
00:18:45.680 --> 00:18:49.279
Florian told you Congress hasn't approved this yet.
00:18:49.519 --> 00:18:53.839
B told you what it's already costing you at the gas pump.
00:18:54.079 --> 00:19:02.960
Now, I need to tell you what happens if that$200 billion doesn't get approved because this is not a theoretical scenario.
00:19:03.200 --> 00:19:10.640
And when the Pentagon can't fund a war from a supplemental, history tells us exactly where they go looking for the money.
00:19:10.799 --> 00:19:12.799
They look inside the base budget.
00:19:12.960 --> 00:19:13.680
They look at you.
00:19:13.839 --> 00:19:15.680
I want to take you back to 2013.
00:19:15.839 --> 00:19:45.200
The DOD base budget was hit with an automatic across the board cut, tuition assistance suspended, all branches mid-semester, no warning, civilian workforce furload, installation services, healthcare admin, base maintenance all reduced, wait times spiked, child development centers reduced hours, working parents on base absorbed the schedule impact immediately.
00:19:45.519 --> 00:20:06.960
Commissary subsidies cut, prices went up, some locations reduced operation operating hours, training exercises canceled, flying hours reduced, units went on non-current on qualifications, PCS moves deferred, orders delayed, families left in limbo for months.
00:20:13.920 --> 00:20:18.880
That's a taste of what's to come if this thing is not approved or this thing is pushed back.
00:20:19.119 --> 00:20:23.359
You already have had a taste of what that feels like, and you knew it was uncomfortable.
00:20:23.519 --> 00:20:24.720
Are y'all ready for that?
00:20:25.519 --> 00:20:32.000
This is sequestration under a budget dispute with no active war running.
00:20:32.160 --> 00:20:45.599
Now imagine that dynamic with a 1.4 billion per day burn rate in Iran still needing to be funded, and the DOD already exercising reprogramming authority inside the base budget.
00:20:45.759 --> 00:20:48.720
Here's what's protected by law and what's not.
00:20:48.960 --> 00:20:59.359
Protected is military base pay, so your BAH and BAS allowance retired military pay, VA disability compensation, SGLI.
00:20:59.519 --> 00:21:21.839
At risk is going to be your tuition assistance, PCS moving funding, TDY travel budgets, commissary subsidies, CDC and family support services, civilian workforce on your installation, military construction and base improvements, training, exercise funding, equipment maintenance schedules.
00:21:23.039 --> 00:21:33.359
Your paycheck is protected, your allowances are protected, but everything that makes your daily life on that installation functional, that is discretionary.
00:21:33.839 --> 00:21:35.759
And so here's your action order.
00:21:36.000 --> 00:21:41.759
Five things you execute now before any announcement, before any official word comes down.
00:21:42.160 --> 00:21:43.279
Action one.
00:22:00.079 --> 00:22:00.960
You were locked out.
00:22:01.119 --> 00:22:07.599
If you are currently enrolled or planning to enroll in the next term, submit your TA application now.
00:22:07.920 --> 00:22:10.720
Don't wait for the next registration deadline.
00:22:10.960 --> 00:22:12.880
Don't wait for official guidance.
00:22:13.119 --> 00:22:18.559
The window between budget stress and TA suspension is measured in days, not weeks.
00:22:18.720 --> 00:22:24.720
Action two if your PCS orders are pending, push for execution now.
00:22:25.599 --> 00:22:29.680
PCS move funding comes out of operations and maintenance accounts.
00:22:29.839 --> 00:22:35.599
If your orders are cut but your move hasn't been scheduled, get it on the calendar this week.
00:22:35.759 --> 00:22:40.160
A move in progress is far harder to freeze than a move that's only on paper.
00:22:40.319 --> 00:22:44.640
Action three, inventory your installation dependencies.
00:22:44.880 --> 00:22:46.880
Do you use the Child Development Center?
00:22:47.039 --> 00:22:49.119
Know the backup child care plan?
00:22:49.519 --> 00:22:52.799
Do you rely on base health care for primary care?
00:22:53.039 --> 00:22:55.599
Know your TriCare off-base options?
00:22:55.839 --> 00:22:59.519
Do you shop the commissary as a primary grocery store?
00:22:59.759 --> 00:23:03.200
Know your off-base budget impact if hours reduce.
00:23:03.599 --> 00:23:06.960
Do you use the education center for TA processing?
00:23:07.119 --> 00:23:10.400
Know the direct service branch portal as a backup.
00:23:10.640 --> 00:23:15.440
Does your unit rely on civilian contractors for maintenance or admin?
00:23:15.759 --> 00:23:18.720
Know who covers those functions if furloughs hit.
00:23:19.039 --> 00:23:20.960
This is not a doom exercise.
00:23:21.119 --> 00:23:22.960
This is a readiness exercise.
00:23:23.200 --> 00:23:32.880
The service members who got hurt in 2013 were the ones who had no plan B when the installation services they depended on changed overnight.
00:23:33.119 --> 00:23:35.680
Know your dependencies, build your contingency.
00:23:35.920 --> 00:23:41.440
Action four do not commit TDY money if you haven't received yet.
00:23:43.039 --> 00:23:46.319
This catches junior members the hardest.
00:23:46.559 --> 00:23:53.759
A TDY assignment gets scheduled, the service member floats personal expenses expecting reimbursement.
00:23:54.079 --> 00:23:55.759
The budget tightens.
00:23:55.920 --> 00:23:59.519
The reimbursement takes 90 days instead of 30.
00:24:00.079 --> 00:24:04.079
Don't use TDY reimbursements as cash flow.
00:24:04.400 --> 00:24:10.480
Pay out of your liquid reserve, which is why B's point about financial buffers matters here too.
