Military Allowances

Military allowances are available in addition to military pay for members of the armed services at home or abroad, living with or without dependents. Allowances help meet costs for housing, clothing, living expenses, travel, and per diem. Pay and allowances are based on factors that may include duty station, occupation, deployment status, and pay grade. Congress determines actual allowance levels each year via The Military Appropriations Act and the Military Authorization Act.

Cost of Living Allowance and Overseas Cost of Living Allowance (COLA)

The COLA helps pay for non-housing expenses in the 97 locations in the continental U.S. (CONUS) where expenses exceed the average cost of living by more than 8 percent.

The Overseas COLA is available at nearly 600 overseas duty stations to equalize costs of living abroad with home-based living expenses, with average monthly supplements at around $300.

Clothing Allowance

The annual Clothing Allowance is paid to military personnel for the repair/replacement of military clothing issued during basic training, and is variable by rank, gender, and specialization. The allowance may include provisions for civilian clothing or special uniforms, based on duty assignments.

Dislocation Allowance

When active duty personnel make a Permanent Change of Station move, the Dislocation Allowance helps to offset moving costs. Two allowances may apply: a primary rate paid upon transfer and a secondary rate paid if you or your dependents move and then your orders are modified, amended, or cancelled.

Housing Allowances and Overseas Housing Allowances

Tax free Housing Allowances are variable, calculated using duty location, number of dependents, military pay grade, and housing costs in the area. The Basic Allowance for Housing (BAH) is based on the assumption that military personnel should not pay out-of-pocket expenses for housing, even in civilian rentals.

Overseas Housing Allowances pay an annual average of approximately $11,800 per military member at 430 overseas locations. The allowance includes full or partial coverage for move-in fees, repair and maintenance, and rent.

Travel and Per Diem

Travel Allowances pay for all of your travel, providing you select the least expensive yet most timely mode of transportation. Per Diem is a daily flat rate that covers meals, lodging, and incidental expenses based on local costs. Travel and Per Diem are available for official business or temporary duty.