Effective January 1, 2013 active duty service members will see an average BAH rate increase of 3.8% or $60 for Basic Allowance Housing. The 2013 proposed increase was 4.2% so this is slightly lower than anticipated but compared to 2012 where it was 2% it is much better.
The largest increases were in the following Military Housing Areas
- New York City – 14.7% increase
- Altus Air Force Base in Oklahoma 14.1%
- Sumter/Shaw Air Force Base, S.C. – 11.8%
- Honolulu County, Hawaii – 11.2%
- Hanscom Air Force Base, ME – 10.8%
Approximately 21% BAH areas received a net decrease including most soldiers at Fort Bragg. The silver lining to the decreases is that service members in these areas will not see their BAH rate decrease. Service members have individual rate protection against any decrease and only newly reporting members to the these locations would receive the lower BAH rate. This protects service members already entered into leasing contracts.
BAH rates are determined by three components: median current market rent; average utilities (including electricity, heat, and water/sewer) and average renter’s insurance. By law, BAH rates vary between pay grades because it is determined in part by assessing the housing of civilians in similar pay brackets. This calculation will result in varying increases and decreases by grade in the same MHA. For instance, the cost of a 1 bedroom apartment in San Antonio, TX may show a decrease year over year while a 3 bedroom townhouse may show an increase year over year. This would result in grades utilizing the 1 bedroom apartment calculation with a BAH decrease and grades utilizing the 3 bedroom townhouse calculation with a BAH increase. So even if a soldier is in an area showing a decrease, that particular soldier or grade may see a BAH increase. More explanation on BAH rate differences.
With the 2013 BAH rate increase an estimated $20 billion will be paid to more than 1 million service members in the forthcoming year.
Service members who reside overseas receive an overseas housing allowance and are not impacted by this rate increase.
|2012-2013 BAH (Basic Allowance Housing) Comparison|
|2012 Increase||2013 Proposed Increase||2013 Actual Increase|
Calculate or look up 2013 BAH Rates by Pay Grade, State and MHA
BAH Rate Tables
2013 BAS (Basic Allowance for Subsistence) Rate Increase
The DOD (Department of Defense) also announced the new basic allowance for subsistence, or BAS, rates for military service members. Effective January 1, 2013 service members will receive $352.27 a month, up from $348.44 per month this year. Officers will receive $242.60 a month, up from $239.96 in 2012. The 2013 proposed BAS (Basic Allowance for Subsistence) was 3.4% and this increase reflects a 1.09% increase.
BAS (Basic Allowance for Subsistence) is a non-taxable, cash payment allowance intended to defray a portion of cost of subsistence. BAS offsets costs for a service member’s food.
|2012-2013 BAS (Basic Allowance for Subsistence) Comparison|
|2012||2013||Proposed Increase||Actual Increase|
|Enlisted||$ 348.44||$ 352.27||3.40%||1.09%|
|Officers||$ 239.96||$ 242.60||3.40%||1.09%|
The BAH and BAS rate increases are effective for all branch’s of the military; Air Force, Army, Coast Guard, Marines, Navy and Reserves forces where applicable.