00:24:10.720 --> 00:24:11.920
Action 5.
00:24:12.160 --> 00:24:16.000
Connect with your command financial specialist this week.
00:24:16.559 --> 00:24:27.839
Command Financial Specialist, free on every installation, trained to help you audit your financial exposure, review your SGLI coverage, and build a contingency plan.
00:24:30.799 --> 00:24:37.440
The official source for DoD budget execution updates when reprogramming actions are taken.
00:24:37.599 --> 00:24:38.960
They're documented here.
00:24:39.279 --> 00:24:48.480
Your installation financial readiness office, they will have early situational awareness on program changes before official announcement.
00:24:48.799 --> 00:24:51.839
Make contact now, not after the assignments.
00:24:52.000 --> 00:24:55.759
Here's the bottom line:$200 billion hasn't been approved.
00:24:55.920 --> 00:24:59.519
The DOD is already moving money internally.
00:25:00.079 --> 00:25:07.039
An award burning at$1.4 billion a day does not pause while the paperwork catches up.
00:25:07.359 --> 00:25:14.160
You now know what to watch, what to protect, and what to execute before any announcement drops.
00:25:14.400 --> 00:25:25.839
Alright, so again to recap everything, you guys,$200 billion,$1.4 billion a day, 80 cents more per gallon at the pump.
00:25:26.240 --> 00:25:35.680
Grocery price uh prices are climbing, DOW authority already in motion, discretionary programs under pressure, and a war with no publicly stated end date.
00:25:35.759 --> 00:25:36.960
It's a lot going on.
00:25:37.200 --> 00:25:38.799
That's not doom and gloom, though.
00:25:38.960 --> 00:25:42.000
That's just the operational picture that you guys need to see.
00:25:42.240 --> 00:25:45.920
And when you understand the operational picture, you can prepare for it.
00:25:46.079 --> 00:25:48.880
Michaela just handed you the five action items.
00:25:49.519 --> 00:25:55.440
Ray just gave you the financial architecture, including what the DOW does with your money while the supplemental is still pending.
00:25:56.079 --> 00:25:57.920
Be translated into your daily life.
00:25:58.079 --> 00:26:01.839
I need you guys to understand something before you close this video out.
00:26:02.240 --> 00:26:04.000
We called this out weeks ago.
00:26:04.079 --> 00:26:05.039
That's how we get down.
00:26:05.359 --> 00:26:07.920
We told you that a supplemental request was coming.
00:26:08.000 --> 00:26:09.440
We told you it would be large.
00:26:09.519 --> 00:26:17.599
We told you that the financial fallout of this campaign would reach into the homes of every service member, whether they are deployed or not.
00:26:17.920 --> 00:26:20.160
This is why you stay with us.
00:26:20.319 --> 00:26:22.319
Before you leave, though, three things.
00:26:22.480 --> 00:26:25.200
One, drop Warrior Wealth in the comments right now.
00:26:25.359 --> 00:26:28.319
Let me know that you guys got the intel and you down with us.
00:26:28.400 --> 00:26:35.680
Number two, share this episode with one active duty member, one veteran, one family member who needs to hear it so they are prepared.
00:26:35.839 --> 00:26:37.599
One share is your mission today.
00:26:37.759 --> 00:26:46.160
Number three, subscribe, like, comment, hit that notification bell because when we hit this up next, you ain't gonna want to miss it.
00:26:46.240 --> 00:26:48.319
This has been the Skip International Podcast.
00:26:48.400 --> 00:26:52.240
Remember, Situations, Conversations, Inspire Intellectual Futures.
00:26:52.480 --> 00:26:54.880
Like my father, Milton Kelsey, U.S.
00:26:54.960 --> 00:26:56.160
Navy, used to say.
00:27:03.680 --> 00:27:06.319
Until the next one, you guys be safe out there.
00:27:06.559 --> 00:27:07.119
All right?
00:27:08.880 --> 00:27:09.279
Peace.
00:00:00.160 --> 00:00:04.959
Okay, imagine that you guys have been given a task from an agency to do.
00:00:05.120 --> 00:00:12.800
You ask them how much is gonna cost, in addition to the$850 billion that you just got in order to do it.
00:00:12.880 --> 00:00:17.600
And you say, uh, you know, add the two, carry the one, oh, about an extra$200 billion.
00:00:18.079 --> 00:00:19.120
That is not a typo.
00:00:19.600 --> 00:00:28.160
That is the number that the Pentagon sent to the White House informally asking as a supplemental funding package for Operation Epic Fury.
00:00:28.480 --> 00:00:35.679
Here's what they told you in the headline: the money is to fund the war in Iran, replenish weapons, keep the mission running, etc.
00:00:35.920 --> 00:00:36.560
We called this.
00:00:36.640 --> 00:00:44.560
We told the audience weeks ago that the moment Operation Epic Fury launched, a supplemental funding request was gonna come later on down the line.
00:00:44.799 --> 00:00:45.600
Told you that.
00:00:45.679 --> 00:00:47.840
And we told you why that matters.
00:00:48.000 --> 00:00:59.119
Not just as a taxpayer, but as a service member, as a military family, and as someone whose financial life is directly connected to what happens inside of that Pentagon budget.
00:00:59.280 --> 00:01:01.920
Today we're gonna go deeper into that headline.
00:01:02.000 --> 00:01:11.439
Okay, Lara's gonna break down exactly where that$200 billion is coming from and what the DOD or DOW does with your money while the supplemental act is still pending.
00:01:11.599 --> 00:01:15.519
B is gonna walk you through what it means for the most common service member.
00:01:15.599 --> 00:01:22.079
So from that E4 to at Nellis, NCO at Ramstein, A1C Working Security Forces right here in the States.
