The sequester standoff is forcing budget pressures in several areas, including tuition assistance for soldiers and Marines.
The Army made the announcement on Friday that the tuition assistance program will be suspended.
Approximately 200-thousand soldiers are taking courses through the program. They will be able to complete their current classes, but beginning Saturday, no aid applications for future coursework will be accepted.
The Army's announcement follows a similar decision earlier this week by the Marine Corps.
Army representatives say budget challenges due to general reductions and the sequester struggle led to the decision.
They say the Army will reevaluate the decision should the budget situation improve.
The Air Force will decide the status of its tuition program within the next two weeks and the Navy has not reduced its tuition funding at this point, but is reviewing the benefit.
The Army spent $373 million dollars for tuition assistance last year.
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