Expert: Cynthia Bedell - 1/9/2009

Question
My daughter will graduate in May with BA degree in English. Scored over 120 on the ASVAB. 43K in college loans and considering enlisted to get the loan benefits. Is hoping to get into OCS after a few years and the loans are at least half gone. Does her enlisted MOS (intelligence)play any role in future Branch assignment if she chooses to go OCS? Also as a father I'm torn between her financial obligations and what may be most beneficial career wise both now and post Army life if she is not a career soldier.

Answer
Dear Steve --

If your daughter enlists, she should ensure she is granted the enlistment bonus that pays off her college loans.  She can receive up to $10,000 a year, for up to four years.  The loan repayment is taxable so she would only get about $7,500 each year to repay the loans.  She would also have to pay quarterly estimated taxes, because the loans are paid directly to the school, or loan agency, but count against her income.

So in a little under five years, she would be nearly debt free.  Further, if she enlists, she can defer her guaranteed loans (school or Fannie Mae) for up to four years interest deferred.  That way she is not accruing interest nor expected to repay monthly, while the government is paying her loan annually.

If she enlists for intelligence, she is guaranteed that field as long as she does well enough in her training classes.  However, if she attends OCS, she is not guaranteed to be commissioned as an intelligence officer.

Once she becomes a commissioned officer, if she does well, she will be a sought after leader/manager by many businesses and government agencies.  She really need not worry about her branch as long as it is a field that interests her, and that she thinks she will do well in.

If her biggest concern is getting her loans paid off, and she is not wedded to the ideal of serving in the military, she should look at the USA jobs website.  There are a number of jobs there for a college graduate, that could include a recruitment bonus of college loan repayment.

Please write back if you have additional questions or concerns.  Good luck to you both.