00:01:22.239 --> 00:01:31.120
And lastly, Michaela is gonna give you the concrete action steps to protect yourself financially and personally because this mission affects you whether you deploy or not.
00:01:31.439 --> 00:01:34.959
This is the$200 billion briefing.
00:01:36.079 --> 00:01:38.319
Internet is going nuts with it already.
00:01:38.480 --> 00:01:45.200
Can you please take us in and let us know where this$200 billion is coming from, if granted?
00:01:45.439 --> 00:01:46.319
You got it, Chris.
00:01:46.480 --> 00:01:50.799
Listeners, let me give you the financial architecture of what's happening right now.
00:01:50.959 --> 00:01:55.840
Because understanding where this money comes from is the only way to understand what it costs you.
00:01:56.079 --> 00:01:58.560
First, let me put the number in context.
00:01:58.719 --> 00:02:11.680
At$1.38 billion per day, the$200,$200, excuse me, billion dollar supplemental requests would fund approximately 145 more days of operations.
00:02:12.000 --> 00:02:15.759
That takes us roughly through mid-August 2026.
00:02:16.240 --> 00:02:19.280
And that assumes the burn rate didn't increase.
00:02:28.719 --> 00:02:34.240
Now, the question you need answered: where does that money actually come from?
00:02:34.560 --> 00:02:35.759
Show me the money.
00:02:36.319 --> 00:02:37.919
The supplemental appropriation.
00:02:38.800 --> 00:02:47.360
That budget funds day-to-day military operations, pay, benefits, housing allowances, training, and infrastructure.
00:02:47.840 --> 00:02:49.840
The supplemental is separate.
00:02:50.080 --> 00:03:03.039
It is specifically designed to fund emergency war operations, weapons expenditure, munitions replenishment, additional deployment costs, and mission critical equipment that was not planned for in the base budget.
00:03:03.199 --> 00:03:05.199
Why does that distinction matter to you?
00:03:05.919 --> 00:03:13.280
Because in theory, your pay, your BAH, your BAS, those are protected inside the base budget.
00:03:13.599 --> 00:03:20.800
The supplemental is not supposed to cannibalize the money allocated to keep service members housed, fed, and compensated.
00:03:21.520 --> 00:03:23.919
In theory, we'll come back to that.
00:03:24.560 --> 00:03:26.719
Source two, the national debt.
00:03:27.520 --> 00:03:33.120
The United States national debt crossed$39 trillion this week, y'all.
00:03:33.759 --> 00:03:34.719
$39 trillion.
00:03:35.120 --> 00:03:38.879
When a supplemental appropriation is approved, that money is borrowed.
00:03:39.360 --> 00:03:41.439
It is added to the national debt.
00:03:41.599 --> 00:03:46.639
And borrowed money comes with a this is the number that doesn't make the headline.
00:03:47.039 --> 00:03:49.120
The$200 billion price.
00:03:49.199 --> 00:03:51.840
I know y'all are gonna get tired of me saying that number, but it's true.
00:03:51.919 --> 00:03:52.639
Yeah, it's a lot.
00:03:52.879 --> 00:03:54.879
This is the price tag they're quoting today.
00:03:55.120 --> 00:04:03.840
The true cost of the war when you account for long-term veteran health care, debt interest, and disability claims will be measured in trillions.
00:04:04.000 --> 00:04:06.879
Again, I I can barely count to 850.
00:04:06.960 --> 00:04:07.120
Yeah.
00:04:07.360 --> 00:04:07.520
Okay.
00:04:08.080 --> 00:04:08.319
Yeah.
00:04:09.039 --> 00:04:16.160
Source number three the DOW base budget and the reprogramming authority gap.
00:04:17.040 --> 00:04:21.120
Here is the piece of financial architecture that most briefings skip entirely.
00:04:21.279 --> 00:04:24.000
And it is the one that matters most to you right now.
00:04:24.560 --> 00:04:27.920
The$200 million supplemental has not been approved.
00:04:28.000 --> 00:04:30.560
It is a request, not a reality.
00:04:31.199 --> 00:04:34.399
So, what does the Department of War do while the supplemental is pending?
00:04:34.639 --> 00:04:38.319
And a war is still burning at$1.4 million.
00:04:38.959 --> 00:04:39.199
Billion.
00:04:39.600 --> 00:04:39.839
Billion.
00:04:40.079 --> 00:04:40.319
Billion.
00:04:41.120 --> 00:04:41.439
Billion.
00:04:41.920 --> 00:04:42.240
Billion.
00:04:42.800 --> 00:04:43.120
Billion.
00:04:44.079 --> 00:04:54.399
They use something called reprogramming authority, the DOW's legal authority to move money between existing budgeting accounts without waiting for new funding approval.
00:04:54.720 --> 00:05:01.120
Up to$4 billion can be reprogrammed within a few before additional oversight is triggered.
00:05:01.439 --> 00:05:11.360
Where it comes from training accounts, military construction, equipment procurement, civilian workforce, research and development budgets.
00:05:11.519 --> 00:05:16.079
This is how the DOW keeps the war funded while the paperwork catches up.
00:05:16.800 --> 00:05:27.360
And understanding it is critical because when the Department of War exercises reprogramming authority, it moves money from the budget lines that fund your daily installation life.
00:05:28.000 --> 00:05:30.800
Not your paycheck, not your BAH.
00:05:31.199 --> 00:05:32.319
Those are statutory.
00:05:32.879 --> 00:05:33.519
Protect it.
00:05:34.079 --> 00:05:46.959
But everything that makes your installation function day to day, training budgets, civilian contractor workforce, military construction, equipment maintenance cycles, those are exactly the accounts reprogramming authority pulls from.
