DoD Releases 2015 Military Pay and Compensation Rates Today, the Department of Defense announced the 2015 military pay and compensation rates for service members. The new rates for basic pay, basic allowance for housing (BAH), basic allowance for subsistence (BAS), and the cost of living allowance (COLA) rates for the contiguous United States will take effect on Jan. 1, 2015. Basic pay for service members will increase one percent, except for general and flag officers who will not see an increase in 2015. For example, an E-4 with three years of service will see an increase in basic pay of $22.20 per month, while an O-3 with six years of service will increase basic pay increase $54.30 per month in 2015. BAH rates for service members in 2015 will increase on average $17 per month, or 0.5 percent. Rates are calculated using median current market rent and average utilities (including electricity, heat, and water/sewer) for each pay grade, both with and without dependents. Two changes were made to BAH rate computations for 2015: renters insurance, which contributed an average of one percent to rates was eliminated, and the Fiscal Year 2015 National Defense Authorization Act reduced housing rates on average one percent for service members. However, individual rate protection for service members remains an integral part of the BAH program. This means that even if BAH rates decline including through the elimination of renters insurance and the reduction in the calculated rate a service member who maintains uninterrupted BAH eligibility in a given location will not see a rate decrease. This ensures that service members who have made long-term commitments in the form of a lease or contract are not penalized if local housing costs decrease. Service members can calculate their BAH payment by using the basic allowance for Housing calculator at: defensetravel.dod.mil/site/bahCalc.cfm.
Posted on: Tue, 23 Dec 2014 20:57:38 +0000
Trending Topics
Recently Viewed Topics
© 2015