Glossary

A guaranteed monthly payment for life. Military retirement pensions (High-3, BRS, Final Pay) and the Survivor Benefit Plan both pay out as annuities indexed to inflation.

A non-taxable monthly allowance that offsets civilian housing costs when government quarters are not provided. Rate depends on duty ZIP, paygrade, and whether you have dependents.

A non-taxable monthly food allowance. Officers receive one flat rate; enlisted receive a higher flat rate. BAS II is a higher enlisted rate for service members in substandard quarters without a mess.

Your taxable monthly salary, set by paygrade and years of service in the DoD pay table. Drives most other entitlements including retirement and TSP contributions.

The retirement system for service members who joined on or after January 1, 2018, or who opted in. Combines a 2.0% multiplier pension with TSP matching up to 5% and a mid-career continuation pay bonus.

The DoD smart card used for identification and secure access to federal computers, networks, and buildings. Required for MyPay, milConnect, and most DoD web portals.

VA-issued document proving you qualify for a VA-backed home loan. Required by lenders before they can underwrite a VA mortgage.

A predecessor GI Bill that pays a flat monthly stipend during active education enrollment. Requires a $1,200 buy-in during initial entry. Largely replaced by Post-9/11 for those who qualify for both.

The modern GI Bill. Pays tuition directly to the school (up to a public in-state cap), plus a Monthly Housing Allowance (MHA) tied to the school ZIP, plus an annual books and supplies stipend.

An annual cash payment to enlisted members to replace worn uniform items. Officers receive a one-time initial allowance instead. Rates vary by branch and gender of uniform.

Extra pay that offsets above-average local costs. CONUS COLA covers a small number of high-cost stateside zones. OCONUS COLA covers all overseas duty stations and fluctuates with exchange rates.

Federal income tax exclusion for pay earned while serving in a designated combat zone. Enlisted and warrant pay is fully excluded; officer exclusion is capped at the senior enlisted base pay plus IDP.

Continental United States. The 48 contiguous states plus DC. Used to distinguish stateside duty from OCONUS (overseas) for allowance rules.

The Certificate of Release or Discharge from Active Duty. The single most important document for veterans; required to claim VA benefits, GI Bill, VA loan, and employment preference.

The DoD database of service members and their dependents. Drives Tricare eligibility, ID card issuance, and dependent allowances. Keep your DEERS record current after PCS, marriage, divorce, or birth.

Reserve and National Guard pay for inactive duty training, typically one weekend per month. Calculated as 1/30 of monthly base pay per drill period, with most weekends counting as four drills.

Enlisted paygrades, from E-1 (Private / Seaman Recruit / Airman Basic) up to E-9 (Sergeant Major / Master Chief / Chief Master Sergeant). Base pay rises with both grade and years of service.

The date your current enlistment contract ends. Triggers separation planning, terminal leave, and DD-214 issuance unless you reenlist or extend.

The retirement system for those who entered service before September 8, 1980. Pension equals 2.5% per year of service multiplied by final month base pay. Most generous, smallest cohort remaining.

A monthly allowance paid when a service member is involuntarily separated from dependents for more than 30 continuous days due to military orders.

A supplemental food allowance for low-income service members with dependents whose household would otherwise qualify for SNAP. CONUS program is largely sunsetted; OCONUS version remains active.

A one-time fee paid on every VA-backed home loan, financed into the loan balance. Ranges from 1.25% to 3.3% based on down payment and whether you have used the benefit before. Waived for VA disability recipients.

Monthly special pay for service members performing hazardous duties such as parachuting, flight deck operations, demolition, or experimental stress duty.

Extra monthly pay for service members assigned to locations designated as having extraordinarily arduous living conditions. Rate varies by location tier.

A flat monthly payment for any service member exposed to hostile fire or an explosive device, even briefly. Cannot be stacked with IDP in the same month; you receive whichever applies.

Retirement system for service members entering between 1980 and 2017 who did not opt into BRS. Pension multiplier is 2.5% per year of service applied to the average base pay of the highest 36 months.

A flat monthly payment for serving in a designated imminent-danger area. Treated equivalently to HFP for tax exclusion; you cannot receive both in the same month.

Your monthly military pay stub. Shows base pay, allowances, deductions, leave balance, and TSP contributions. Pull it from MyPay; check for errors after any PCS, promotion, or status change.

The GI Bill housing stipend, calculated using the E-5-with-dependents BAH rate of the school's ZIP. Reduced 50% for online-only enrollment and for active duty users.

The DFAS self-service portal where you view your LES, change TSP contributions, update direct deposit, and pull W-2s. Login uses your CAC or a MyPay-specific PIN.

Officer paygrades, from O-1 (2nd Lieutenant / Ensign) up to O-10 (4-star General / Admiral). Officer base pay generally exceeds equivalent enlisted years-of-service brackets above E-7.

Pay rates for officers in grades O-1 to O-3 who have at least four years of prior enlisted or warrant service. The E suffix pays a higher base than the standard O-1/O-2/O-3 rate.

Outside the Continental United States. Includes Alaska, Hawaii, and all overseas duty stations. OCONUS duty typically triggers different allowance rules (OHA instead of BAH, OCONUS COLA).

The OCONUS equivalent of BAH. Reimburses actual rent and utilities up to a location-specific cap, rather than paying a flat amount. Settled monthly based on receipts and lease.

A move to a new duty station, typically every 2-4 years. Triggers per-diem, dislocation allowance, household goods shipment, and BAH/OHA recalculation at the new location.

An optional variant of High-3 for those between 1986 and 2017 who took a $30,000 Career Status Bonus at year 15. Multiplier drops to 2.0% per year and COLA is reduced. Rarely the better deal.

An optional annuity that pays your surviving spouse and/or children a portion of your retirement pension after you die. Premium is a percentage of elected base; coverage continues for the survivor's lifetime.

Umbrella term for incentive payments outside of base pay and allowances. Includes flight, sea, submarine, dive, jump, foreign language, medical, and career retention bonuses.

Many states do not tax active duty military pay or military pensions. Examples include Texas, Florida, Tennessee, and (for pensions) Illinois and New York. Check your legal state of residence each year.

A short-term assignment away from your home station. You retain your home BAH and add per-diem for lodging and meals. Travel is reimbursed via voucher in DTS.

The DoD healthcare program for service members, retirees, and dependents enrolled in DEERS. Plans include Prime (HMO-like), Select (PPO-like), and dental/vision options at different cost shares.

The federal employee 401(k)-equivalent retirement account. Contribute pre-tax (Traditional) or after-tax (Roth) from base, bonus, and special pay. Under BRS, the government matches up to 5% of base pay.

Tax-free monthly payment from the VA for service-connected medical conditions. Rated 0% to 100% in 10-point increments using the VA combined-rating table (not simple addition). Dependents add to the rate.

A mortgage backed by the Department of Veterans Affairs. No down payment required, no PMI, and competitive rates. Lender still underwrites credit and income; the VA guarantee reduces lender risk.

The point at which the government's TSP matching contributions become irrevocably yours. Service automatic 1% vests at 2 years of service; matching contributions vest immediately under BRS.

Warrant officer paygrades, from W-1 to Chief Warrant Officer 5 (CW5). Technical specialists between enlisted and commissioned officer ranks. Each branch except the Air Force currently uses them.

A voluntary VA agreement where private and out-of-state schools cover tuition above the Post-9/11 GI Bill cap. The school waives a portion and the VA matches it dollar-for-dollar.