00:05:47.120 --> 00:05:54.879
The DOW has used reprogramming authority to fund active operations multiple times in the past two decades.
00:05:55.199 --> 00:05:56.160
It is legal.
00:05:56.319 --> 00:05:57.439
It is documented.
00:05:57.600 --> 00:06:03.519
And it is happening right now in some form while a supplemental request works to the system.
00:06:03.920 --> 00:06:07.519
This is not a warning about what might happen.
00:06:07.759 --> 00:06:13.680
This is a briefing on what historically does happen and what Michaela's going to walk you through.
00:06:13.839 --> 00:06:16.720
But first, B, ground truth.
00:06:16.959 --> 00:06:21.040
What is this already costing the service member on the line today?
00:06:21.279 --> 00:06:22.879
Well, 200 million.
00:06:25.600 --> 00:06:28.160
I said about I need about tree fitting.
00:06:29.759 --> 00:06:31.120
Tree fitting, bruh.
00:06:31.360 --> 00:06:32.879
Let me give you the ground truth.
00:06:33.360 --> 00:06:43.920
Because I've been doing this long enough to know that when leaderships start talking about supplemental budgets and emergency appropriations, the people who feel it first are the people wearing stripes.
00:06:44.160 --> 00:06:46.240
And, you know, that's me and Kay.
00:06:46.319 --> 00:06:47.120
We're going to be feeling.
00:06:47.279 --> 00:06:50.240
I mean, hype back in the day, but me and Kay right now.
00:06:50.399 --> 00:06:59.279
So let me walk you through five ways this$200 billion can touch your daily life, whether you deploy or not.
00:06:59.519 --> 00:07:01.040
All right, impact one.
00:07:01.360 --> 00:07:04.160
And I'm going to tell you right now, I'm feeling this right now.
00:07:05.439 --> 00:07:07.519
And Eric, so as I said, people are going to feel it.
00:07:07.759 --> 00:07:09.519
Gas and energy prices.
00:07:09.759 --> 00:07:10.879
I know y'all feel it.
00:07:11.040 --> 00:07:12.560
I know you go to that pump.
00:07:12.720 --> 00:07:16.399
And the national average, I think it's like at four something dollars.
00:07:16.480 --> 00:07:17.439
That's the average.
00:07:17.600 --> 00:07:23.040
But in some places like California and I think Las Vegas is up there too, like five, six.
00:07:24.000 --> 00:07:24.480
We're at five.
00:07:24.560 --> 00:07:25.199
We're at five.
00:07:26.480 --> 00:07:27.439
A gallon.
00:07:27.680 --> 00:07:28.240
Yep.
00:07:28.560 --> 00:07:30.399
Y'all go back to five.
00:07:30.639 --> 00:07:31.439
Yeah, we are at five.
00:07:31.759 --> 00:07:32.000
Five.
00:07:32.319 --> 00:07:32.639
Five.
00:07:32.879 --> 00:07:33.360
In some places.
00:07:34.160 --> 00:07:35.120
Crazy, bro.
00:07:35.600 --> 00:07:36.560
So think about this.
00:07:36.639 --> 00:07:39.519
All right, the Strait of Horror moves, that's that's like big in the news right now.
00:07:39.680 --> 00:07:44.639
The waterway that handles roughly 20% of the world's oil supply.
00:07:44.800 --> 00:07:46.079
That is a critical piece.
00:07:46.160 --> 00:07:47.519
That's a critical waterway.
00:07:47.920 --> 00:07:52.720
Has been under selective shutdown since OEF started.
00:07:52.879 --> 00:07:54.959
And I'm not talking about Operation Enduring Freedom.
00:07:55.040 --> 00:07:57.279
I'm talking about Operation Epic Fury.
00:07:57.600 --> 00:08:01.600
The result, our American families are praying, paying, sorry, excuse me, paying approximately.
00:08:02.160 --> 00:08:02.879
We are praying too.
00:08:03.120 --> 00:08:04.399
We are praying too.
00:08:04.959 --> 00:08:07.439
Freudian slip, that needs to be said.
00:08:08.480 --> 00:08:15.519
They're paying approximately 80 cents more per gallon of gasoline compared to pre-strikes.
00:08:15.680 --> 00:08:18.959
You know, we're already struggling to make ends meet.
00:08:19.199 --> 00:08:29.839
And now, on top of that, you know, with inflation, with eggs, you know, the cost of uh bread, water, sugar, I mean, you name it, everything is through the roof.
00:08:30.000 --> 00:08:33.360
Now you're gonna add 80 cents per gallon on top of that.
00:08:33.519 --> 00:08:34.159
Come on, man.
00:08:34.320 --> 00:08:37.440
So now, if you live on base, your commute might be shorter.
00:08:37.600 --> 00:08:40.559
You might have that e-bot, you know, whatever, Tesla.
00:08:40.720 --> 00:08:51.759
But if you're like most service members, living in the economy, driving to the installation every day, that 80 cents per gallon is coming directly out of your pocket.
00:08:52.000 --> 00:08:57.200
Not your BAH, not your BAS, your take-home pay, that base pay.
00:08:57.279 --> 00:09:01.120
At 15 gallons per fill-up twice a week.
00:09:01.360 --> 00:09:02.639
That's on average, right?
00:09:02.799 --> 00:09:03.600
That's on average.
00:09:03.759 --> 00:09:10.159
That's roughly$24 more per week and 96 more per month.
00:09:10.399 --> 00:09:11.519
Just to get to work.
00:09:11.679 --> 00:09:17.759
So no Netflix, no HBO Max, you know, no, oh, I'm gonna have a couple beers now.
