Bipartisan legislation introduced by U.S. Rep. Ann Wagner (R-MO) seeks to improve and enhance financial training for United States military servicemembers and their spouses.
Rep. Wagner on Nov. 4 sponsored the Financial Readiness of America’s Servicemembers Act of 2021, H.R. 5888, with original cosponsor U.S. Rep. David Scott (D-GA) to specifically bolster the provision of financial literacy training and information related to the Blended Retirement System to members of the U.S. Armed Forces, according to the text of the bill.
“Military families sacrifice so much for us, and we must ensure they have every tool they need to provide for their financial security and that of their family,” said Rep. Wagner. “This bill is especially important this week as we recognize the sacrifices veterans have made for us on Veterans Day, and I will continue to work with my colleagues on both sides of the aisle to help our veterans however I am able.”
If enacted, H.R. 5888 would require the U.S. Defense Secretary to develop a standard minimum curriculum across all military departments on financial training focused on ensuring that members of the Armed Forces develop proficiency in financial literacy rather than focusing on completion of training modules; is based on best practices in the financial services industry; and is designed to address the needs of members and their families, according to the bill’s texts.
The Defense Secretary also must ensure that such training is conducted by a registered investment adviser or a broker-dealer registered with the Securities and Exchange Commission who utilizes instructors with advanced credentials, the bill says.
Additionally, H.R. 5888 calls for the establishment of an Advisory Council on Financial Readiness consisting of 15 members appointed by the Defense Secretary to advise the secretary on matters related to the financial literacy and financial readiness of service members and to submit recommendations to the secretary regarding such matters. The secretary then will report to Congress on the recommendations and their status, the bill says.
The measure has been referred for consideration to both the U.S. House Armed Services Committee and the U.S. House Oversight and Reform Committee.