Military Pay

INCENTIVES AND BONUSES
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To successfully recruit the more than 175,000 soldiers per year required to sustain the All-Volunteer Force, the Army continues to offer military pay and army enlistment incentives in exchange for service, allegiance, and commitment. Today's Army incentives are designed to attract quality applicants with needed critical and hard-to-fill skills.

In addition, the military can extend some interesting discounts: for instance, on February 4, 2008, the Army introduced a new incentive plan designed to increase new recruits and encourage more soldiers to re-enlist. The new Army Advantage Fund is specially designed to help the Army compete for high school graduates and recognize soldiers in a time of conflict, by offering $40,000 in bonus money to new recruits, money that must be put toward buying a home or launching a business.

While the maximum enlistment bonus for active Army recruits is $40,000, the exact total will vary based on what job the enlister chooses and the length of the enlistment. Army Reservists can receive $20,000 for five years of service. Lesser cash incentives are being offered for three- and four-year enlistments. Recruits receive their money in installments; after they finish training, report to duty, and complete early portions of their service.

The re-enlistment bonus for active duty soldier would also increase from $60,000 to $90,000.

At least quarterly, the Army adjusts enlistment bonus amounts to address critical-skill vacancies. The Army has used seasonality bonuses to influence recruits to attend initial entry training during periods of reduced throughput.

The active military component offers an enlistment bonus ranging from $1,000 to $40,000 to non-prior service (NPS) applicants enlisting in areas of skills shortage or for critical training vacancies. Selected prior-service applicants may be eligible for an enlistment bonus depending on the specialty chosen or critical training seat vacancies. Soldiers must successfully complete basic and advanced individual training and arrive at their first duty station before they receive the initial enlistment bonus payment.

The Reserve component offers an enlistment bonus ranging from $1,000 to $20,000. An enlistment bonus of up to $20,000 is offered to NPS applicants enlisting for up to six years in designated units or critical skills. A maximum bonus of $15,000 is offered to prior-service (PS) applicants who enlist for six years. The initial enlistment bonus payment will not exceed $10,000, with subsequent payments made in equal annual amounts until the total bonus amount is paid.

The Army also offers bonuses ranging up to $8,000 for college credit (HIGRAD) and up to $20,000 on the basis of seasonality (Quick-Ship) so as to maintain quality and the appropriate military occupational specialty (MOS) fill. Subject to the $40,000 bonus cap ($20,000 maximum for the reserve component), applicants may receive HIGRAD and Quick-Ship bonuses in addition to the regular enlistment bonus.

BASIC HOUSING ALLOWANCE (BAH)

According to the Defense Department, in 2009, basic military housing allowances for military members will increase an average of 6.9 percent. The increase averages $95 per month for the 950,000 servicemembers expected to draw basic allowance for housing, or BAH.

MILITARY BONUSES

The active military component offers an enlistment bonus ranging from $1,000 to $40,000 to non-prior service (NPS) applicants enlisting in areas of skills shortage or for critical training vacancies. Selected prior-service applicants may also be eligible for an enlistment bonuses.