thedrifter
12-29-06, 03:22 PM
December 29, 2006
Pay, BAH increases take effect Monday
By Rick Maze
Staff writer
Basic pay and military allowances for housing and subsistence increase Monday.
The increases take effect Jan. 1 and should first appear in mid-January paychecks.
For all ranks, basic pay increases by 2.2 percent, an amount identical to the pay raise for federal civilian workers.
The 2.2 percent raise, which also applies to drill pay for reservists, follows a federal pay formula to match the average private-sector pay increase in 2005, when the 2007 budget was being prepared.
In the meantime, private-sector raises have grown to an average of 3 percent in 2006, which is the proposed level for the 2008 military raise unless the Bush administration or Congress changes the amount.
Although it’s the smallest pay hike since 1988, the 2.2 percent raise is enough to prevent the value of military pay from eroding. The U.S. Labor Department’s Bureau of Labor Statistics reported Dec. 15 that consumer prices increased by 2 percent over the previous year.
There will be another basic pay increase April 1 for some service members, when targeted pay increases for midgrade enlisted members and warrant officers take effect and when new longevity pay increases are added to the military pay table to provide increases for senior enlisted members and officers who have more than 30 years of service.
In addition to basic pay increases, there will be a 3.5 percent increase in basic allowance for subsistence Jan. 1, an adjustment intended to keep pace with rising food prices, and an average 3.5 percent increase in basic allowance for housing, to match the cost of rental housing. Housing allowance rates vary by rank, dependency status and location.
Subsistence and housing allowances are not paid to everyone. The food allowance is paid to those who are not required to eat in government dining facilities, and the housing allowance is paid to those who are not provided government housing.
Ellie
Pay, BAH increases take effect Monday
By Rick Maze
Staff writer
Basic pay and military allowances for housing and subsistence increase Monday.
The increases take effect Jan. 1 and should first appear in mid-January paychecks.
For all ranks, basic pay increases by 2.2 percent, an amount identical to the pay raise for federal civilian workers.
The 2.2 percent raise, which also applies to drill pay for reservists, follows a federal pay formula to match the average private-sector pay increase in 2005, when the 2007 budget was being prepared.
In the meantime, private-sector raises have grown to an average of 3 percent in 2006, which is the proposed level for the 2008 military raise unless the Bush administration or Congress changes the amount.
Although it’s the smallest pay hike since 1988, the 2.2 percent raise is enough to prevent the value of military pay from eroding. The U.S. Labor Department’s Bureau of Labor Statistics reported Dec. 15 that consumer prices increased by 2 percent over the previous year.
There will be another basic pay increase April 1 for some service members, when targeted pay increases for midgrade enlisted members and warrant officers take effect and when new longevity pay increases are added to the military pay table to provide increases for senior enlisted members and officers who have more than 30 years of service.
In addition to basic pay increases, there will be a 3.5 percent increase in basic allowance for subsistence Jan. 1, an adjustment intended to keep pace with rising food prices, and an average 3.5 percent increase in basic allowance for housing, to match the cost of rental housing. Housing allowance rates vary by rank, dependency status and location.
Subsistence and housing allowances are not paid to everyone. The food allowance is paid to those who are not required to eat in government dining facilities, and the housing allowance is paid to those who are not provided government housing.
Ellie