Aerarium militare, founded by Emperor Octavian Augustus in 6 CE, was one of the key pillars of the military and financial stability of the Roman Empire. This fund was used to pay pensions to veterans of the Roman legions, constituting a pioneering support system for soldiers. Its creation aimed to minimise social unrest among veterans and ensure fair payment after leaving the service.
Before the creation ofaerarium militare, financing payments to veterans was the state’s responsibility, but there was no permanent system and funds allocated for this purpose. Veterans who had served in the military for years often returned to civilian life with few resources. The introduction of the fund also had a political dimension – Augustus wanted to create a more stable and loyal army that would not threaten public order after completing its service.
Aerarium militare was financed primarily by two taxes: a 5% inheritance tax (vicesima hereditatum) and a 1% tax on the sale of goods at auctions (centesima rerum venalium). These fees allowed for the maintenance of constant revenues, which were used to cover pensions for veterans after 20 years of service. This fund was therefore not only a financial system but also a social stabilization mechanism.
The creation of the aerarium militare had far-reaching consequences. Firstly, this fund strengthened the legionnaires’ loyalty to the state because it guaranteed them material security after the end of their service. Secondly, it limited the risk of veteran rebellion, a serious threat to Rome in the past.
The introduction of the aerarium militare can also be seen as part of Augustus’ broader strategy to consolidate power and calm social unrest in the empire. The financial stability of the fund contributed to the long-term peace and development of the Roman Empire, and veterans, after completing their service, often became loyal citizens and farmers, which strengthened the social foundations of the state.
