Basic Allowance for Housing explained — how it's calculated, what drives the differences between duty stations, and a breakdown of rates across major military installations. Plus a free calculator for your exact 2026 BAH.
BAH — Basic Allowance for Housing — is a tax-free monthly cash payment that helps active-duty service members cover housing costs when they live in private (off-base) housing. It's one of the most valuable components of military compensation, worth anywhere from $800 to over $4,500 per month depending on your situation.
Unlike base pay, BAH is not flat — it varies enormously based on where you live. This is by design: the goal is that wherever you're stationed, your BAH covers the median rental cost in that area for your rank. A sergeant stationed in San Diego gets much more BAH than the same rank stationed in rural Kansas, because housing costs are genuinely higher in San Diego.
BAH is paid directly to the service member (it shows up in your LES alongside base pay). You keep every dollar — whether your actual rent is higher or lower than your BAH rate. This creates an opportunity for savvy service members to find housing below their BAH rate and pocket the difference.
Every year, the Defense Travel Management Office (DTMO) conducts rental market surveys across every Military Housing Area (MHA) in the United States. They look at median rental costs for apartments appropriate to each pay grade — junior enlisted might be measured against 1-bedroom apartments, while senior NCOs are measured against 2–3 bedroom options.
Your duty station's ZIP code maps to one of ~360 Military Housing Areas (MHAs) across the U.S. Each MHA corresponds to a metro area or installation cluster. If your ZIP isn't in a specific MHA, you receive the national average rate.
Within each MHA, there's a different BAH rate for every pay grade (E-1 through O-10). Higher grades receive higher BAH, reflecting larger appropriate housing. Each pay grade maps to a specific median housing profile (studio → 3BR+).
If you have qualifying dependents (spouse, child, or other), you receive the "with dependents" rate, which is typically 10–25% higher than the "without dependents" rate. One dependent or ten — the rate is the same once you have any qualifying dependent.
If your rate from last year was higher than the newly calculated rate, you keep the old rate (rate protection) until you PCS, change dependency status, or the new rate exceeds the protected amount. New arrivals to the area receive the current rate.
Set annually by DoD survey of median local rental costs. Tax-free. Protected from decreasing during continuous assignment.
BAH rates vary dramatically by Military Housing Area. The highest-cost duty stations are concentrated in coastal metros and Hawaii. Here are the major military installation areas ranked by their BAH rates for E-5 (Sergeant) without dependents as a benchmark, along with the installation served:
| # | Location / MHA | Primary Installation | E-5 (no deps) | E-5 (w/ deps) | O-3 (no deps) |
|---|---|---|---|---|---|
| 1 | San Diego, CA | Naval Base San Diego / Camp Pendleton | $2,814 | $3,378 | $3,591 |
| 2 | Honolulu, HI | Joint Base Pearl Harbor-Hickam / Schofield | $2,691 | $3,258 | $3,498 |
| 3 | Washington, DC / Arlington, VA | Pentagon / Fort Belvoir / Ft. Meade | $2,556 | $3,132 | $3,318 |
| 4 | San Francisco Bay Area, CA | NAS Alameda / Presidio / Travis AFB | $2,502 | $3,069 | $3,249 |
| 5 | Seattle / Tacoma, WA | JBLM (Joint Base Lewis-McChord) | $2,190 | $2,736 | $2,880 |
| 6 | Norfolk / Virginia Beach, VA | Naval Station Norfolk / JEB Little Creek | $1,995 | $2,493 | $2,637 |
| 7 | Jacksonville, FL | Naval Station Mayport / NAS Jacksonville | $1,890 | $2,355 | $2,466 |
| 8 | Monterey / Seaside, CA | Presidio of Monterey / NPS | $2,313 | $2,826 | $3,006 |
| 9 | Colorado Springs, CO | Fort Carson / Peterson SFB / NORAD | $1,671 | $2,088 | $2,214 |
| 10 | Fort Bragg / Fayetteville, NC | Fort Liberty (formerly Fort Bragg) | $1,449 | $1,827 | $1,929 |
Rates are 2026 BAH estimates based on DoD rental market surveys and MHA data. Exact rates vary within each MHA — use the MilWallet calculator to enter your specific ZIP code for a precise figure.
