cash advance

Discussion in 'Military Academy - USMA' started by Jonathan, Jun 5, 2012.

  1. Jonathan

    Jonathan New Member

    Joined:
    May 13, 2012
    Messages:
    5
    Likes Received:
    0
    So I was looking on the internet through other forums and sites and on only a hand few I came across something saying that cadets get an advance of $5500 to offset the initial costs such as the deposit and such. Is this true?
     
  2. 1017225

    1017225 Member

    Joined:
    May 10, 2011
    Messages:
    103
    Likes Received:
    0
    I believe the figure is $7,200 and it is for initial expenses, but rhe initial deposit is still a requirement.
     
  3. hawk

    hawk ButterBar Dad

    Joined:
    Jan 31, 2010
    Messages:
    856
    Likes Received:
    65
    You still have to pay the deposit and covers up front costs and it's intended to cover costs if a new cadet drops early.

    The advance is essentially against your earnings as a cadet, and is used to cover uniforms, textbooks, etc. You do not have access to it early on.

    Most of your pay each month is used to pay back that advance, but a cadet received $225 as a plebe (c/o 2015), and it goes up slightly as a yearling.

    There are changes once you become a cow (junior).

    Appointees will receive a pdf that explains this, and there are other financial things you'll need to work prior to R-day.

    One last thing, if the context of your question is if the deposit is needed.... it is. But if you and family are not in a position to handle that USMA can make special arrangements. So that should not be a barrier to an otherwise excellent candidate!
     
  4. Jonathan

    Jonathan New Member

    Joined:
    May 13, 2012
    Messages:
    5
    Likes Received:
    0
    What I don't understand is that if there is a cash advance then why can't I use it to pay off the initial deposit that we are required to pay. Becouse I can't afford the initial deposit so they said they will remove roughly 45 dollars a month for 4 years from the pay I get each month. Instead of ding that what I'm asking is why can't I just use the 7200 and pay it off.
     
  5. hawk

    hawk ButterBar Dad

    Joined:
    Jan 31, 2010
    Messages:
    856
    Likes Received:
    65
    The $2000 deposit covers your expenses up to the time you start getting paid.

    For c/o 2015 the advance was $6360. You never see that amount, and if it exists it's in your cadet account and you do not get to touch it initially.

    To be clear: you get no cash advance in your hand as a plebe, and the advance is only there because you incur expenses faster than you earn money as a plebe. This is not a signing bonus!

    So the way to look at it is that your expenses for R-day through your first two years are roughly $8360 (2000 +the advance). That may not be exactly two years, or your exact figures, but use it as an example.

    Each month you get paid. $265 is deducted to pay back the advance. $339 goes into your account as "savings". And you are left with $225 as your plebe allowance after taxes.

    if you do not have the $2000 for the deposit, they will loan it to you, but your advance becomes $8369. They then will deduct paying back the $2000 from your monthly pay as well, in your case apparently an addition $45/mth.

    This is outlined in the "Info for new cadets" document on the portal. The name may be different, but it will be something like that. Also, the figures have likely changed slightly, but are in the ballpark.

    I'd really recommend getting someone from USMA or your local field force rep to help you sort this, it's hard to explain on a forum. (Maybe someone can do a better job of explanation??)
     
  6. TheKnight

    TheKnight Class of 2014

    Joined:
    Jun 8, 2009
    Messages:
    289
    Likes Received:
    1
    You will not get any money until you get back on A-day and look at your bank account and see the deposit of your paycheck ($225 if you pay the initial $2000, $175 if you don't) for the months of July and August.

    Any other funds that are mentioned to you are, in essence, monopoly money that you hear about and never see. The cadet account is a strange work of banking magic and even when you do get access to topoff, how it all works is still pretty mysterious.

    Unless, of course, you go down to penfed and have them explain it to you. I've done that, it really isn't all that interesting but has a lot to do with the fact that you don't actually see what you get paid.

    Cadets make about $990 a month, but only see a percentage of it. The rest goes to pay for things that you'll use.

    Let me be clear, the $2000 is for your laptop that you will be issued after Beast. The laptops we are issued are considered personal laptops that we have purchased. Which is why your pay gets docked if you don't supply the $2000.

    This is explained in detail when you receive the laptop. If you don't pay the $2000, then the expense for the laptop comes from your pay for (I think it's just the first two years) some time until the expense is paid. If you don't have the money for it, don't worry about it. It won't be that bad.


    Bottom line is, all you need to think about concerning money is:
    1. West Point is "free"
    2. You get a paycheck once a month that is a percentage of what you make in total
    3. The $2,000 goes towards computer stuff.

    Anything anyone else tells you about advances and money is an attempt at explaining the banking behind how everything is funded, which isn't all that relevant to everyday Cadet operations.

    You asked why can't they take the initial deposit from the 7200 advance? The answer is that if you don't provide the 2000, they do take from that advance. Part of the "advance" (it's really more like a loan) is the pay you actually see. It's not like you get this amazing advance of money and also get paid. It all comes from the same pot. So when you don't pay the $2000 initially, the same pot has less money in it. Your cadet pay also comes from this pot.
     
  7. buff81

    buff81 Moderator

    Joined:
    Oct 31, 2008
    Messages:
    2,644
    Likes Received:
    263
    I have heard many ,many times that the $2000 is not for the computer.

    Per the Instructions for Candidates Offered Admission - Class of 2016:
    'The purpose of the nonrefundable deposit is to establish a cadet account with the Treasurer. It is not for the purchase of a cadet’s computer.'

    Point is - a $2,000 deposit is required prior to 1 July. If a cadet candidate can not pay this deposit, then they need to contact WP and arrangements will be made.
     
  8. TheKnight

    TheKnight Class of 2014

    Joined:
    Jun 8, 2009
    Messages:
    289
    Likes Received:
    1

    The purpose of the $2000 may, from an admissions perspective, be to establish a cadet account. But when the time comes to draw money from that cadet account for the $2,000 computer, whether or not you put that initial $2000 deposit into the account will make a significant difference (hence the lower pay if you don't pay it).

    So it could be said that it doesn't go towards the computer because, theoretically, when the $2000 is initially input, it isn't buying a computer. However, down the line a cadet who paid the initial $2000 and one who did not will all have the same funding advances for issued items except the computer. When going over the cadet account and the allotment of funds for issued items, the only place a real difference exists for those who paid and those who didn't is in terms of the computer.


    Either way, none of this precludes following instructions offered by admissions. The entire point of my posts is to simply point out that one will not be at a significant loss by not paying the $2000.
     
  9. mellowgator

    mellowgator Member

    Joined:
    Mar 9, 2012
    Messages:
    59
    Likes Received:
    0
    Do you have to repay advance if you seperate?

    Dd seperated from West Point a month after beast. Does she have to repay her advance?
     
  10. westpolisgirl2

    westpolisgirl2 Member

    Joined:
    Jul 17, 2010
    Messages:
    11
    Likes Received:
    0
    mellowgator,
    i'm just a current plebe, but i'm pretty for sure that cadets can leave usma at any point prior to signing at the beginning of cow year without owing west point anything whatsoever.
     
  11. BigBear

    BigBear Class of 2015

    Joined:
    Jan 12, 2011
    Messages:
    699
    Likes Received:
    1
    Probably not if they haven't already asked her/you to pay them back.
     

Share This Page