00:09:17.919 --> 00:09:20.320
No, now it's spent on going to work.
00:09:20.559 --> 00:09:21.600
Impact number two.
00:09:21.679 --> 00:09:27.279
And everybody needs to understand this that's in the military, and it's critical that we all understand this.
00:09:27.600 --> 00:09:32.159
Deployment is always an uncertainty, and it's increasing.
00:09:32.320 --> 00:09:37.360
You don't know what's gonna happen, and if your number is called, you gotta be ready.
00:09:38.159 --> 00:09:42.799
OEF is currently an air and naval campaign.
00:09:43.519 --> 00:09:53.919
Now, at any point in time, no confirmed ground troops as of this recording that could literally change on a drop of a dime.
00:09:54.159 --> 00:09:59.919
But the supplemental funding requests of this size are not written for air campaigns alone.
00:10:00.399 --> 00:10:03.279
War's supposed to be short, supposed to be over, it's coming up quick.
00:10:03.759 --> 00:10:04.399
We'll see.
00:10:05.200 --> 00:10:16.960
When the Pentagon asked for 200 billion, what language specifically, including what we may have to do in the future?
00:10:17.120 --> 00:10:22.639
That is our planning language for escalation, just in case we have to go there.
00:10:22.799 --> 00:10:26.559
We're not trying to go there, but if I gotta take you through there, I'm gonna take you through there.
00:10:26.720 --> 00:10:33.519
So if you're on a deploy unit right now, this is not the time to assume your timeline is stable.
00:10:33.679 --> 00:10:34.480
It's not.
00:10:34.720 --> 00:10:37.600
Because you're in the rest, reset, prepare phase.
00:10:38.000 --> 00:10:38.960
What phase are you in?
00:10:39.279 --> 00:10:45.679
Check your deployment calendar, check your dwell status, know your unit's sourcing assignment.
00:10:46.080 --> 00:10:52.559
Because if the campaign escalates, the pipeline moves fast and families absorb the schedule's shock.
00:10:53.200 --> 00:10:55.600
Your families, that's why you got to be ready.
00:10:55.840 --> 00:10:56.159
Okay?
00:10:56.639 --> 00:10:59.919
Impact number three, readiness and training compression.
00:11:00.080 --> 00:11:03.519
This is the impact that doesn't make a headline.
00:11:03.759 --> 00:11:12.240
But every service member who's been through a sustained high tempo operation knows exactly what I'm talking about.
00:11:12.399 --> 00:11:26.639
When a campaign draws heavily on DLW resources, munitions, airlift, ISR assets, logistics chains, the units that are deployed fill it in their training budgets that aren't deployed.
00:11:26.879 --> 00:11:30.720
Flying hours get prioritized for mission ready and deployed aircraft.
00:11:30.879 --> 00:11:34.559
Home station units fall behind currency requirements.
00:11:34.799 --> 00:11:41.440
Equipment gets pulled forward for operations, leaving maintenance backlogs at the home station.
00:11:41.600 --> 00:11:47.039
Training exercises get deferred or canceled because of OM accounts.
00:11:47.279 --> 00:11:50.799
Funding them are being reprogrammed towards the active fight.
00:11:51.039 --> 00:12:12.559
Flying hours are reduced for home station units, ground training exercises are deferred, equipment maintenance schedules are delayed, non-mission ready rates climb, qualification currencies lapse, members fall out of ready status, civilian instructor and contractor support are reduced on the installation.
00:12:12.720 --> 00:12:14.159
Here's why it matters to you.
00:12:14.399 --> 00:12:24.559
If your unit falls behind on readiness and an escalation order comes down, you are rushing to get current before your deployment.
00:12:24.799 --> 00:12:31.120
That is a stress on you, your family, and the unit's operational effectiveness.
00:12:31.360 --> 00:12:46.559
The service member who protects themselves from training compression are the ones who are proactively managing their time, managing their individual readiness, not waiting for the unit to tell them they've lapsed.
00:12:47.120 --> 00:12:49.600
Know your currency requirements.
00:12:49.919 --> 00:12:52.720
Know your next evaluation window.
00:12:52.960 --> 00:12:57.200
Don't let the operational tempo manage your readiness for you.
00:12:57.360 --> 00:12:58.240
Get ahead of it.
00:12:58.480 --> 00:12:59.600
Know your status.
00:12:59.919 --> 00:13:03.679
Impact number four, and this one is big.
00:13:04.000 --> 00:13:06.799
Inflation is not done with you yet.
00:13:07.039 --> 00:13:07.840
Oh my God.
00:13:07.919 --> 00:13:08.639
Are you serious?
00:13:08.799 --> 00:13:12.559
The Strait of Hormoose closure isn't just about gas prices.
00:13:12.720 --> 00:13:24.320
Think about how many things utilize gas, diesel, fuel, in order to get you from point A to point B or get products from and goods and services around this country.
00:13:24.480 --> 00:13:26.559
And also air trap on everything else.
00:13:26.879 --> 00:13:28.559
Fertilizer prices are up.
00:13:28.799 --> 00:13:30.879
That means food production costs are up.
00:13:31.039 --> 00:13:33.200
That means grocery bills are going up.
00:13:33.600 --> 00:13:34.399
Check out that.
00:13:34.559 --> 00:13:37.519
How much is a uh a dozen eggs right now?
00:13:37.679 --> 00:13:38.000
Crazy.
00:13:38.240 --> 00:13:39.440
I always talk about that, yeah.
00:13:39.840 --> 00:13:40.320
Milk?
00:13:40.559 --> 00:13:41.200
Crazy.
00:13:41.600 --> 00:13:50.799
That means, you know, on top of the cost of living pressure that was already squeezing military families before a single bomb even dropped in Iran.
