Military Housing Allowance (BAH) Budget Calculator
Compare your monthly BAH rate against your actual housing expenses to manage your finances effectively.
What is the Basic Allowance for Housing (BAH)?
The Basic Allowance for Housing (BAH) is a U.S. based entitlement used to provide uniformed service members equitable housing compensation based on housing costs in local civilian housing markets. It is triggered when government quarters (like barracks or on-base housing) are not provided.
BAH rates are calculated based on three primary factors: your geographic duty location, your pay grade (rank), and your dependency status (whether or not you have a spouse or children).
How to Use This Calculator
While the Department of Defense sets your BAH rate, it is up to the service member to manage that budget. This calculator helps you see if your chosen housing—including rent, electricity, water, gas, and insurance—falls within your allotted allowance.
- Monthly BAH Rate: Find your specific rate on the official DoD BAH table using your duty station ZIP code.
- Rent/Mortgage: Your base monthly payment for your home.
- Utilities: An average of your recurring monthly bills.
- Insurance: Renter's insurance is highly recommended for all service members to protect personal property.
An E-5 with dependents in San Diego might receive a BAH of approximately $3,300. If they rent a home for $2,600 and pay $400 in utilities/insurance, their total cost is $3,000. This leaves a $300 monthly surplus that can be directed toward savings or other living expenses.
Tips for Maximizing Your Housing Allowance
1. Live Below Your Means: If your BAH is $2,000, aiming for a total housing cost of $1,800 allows you to pocket the difference tax-free.
2. Factor in Commute Costs: Sometimes cheaper rent further from the base is offset by higher fuel and vehicle maintenance costs.
3. Annual Adjustments: BAH rates are adjusted annually on January 1st. However, "Rate Protection" ensures that if the BAH for your area decreases, your individual rate will not drop as long as you remain at that duty station and maintain your rank.