Do Veterans Have a Financial Literacy Problem? What UK and US Research Shows

Veterans do not show a general financial literacy problem in the best US data: 50 percent of US veterans scored high on financial literacy in 2024, against 34 percent of non-veterans. UK data uses a different measure. In the 2022 Veterans' Survey, 30.5 percent of UK veterans reported money worries in the past month, and the figure climbs for disabled veterans and for those who felt unprepared for civilian life.

What the US research shows

The FINRA Investor Education Foundation published The Financial Resilience of U.S. Veterans in May 2026. It uses the 2024 State-by-State National Financial Capability Study, with 2018 and 2021 waves for trends.

After adjusting for age, race and ethnicity, and gender, veterans' odds of sitting in a more resilient segment were about 20 percent higher than non-veterans'. Age explains part of the headline gap, because the veteran population is older.

The report also records a slow decline. Veterans in the Standing Strong segment fell from 48 percent in 2018 to 45 percent in 2024, and those in Living on the Edge rose from 20 percent to 23 percent. Younger veterans, non-white veterans and female veterans make up more of the less-resilient segments. Women are 20 percent of Living on the Edge veterans against 12 percent of Standing Strong veterans.

What the UK research shows

The Office for Veterans' Affairs and ONS published the finance and housing analysis of the Veterans' Survey 2022 on 10 January 2025. These are official statistics in development, weighted to UK level. The survey measured money worries and not literacy.

For context, the same release cites a Mental Health Foundation and Opinium poll from November 2022 in which 34.0 percent of UK adults had felt anxious about their personal finances in the past month. That poll used different wording, so treat the comparison as indicative.

Other findings from the survey:

• Income: 5.8 percent of veterans who gave a band earned under £10,400, 43.6 percent £10,400 to £31,099, 29.7 percent £31,100 to £51,949, 16.3 percent £51,950 to £99,999 and 4.6 percent £100,000 or more.
• Housing: 78.9 percent owned their home or had shared ownership, 8.9 percent rented privately and 6.0 percent rented socially.
• Credit use since leaving service: veterans with money worries were more likely to have had a personal loan (67.2 percent against 50.0 percent) and a credit card (77.9 percent against 70.1 percent) than those without worries, and less likely to have a mortgage (68.5 percent against 81.5 percent).
• Almost 60 percent of claimants of Universal Credit, Personal Independence Payment or Adult Disability Payment reported money worries.

What the two countries tell us together

The pattern in both countries points away from a blanket literacy deficit and towards particular groups that need support. Preparation for civilian life shows the widest gap in the UK table above (45.4 percent against 19.1 percent), which links this topic to the income cliff after service.

Reading the numbers with care

Three points keep the comparison honest.

• The populations differ. The FINRA report gives a mean age of 60 for US veterans and 48 for non-veterans. Veterans are also more likely to be married (59 percent against 45 percent) and less likely to have dependents (29 percent against 35 percent), and those differences shape household finances. The age-adjusted result of about 20 percent higher odds of greater resilience is the fairer comparison.
• Literacy and resilience measure different things. Literacy tests knowledge. Resilience segments describe how households cope with shocks. A veteran can score well on one and sit in a weak position on the other.
• The UK figure is a feeling, not a test. A money worry reflects income, housing, health and family circumstances as well as skill. The 2022 survey data was collected during the cost of living crisis.

The practical reading is that UK veterans who felt prepared for civilian life or held officer rank report fewer money worries, and younger, non-white and female veterans sit more often in the weakest US segments. Support works best when it targets those groups at the point of leaving service.

Where to get free money help

The Military Lending Act caps the Military Annual Percentage Rate at 36 percent and bans prepayment penalties and mandatory arbitration on covered credit. It covers active-duty members, activated Reserve and Guard members, their spouses and sometimes their dependents. Veterans who have left service fall outside this protection, so read the CFPB explainer for what changes on leaving.

A short plan for the first 90 days

1. List every source of income after leaving, including pension, benefits and wages, with dates.
2. List all fixed costs and debts with interest rates.
3. Call the free service above that matches your country before borrowing or committing a lump sum.
4. Check your pension position using the pension comparison.
5. For housing decisions, read the VA home loan guide.