00:13:51.039 --> 00:13:52.480
We're already feeling the pressure.
00:13:52.559 --> 00:13:54.879
We don't get paid a king's ransom to do what we do.
00:13:55.039 --> 00:13:56.000
But we do it, right?
00:13:56.159 --> 00:13:56.960
Out of service.
00:13:57.519 --> 00:14:03.840
Your six BAH, I just want to underscore this for you, went up 4.2%.
00:14:05.200 --> 00:14:08.399
Gas went up 80 cents a gallon.
00:14:08.559 --> 00:14:10.000
Groceries are climbing.
00:14:10.320 --> 00:14:16.399
The Mac is working against you, even if your pay stayed exactly the same.
00:14:17.360 --> 00:14:18.720
You got to feel me on this.
00:14:19.039 --> 00:14:23.759
And here's the part that just it just messes you up.
00:14:24.000 --> 00:14:27.600
Inflation hits junior enlisted members the hardest.
00:14:27.679 --> 00:14:30.320
This is what pisses me off the most.
00:14:30.559 --> 00:14:42.480
An E4 or E5 living in an economy, paying rent, filling a gas tank, feeding a family has the least margin to absorb these cost spikes.
00:14:42.559 --> 00:14:43.440
It's messed up.
00:14:43.600 --> 00:14:45.039
It just completely upsets me.
00:14:45.200 --> 00:14:46.080
Impact number five.
00:14:46.399 --> 00:14:48.559
You need this man, and I gotta unscore this too.
00:14:48.639 --> 00:14:50.879
This is this is so critical.
00:14:51.120 --> 00:14:55.440
Your SGLI and life insurance exposures real.
00:14:55.759 --> 00:15:02.480
Those first six service members that die, I guarantee you they weren't like, oh yeah, I'm gonna die today.
00:15:02.639 --> 00:15:04.879
No, you don't know when it's gonna happen.
00:15:05.039 --> 00:15:05.919
You have no idea.
00:15:06.080 --> 00:15:09.519
I want to close, I want to close on this one.
00:15:09.759 --> 00:15:16.799
It's one that the Skiff has been talking about, briefing you on for months with Warrior Wealth, with the Warrior Wealth series.
00:15:16.960 --> 00:15:18.639
We're gonna keep talking about it.
00:15:18.879 --> 00:15:20.320
And finances are big.
00:15:20.480 --> 00:15:24.960
Health is wealth, and and and finances is do you need it all?
00:15:25.200 --> 00:15:35.679
When a campaign like OEF runs and when it potentially escalates, SGLI becomes the most important document in your financial file.
00:15:35.840 --> 00:15:40.399
Is your SGLI beneficiary beneficiary designation current?
00:15:40.639 --> 00:15:43.519
Is it your current wife or your former wife?
00:15:43.679 --> 00:15:46.399
Has your family situation changed?
00:15:46.639 --> 00:15:50.720
Marriage, divorce, new child since you've last updated it.
00:15:50.879 --> 00:15:56.000
And this is the question Larae and Chrisha have been raising with the uh Warrior Wealth series.
00:15:56.080 --> 00:15:57.759
Is 500K enough?
00:15:57.919 --> 00:16:02.799
I'm gonna tell you, not you gotta really look at this thing in totality, man.
00:16:02.960 --> 00:16:07.279
I got five kids, six kids, five girls, and a son.
00:16:07.759 --> 00:16:15.440
And you gotta project out like, okay, college, you need to think about daily costs, daycare, everything together.
00:16:15.679 --> 00:16:18.399
500 is like, bro, that ain't gonna get it.
00:16:18.480 --> 00:16:18.720
I'm sorry.
00:16:19.200 --> 00:16:20.240
And you're keep telling them.
00:16:20.320 --> 00:16:21.440
We keep telling y'all.
00:16:21.679 --> 00:16:22.639
You're gone.
00:16:22.879 --> 00:16:24.240
You're not coming back.
00:16:24.480 --> 00:16:27.039
Don't pass go, don't collect$200.
00:16:28.159 --> 00:16:36.960
Now the burden falls on your spouse and your or your significant other to pick up that slack and that salary.
00:16:37.519 --> 00:16:44.559
And let's not say if they don't have like a technical skill or something that's a high-earning skill.
00:16:44.720 --> 00:16:47.519
What if they're a part of service as well?
00:16:47.679 --> 00:16:51.039
What if they are a teacher or something to that effect?
00:16:51.360 --> 00:16:54.399
Dude, those pay charts are topped out.
00:16:55.039 --> 00:17:00.159
So now they're held, they have that$500,000, and that's it.
00:17:00.320 --> 00:17:08.160
So think about this service members with a mortgage, dependents, no private supplement,$500,000 sounds like a lot to you.
00:17:08.319 --> 00:17:09.279
Run the math.
00:17:09.519 --> 00:17:18.079
If for at a 4% safe withdrawal rate,$500,000 general rates,$20,000 per year, and income replacement.
00:17:18.240 --> 00:17:19.440
Where are you going with$20?
00:17:19.680 --> 00:17:20.880
Where are you going with$20,000?
00:17:21.119 --> 00:17:21.519
No, no.
00:17:21.680 --> 00:17:22.400
Not over here, bro.
00:17:25.680 --> 00:17:27.839
You ain't going nowhere with$20K ain't gonna go.
00:17:29.839 --> 00:17:30.960
K can't even do that.
00:17:31.119 --> 00:17:32.400
K is like$20K.
00:17:32.480 --> 00:17:33.440
I can't do nothing with that.
00:17:33.759 --> 00:17:35.039
K, you can't do nothing.
