It’s that time again when pay changes for all of our soldiers. Some of us will be seeing increases while others will be seeing decreases this year due to lower BAH at a new duty station or recently announced imminent danger pay changes. See what’s in store for your soldier’s paycheck in 2014.
Base Pay Increase
The President authorized a 1% increase in base pay for 2014.
Basic Allowance for Housing (BAH) Changes
It’s important to remember with the housing allowance changes, you are grandfathered into your higher rate if the rate decreases where you are. For example, if you were already stationed at Fort XYZ on December 31st and the BAH for 2014 dropped by $100, you are grandfathered into the old (higher) rate. If the BAH increased by $100, you will receive that increase. The lower rates only affect new soldiers and their families who are PCSing to that post.
Military Clothing Allowance
The new military clothing allowance rates go into effect on October 1st each year. The basic allowance is for soldiers during the first three years of service. The standard allowance is for soldiers after the first three years of service. This allowance is paid annually during the anniversary month.
These allowances are less than they were for FY2013. Costs have not decreased. However, the Army has determined that some items should last longer than previously believed so the cost to replace those items has been prorated over a longer period of time (reducing the annual cost per item).
For the Army, the clothing allowance is as follows:
Imminent Danger Pay Changes
As of June 1st, twenty more areas have been excluded from being hazardous areas, which means imminent danger pay ceases to exist for those soldiers. The Pentagon announced the changes citing that they expect to save over $100 million by implementing this.
The areas include:
- The four water areas of the Arabian Sea, Gulf of Aden, Gulf of Oman, and the Red Sea.
- The water area and air space above the Persian Gulf.
- The six land areas and air space above Bahrain, Kuwait, Qatar, Saudi Arabia, Serbia and Montenegro.
- The nine land areas of East Timor, Liberia, Haiti, Oman, Rwanda, Tajikistan, United Arab Emirates, Kyrgystan and Uzbekistan.
In areas where imminent danger pay remains in tact, soldiers either receive a maximum of $225/month. If a soldier is not in the area for the full month, IDP is prorated at $7.50/day.
Interestingly enough, two areas where we currently don’t have troops deployed remain on the list for IDP – Iran and Syria.
How is this affecting your budget? What do you think about the pay changes for 2014?