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Key Findings

1. Military permanent change-of-station (PCS) moves have a substantial negative impact on spousal earnings that can last beyond the year of the move.
2. Spouses with children under age 6 are particularly adversely affected by PCS moves.
3. Both male and female military spouse earnings are affected by PCS moves.

In the first decade of the 21st century, hundreds of thousands of married individuals served in active-duty roles in the U.S. military. Active duty imposes a unique and often stressful lifestyle on couples and families; even in peacetime, frequent duty location changes can interrupt valued support networks and children's education. Spouses' career earnings may be especially affected by permanent change-of-station (PCS) moves. Job-specific skills and knowledge gained while one is working are essentially lost at the end of that job and must be developed again in a new position. Moreover, spouses seeking work in occupations that require state certification or licensing may face employment barriers if their previous credentials are not recognized at their new location. Finally, the inherently disruptive nature of moving could have negative effects on productivity, thereby lowering wages.