Service members at inland installations in low-cost-of-living areas receive significantly lower BAH rates. Assignments to Fort Leonard Wood (Waynesville, MO), Fort Sill (Lawton, OK), or Fort Jackson (Columbia, SC) typically have BAH rates in the $1,000–$1,400/month range for junior enlisted. While the absolute dollar amount is lower, housing in these areas is proportionally less expensive, so purchasing power is roughly maintained.
Savvy service members who find housing below their BAH rate keep the difference — this is called "living under BAH." In a high-cost market like San Diego, an E-5 with $2,814 BAH who finds a $2,200/month apartment keeps $614/month tax-free. Over a 3-year tour, that's $22,000+ in extra savings.
BAH increases with pay grade. The table below shows representative BAH rates for a medium-cost installation (similar to Colorado Springs, CO or Norfolk, VA) to illustrate how rates scale across grades:
| Pay Grade | Rank Examples | Without Dependents | With Dependents | Annual Value (w/ deps) |
|---|---|---|---|---|
| E-1 / E-2 / E-3 | Pvt, PV2, PFC | $1,050 | $1,320 | $15,840 |
| E-4 | Spc / Cpl | $1,140 | $1,440 | $17,280 |
| E-5 | Sergeant / P01 | $1,290 | $1,620 | $19,440 |
| E-6 | Staff Sergeant / P02 | $1,410 | $1,740 | $20,880 |
| E-7 | Sergeant First Class / CPO | $1,530 | $1,890 | $22,680 |
| E-8 / E-9 | MSG / SGM / SCPO | $1,680 | $2,100 | $25,200 |
| O-1 / O-2 | 2LT, 1LT / ENS, LTJG | $1,440 | $1,800 | $21,600 |
| O-3 | Captain / Lieutenant | $1,680 | $2,100 | $25,200 |
| O-4 | Major / Lt Commander | $1,890 | $2,340 | $28,080 |
| O-5 | Lt Colonel / Commander | $2,100 | $2,580 | $30,960 |
| O-6+ | Colonel / Captain (Navy) | $2,280 | $2,820 | $33,840 |
Representative medium-cost area rates. Actual rates vary by location. Use the MilWallet calculator for your specific ZIP code and pay grade.
If BAH rates in your area decrease from year to year, you keep your current rate (rate protection policy). You'll continue receiving the higher amount until you PCS to a new duty station, your dependency status changes, or the new rate rises above your protected rate. New arrivals to your same duty station will receive the lower current rate.
During a PCS move, you may be authorized BAH based on either your old duty station or your new duty station — whichever is higher — for a transitional period. The exact rules depend on your orders and family situation. See the MilWallet PCS calculator for entitlements during moves.
If both spouses are active-duty and have dependents (children), only one spouse may receive the with-dependents BAH rate. The other receives without-dependents BAH. When assigned to the same duty station, they may choose which spouse claims the dependent rate based on whose rate is higher.
BAH-Diff is a special supplement for single service members who are required to live in government quarters but have dependents (typically a child from a previous relationship) for whom they pay child support. It's designed to help offset support payments when the member can't live off base.
BAH applies only to CONUS (continental United States) duty stations. Service members stationed OCONUS (overseas) receive OHA (Overseas Housing Allowance) instead, which uses a different calculation methodology based on local overseas housing markets.
Many service members wonder whether it's better financially to live on base in government quarters or to take their BAH and rent off base. Here's the breakdown:
| Factor | On-Base Housing | Off-Base (BAH) |
|---|---|---|
| Monthly cost to you | $0 (BAH is paid to housing office) | Your actual rent (keep BAH surplus) |
| Utilities | Typically included | You pay (varies: $100–300/mo) |
| Flexibility | Assignment-based, may not be available | Choose your own location |
| Commute | Usually shortest | Depends on where you choose to live |
| Financial upside | None — BAH fully absorbed | Keep difference if rent < BAH |
| Financial risk | None | Rent can exceed BAH in high-demand markets |
| Privacy/amenity control | Limited | Full control |
The financial case for living off base depends on whether you can find housing below your BAH rate. In a tight rental market during a PCS surge (summer months), rents may temporarily spike above BAH rates — in that case, on-base housing prevents you from going out of pocket. In slower rental periods or lower-cost areas, living under BAH and pocketing the savings is straightforward.
The easiest way to find your exact 2026 BAH is to enter your ZIP code and pay grade in MilWallet's free calculator. It pulls current MHA data and shows you both with-dependents and without-dependents rates instantly: