Helpful tips

How are BAH rates determined?

How are BAH rates determined?

The allowance is set based on geographic duty location, pay grade, and dependent status. The Department of Defense and the Services designed the BAH program to provide accurate housing allowances based on the market price of rental housing rather than member-reported rents.

What are BAH rates?

BAH is an allowance to offset the cost of housing when you do not receive government-provided housing. Your BAH depends upon your location, pay grade and whether you have dependents. BAH rates are set by surveying the cost of rental properties in each geographic location.

What is BAH based off of?

Basic Allowance for Housing rates are based on local area rental market data and vary by geographic duty station, pay grade and dependency status. The cost of utilities is also considered. BAH is based only on rental properties, not homeownership costs like mortgage payments and property taxes.

How Does BAH work in the Navy?

BAH is meant to reflect current rental market conditions, which means service members are compensated for typical housing costs around their duty station. If you find a rental cheaper than your actual BAH, you can keep the difference. If you live on base, your entire housing allowance goes toward your living expenses.

Can BAH be used to calculate child support?

The military housing allowance, now called the Basic Allowance for Housing (BAH), is nontaxable allowance paid to service members who do not live in government housing. Both pay and all allowances are used to calculate child support. The housing allowance is different for all ranks.

How Does BAH work with the GI Bill?

The GI Bill housing allowance. The VA uses the Department of Defense Basic Allowance for Housing, or BAH, rates to calculate how much you will receive. If you are pursuing a degree entirely online, you will only receive half of the national BAH average. For the 2019-2020 school year, that amounts to $894.50 per month.

What is Bas pay for military?

Basic Allowance for Subsistence (BAS) pays for the cost of a military member’s meals when dining at their permanent duty station. Although BAS is meant to offset the cost of a member’s meals, it doesn’t cover the costs of meals for family members.

What is Type 2 BAH?

Basic Allowance for Housing Reserve Component/Transient, formerly known as BAH Type II, is an allowance for members in particular circumstances, such as those serving on active duty for less than 30 days. Unlike regular BAH, it does not vary by location, but it does vary based on paygrade and family status.

What rank do you get BAH in the Navy?

Rank or Rate There is no difference in BAH because of the size of a family. A captain, pay grade 0-6, an officer with dependents, receives $2,139 per month at the same duty station, almost twice the amount a petty officer 3rd class receives. A captain without dependents receives $1,605 per month.

What’s the difference between bah and basic allowance?

Basic Allowance for Housing. BAH is an allowance to offset the cost of housing when you do not receive government-provided housing. Your BAH depends upon your location, pay grade and whether you have dependents. BAH rates are set by surveying the cost of rental properties in each geographic location.

How is the Bah calculated for each level of housing?

Calculating the BAH Rates. Once the calculated housing costs are compiled for each of the 39 levels, the amount of BAH is calculated based upon a percentage. Historically, BAH was calculated at 80% of the calculated housing costs. During the last two decades, the BAH calculation was changed to pay 100% of the calculated housing costs.

How to calculate BAH for military pay grade?

How to Calculate BAH 1 Enter the Duty Station ZIP code. 2 Enter the service member’s pay grade. 3 Enter the year. By default it is set to the current year. However, previous years are available to see previous rates or… More

Why is duty location used as a basis for Bah?

The policy decision to use duty location as a basis for BAH is based on the desire to compensate members for the typical housing cost near the member’s duty location. Once the duty station is known, the BAH compensation is fixed, regardless of where the member lives.

Share this post