00:17:35.359 --> 00:17:36.000
You can't pay nothing.
00:17:36.079 --> 00:17:37.440
I mean, you can pay a little something.
00:17:37.680 --> 00:17:39.440
A little car, a little piece of car.
00:17:40.079 --> 00:17:42.880
Something, but like, bro, that ain't gonna get it.
00:17:43.039 --> 00:17:47.839
Is$20K a year enough for you and your family to survive on without you?
00:17:48.079 --> 00:17:51.759
Now, now you now now see that's I want to just paint the picture.
00:17:51.839 --> 00:17:59.680
Is$500K in an investment account with an average 4% return rate on that$500K?
00:18:00.000 --> 00:18:02.960
Let's not say you're in an older house and your roof goes out.
00:18:03.279 --> 00:18:04.720
Where do you get that money from?
00:18:05.200 --> 00:18:06.319
That happens.
00:18:07.039 --> 00:18:12.559
And doesn't research say that it costs$18,000 per year to take care of one child.
00:18:12.799 --> 00:18:15.519
Yeah, it's like it's a it's a crazy.
00:18:15.839 --> 00:18:16.720
It's a beast.
00:18:17.359 --> 00:18:18.640
Children are expensive.
00:18:19.279 --> 00:18:21.279
Just there's a layer nobody's briefing you on.
00:18:21.440 --> 00:18:28.559
Larae told you about the DOW already, moving money internally through reprogramming authority, which is crazy.
00:18:28.720 --> 00:18:30.319
But you do what you gotta do.
00:18:30.480 --> 00:18:38.240
Uh, which means the discretionary programs that touch your daily life are already under financial pressure, right?
00:18:38.720 --> 00:18:45.359
So right now, today, before any supplemental is approved, K has your action order.
00:18:45.680 --> 00:18:49.279
Florian told you Congress hasn't approved this yet.
00:18:49.519 --> 00:18:53.839
B told you what it's already costing you at the gas pump.
00:18:54.079 --> 00:19:02.960
Now, I need to tell you what happens if that$200 billion doesn't get approved because this is not a theoretical scenario.
00:19:03.200 --> 00:19:10.640
And when the Pentagon can't fund a war from a supplemental, history tells us exactly where they go looking for the money.
00:19:10.799 --> 00:19:12.799
They look inside the base budget.
00:19:12.960 --> 00:19:13.680
They look at you.
00:19:13.839 --> 00:19:15.680
I want to take you back to 2013.
00:19:15.839 --> 00:19:45.200
The DOD base budget was hit with an automatic across the board cut, tuition assistance suspended, all branches mid-semester, no warning, civilian workforce furload, installation services, healthcare admin, base maintenance all reduced, wait times spiked, child development centers reduced hours, working parents on base absorbed the schedule impact immediately.
00:19:45.519 --> 00:20:06.960
Commissary subsidies cut, prices went up, some locations reduced operation operating hours, training exercises canceled, flying hours reduced, units went on non-current on qualifications, PCS moves deferred, orders delayed, families left in limbo for months.
00:20:13.920 --> 00:20:18.880
That's a taste of what's to come if this thing is not approved or this thing is pushed back.
00:20:19.119 --> 00:20:23.359
You already have had a taste of what that feels like, and you knew it was uncomfortable.
00:20:23.519 --> 00:20:24.720
Are y'all ready for that?
00:20:25.519 --> 00:20:32.000
This is sequestration under a budget dispute with no active war running.
00:20:32.160 --> 00:20:45.599
Now imagine that dynamic with a 1.4 billion per day burn rate in Iran still needing to be funded, and the DOD already exercising reprogramming authority inside the base budget.
00:20:45.759 --> 00:20:48.720
Here's what's protected by law and what's not.
00:20:48.960 --> 00:20:59.359
Protected is military base pay, so your BAH and BAS allowance retired military pay, VA disability compensation, SGLI.
00:20:59.519 --> 00:21:21.839
At risk is going to be your tuition assistance, PCS moving funding, TDY travel budgets, commissary subsidies, CDC and family support services, civilian workforce on your installation, military construction and base improvements, training, exercise funding, equipment maintenance schedules.
00:21:23.039 --> 00:21:33.359
Your paycheck is protected, your allowances are protected, but everything that makes your daily life on that installation functional, that is discretionary.
00:21:33.839 --> 00:21:35.759
And so here's your action order.
00:21:36.000 --> 00:21:41.759
Five things you execute now before any announcement, before any official word comes down.
00:21:42.160 --> 00:21:43.279
Action one.
00:22:00.079 --> 00:22:00.960
You were locked out.
00:22:01.119 --> 00:22:07.599
If you are currently enrolled or planning to enroll in the next term, submit your TA application now.
00:22:07.920 --> 00:22:10.720
Don't wait for the next registration deadline.
00:22:10.960 --> 00:22:12.880
Don't wait for official guidance.
00:22:13.119 --> 00:22:18.559
The window between budget stress and TA suspension is measured in days, not weeks.
00:22:18.720 --> 00:22:24.720
Action two if your PCS orders are pending, push for execution now.
00:22:25.599 --> 00:22:29.680
PCS move funding comes out of operations and maintenance accounts.
00:22:29.839 --> 00:22:35.599
If your orders are cut but your move hasn't been scheduled, get it on the calendar this week.
00:22:35.759 --> 00:22:40.160
A move in progress is far harder to freeze than a move that's only on paper.
00:22:40.319 --> 00:22:44.640
Action three, inventory your installation dependencies.
00:22:44.880 --> 00:22:46.880
Do you use the Child Development Center?
00:22:47.039 --> 00:22:49.119
Know the backup child care plan?
