If President Barack Obama and Congress don't reach a compromise to avoid the so-called "fiscal cliff," the military could see even more severe cuts to its budget.
In fact, the Department of Defense could face $600 billion in cuts in the next decade, according to the nonprofit National Military Family Association.
The cuts could affect family programs, health care, housing and more. Military contractors are also bracing for cuts, Politico reported.
However, some items—such as pay, military retirement pay, and TRICARE for Life—cannot be cut, the NMFA report added.
For more details, read the association’s report, The View from the Ledge: The Fiscal Cliff and How it Affects Military Families.
For more information on how the fiscal cliff might impact incomes of other earners, read The Fiscal Cliff and Your Paychecks.
How will the impending budget cuts and tax hikes impact your family? Let us know in the comments section.