Military Pay Chart 2023 Military Pay Chart Calculator
Military Pay Chart 2023, Military pay raises are based on an annual Employment Cost Index report. That compares the difference between military salaries and wages in the private sector.
However, the gap between military and private sector wages widened from 2.4 percent to 4.6% since 2014. MOAA closely tracks ECI reports because of the link between the two. But it also considers Presidential recommendations. And other factors that may affect the final determination.
Basic pay is the base rate of salary that is due to service members in each rank. The amount of your basic pay depends on two factors: your years of service and your military rank.
Unless you’re in a tax-free combat zone, basic pay is taxed like ordinary income. That’s why it’s important to understand how it works.
A service member’s basic pay is subject to a yearly review by the government. Which compares it to growth in private-sector wages. This adjustment is usually funded by Congress.
There are several types of pay that a service member can receive. That is including basic pay, special pay, and allowances. Getting to know each one can help you build a financial plan that works for your family.
Basic Allowance for Housing (BAH)
Housing Allowance (BAH) is a monthly stipend. When government quarters are unavailable. This pays military members to offset the expense of off-base private lodging. It is given to both service members who have dependents and those who do not. Depending on their pay grade and location of duty.
The Department of Defense (DoD) collects yearly data. On rental markets across the country to determine BAH rates. The data is based on the median rent and utilities in each area. Which are linked to six “housing profiles” that vary by dwelling type and the number of bedrooms.
To calculate a military member’s BAH. The DoD links their pay grade and dependency status to these housing profiles. It then reassesses these profiles annually, adjusting for any changes in housing costs.
BAH rates vary for different pay grades and dependents. And change based on the Defense budget. Rates are adjusted on January 1st every year, but they may be updated earlier or later if your pay grade changes. Or you lose dependents through a divorce, aging out of dependency, or death.
Basic Allowance for Subsistence (BAS)
The basic Allowance for Subsistence (BAS) is a tax-free monthly allowance. That helps offset a service member’s food costs. It is adjusted annually to match the changing price of food as measured by the USDA food index.
BAS is an important military benefit for both enlisted and officer personnel. It is available to active-duty service members stationed in the U.S.
BAS is provided to enlisted members who live off-installation in government quarters. They do not provide adequate food storage or preparation facilities. It also is provided to enlisted members who do not live in government quarters. But are assigned to permanent stations that do not have dining facilities and mess halls.
You may receive additional tax-free allowances. Based on your duty station, qualifications, or military specialties. Most of these allowances are not taxable and can be a significant portion of your military pay.
Service members receive several raises throughout their careers that are approved by Congress. They also get longevity increases based on their time in one rank.
The above military pay chart only shows basic pay. Furthermore, it does not take into account non-taxable allowances such as BAH. Other incentives, such as BAS (basic subsistence allowance).
Additional allowances include transportation costs and trip reimbursement. As well as allowances for medical, dental, veterinary, and tiffin/meals. These sums are paid as part of a reimbursement arrangement. And are subject to specific constraints. If you’re not sure if you’re getting an expenditure allowance. For assistance, contact your local FBEAM.