00:22:49.519 --> 00:22:52.799
Do you rely on base health care for primary care?
00:22:53.039 --> 00:22:55.599
Know your TriCare off-base options?
00:22:55.839 --> 00:22:59.519
Do you shop the commissary as a primary grocery store?
00:22:59.759 --> 00:23:03.200
Know your off-base budget impact if hours reduce.
00:23:03.599 --> 00:23:06.960
Do you use the education center for TA processing?
00:23:07.119 --> 00:23:10.400
Know the direct service branch portal as a backup.
00:23:10.640 --> 00:23:15.440
Does your unit rely on civilian contractors for maintenance or admin?
00:23:15.759 --> 00:23:18.720
Know who covers those functions if furloughs hit.
00:23:19.039 --> 00:23:20.960
This is not a doom exercise.
00:23:21.119 --> 00:23:22.960
This is a readiness exercise.
00:23:23.200 --> 00:23:32.880
The service members who got hurt in 2013 were the ones who had no plan B when the installation services they depended on changed overnight.
00:23:33.119 --> 00:23:35.680
Know your dependencies, build your contingency.
00:23:35.920 --> 00:23:41.440
Action four do not commit TDY money if you haven't received yet.
00:23:43.039 --> 00:23:46.319
This catches junior members the hardest.
00:23:46.559 --> 00:23:53.759
A TDY assignment gets scheduled, the service member floats personal expenses expecting reimbursement.
00:23:54.079 --> 00:23:55.759
The budget tightens.
00:23:55.920 --> 00:23:59.519
The reimbursement takes 90 days instead of 30.
00:24:00.079 --> 00:24:04.079
Don't use TDY reimbursements as cash flow.
00:24:04.400 --> 00:24:10.480
Pay out of your liquid reserve, which is why B's point about financial buffers matters here too.
00:24:10.720 --> 00:24:11.920
Action 5.
00:24:12.160 --> 00:24:16.000
Connect with your command financial specialist this week.
00:24:16.559 --> 00:24:27.839
Command Financial Specialist, free on every installation, trained to help you audit your financial exposure, review your SGLI coverage, and build a contingency plan.
00:24:30.799 --> 00:24:37.440
The official source for DoD budget execution updates when reprogramming actions are taken.
00:24:37.599 --> 00:24:38.960
They're documented here.
00:24:39.279 --> 00:24:48.480
Your installation financial readiness office, they will have early situational awareness on program changes before official announcement.
00:24:48.799 --> 00:24:51.839
Make contact now, not after the assignments.
00:24:52.000 --> 00:24:55.759
Here's the bottom line:$200 billion hasn't been approved.
00:24:55.920 --> 00:24:59.519
The DOD is already moving money internally.
00:25:00.079 --> 00:25:07.039
An award burning at$1.4 billion a day does not pause while the paperwork catches up.
00:25:07.359 --> 00:25:14.160
You now know what to watch, what to protect, and what to execute before any announcement drops.
00:25:14.400 --> 00:25:25.839
Alright, so again to recap everything, you guys,$200 billion,$1.4 billion a day, 80 cents more per gallon at the pump.
00:25:26.240 --> 00:25:35.680
Grocery price uh prices are climbing, DOW authority already in motion, discretionary programs under pressure, and a war with no publicly stated end date.
00:25:35.759 --> 00:25:36.960
It's a lot going on.
00:25:37.200 --> 00:25:38.799
That's not doom and gloom, though.
00:25:38.960 --> 00:25:42.000
That's just the operational picture that you guys need to see.
00:25:42.240 --> 00:25:45.920
And when you understand the operational picture, you can prepare for it.
00:25:46.079 --> 00:25:48.880
Michaela just handed you the five action items.
00:25:49.519 --> 00:25:55.440
Ray just gave you the financial architecture, including what the DOW does with your money while the supplemental is still pending.
00:25:56.079 --> 00:25:57.920
Be translated into your daily life.
00:25:58.079 --> 00:26:01.839
I need you guys to understand something before you close this video out.
00:26:02.240 --> 00:26:04.000
We called this out weeks ago.
00:26:04.079 --> 00:26:05.039
That's how we get down.
00:26:05.359 --> 00:26:07.920
We told you that a supplemental request was coming.
00:26:08.000 --> 00:26:09.440
We told you it would be large.
00:26:09.519 --> 00:26:17.599
We told you that the financial fallout of this campaign would reach into the homes of every service member, whether they are deployed or not.
00:26:17.920 --> 00:26:20.160
This is why you stay with us.
00:26:20.319 --> 00:26:22.319
Before you leave, though, three things.
00:26:22.480 --> 00:26:25.200
One, drop Warrior Wealth in the comments right now.
00:26:25.359 --> 00:26:28.319
Let me know that you guys got the intel and you down with us.
00:26:28.400 --> 00:26:35.680
Number two, share this episode with one active duty member, one veteran, one family member who needs to hear it so they are prepared.
00:26:35.839 --> 00:26:37.599
One share is your mission today.
00:26:37.759 --> 00:26:46.160
Number three, subscribe, like, comment, hit that notification bell because when we hit this up next, you ain't gonna want to miss it.
00:26:46.240 --> 00:26:48.319
This has been the Skip International Podcast.
00:26:48.400 --> 00:26:52.240
Remember, Situations, Conversations, Inspire Intellectual Futures.
00:26:52.480 --> 00:26:54.880
Like my father, Milton Kelsey, U.S.
00:26:54.960 --> 00:26:56.160
Navy, used to say.
00:27:03.680 --> 00:27:06.319
Until the next one, you guys be safe out there.
00:27:06.559 --> 00:27:07.119
All right?
00:27:08.880 --> 00:27:09.279
Peace.
