How Military Pay Works: Base Pay, Allowances & the 2026 Raise
Updated July 2026
Military pay is more than a salary — it is a mix of taxable base pay and tax-free allowances, which is why "take-home" can be higher than the base number suggests. Here is how the pieces fit together.
Base pay — the taxable foundation
Base pay (or basic pay) is set by your pay grade (rank) and years of service, and it is the same across all branches. It is taxable income and rises with promotions and time in service. See current figures in our pay calculator.
Allowances — the tax-free part
- BAH (Basic Allowance for Housing): tax-free, based on rank, location, and dependent status — often one of the largest parts of your pay. See our BAH guide.
- BAS (Basic Allowance for Subsistence): a tax-free food allowance, set at a flat monthly rate (different for officers and enlisted).
Because these are untaxed, they are worth more than the same amount of base pay.
Special and incentive pays
On top of base pay and allowances, many members earn extra pays for specific duties or conditions — hazardous duty, hostile fire/imminent danger, sea or flight duty, special skills, and enlistment or reenlistment bonuses. These vary by job, location, and branch.
The 2026 pay raise
All active-duty members received a 3.8% basic pay raise effective January 1, 2026 — an across-the-board increase for every rank and years-of-service step. (This is separate from the targeted junior-enlisted raise that took effect in April 2025, which is already built into the current tables.)
Guard & Reserve: drill pay
National Guard and Reserve members are usually paid by the drill, not a full-time monthly salary. A typical drill weekend is four "drill periods," and each period pays 1/30th of the equivalent monthly basic pay for your rank and years of service — so a standard weekend pays roughly four days' worth of base pay. Your two-week annual training is paid as active-duty base pay. When mobilized on active orders (generally 30+ days), you receive full active-duty pay and allowances, including BAH. The 3.8% 2026 raise applies to drill pay too.
How and when you get paid
Military pay is typically deposited twice a month (around the 1st and 15th). Your Leave and Earnings Statement (LES) itemizes base pay, each allowance, special pays, and deductions (taxes, TSP, SGLI). Reviewing your LES is the best way to confirm you are being paid correctly.
Frequently asked questions
Is military base pay the same in every branch?
Yes. Basic pay is set by pay grade and years of service under one federal table that applies to all branches — an E-5 with six years earns the same base pay in the Army as in the Navy. Allowances and special pays can differ by situation, not by branch.
How big is the 2026 military pay raise?
Basic pay increased 3.8% across the board effective January 1, 2026, for all ranks and years-of-service steps. It is separate from the April 2025 targeted raise for junior enlisted, which is already reflected in current pay tables.
Why is military take-home pay higher than base pay suggests?
Because a large share of military compensation comes as tax-free allowances — mainly BAH (housing) and BAS (food). Since those are not taxed, your effective take-home is higher than an equivalent all-taxable civilian salary.
Are BAH and BAS taxed?
No. Both the Basic Allowance for Housing and the Basic Allowance for Subsistence are tax-free, which makes them worth more than the same amount of taxable base pay.