Military Compensation Calculator (RMC)
Calculate your total Regular Military Compensation including tax advantages.
Annual Compensation Results
*Civilian Equivalent Income includes the approximate gross salary needed to match your take-home pay after accounting for the tax-free status of BAH and BAS.
Understanding Regular Military Compensation (RMC)
Regular Military Compensation (RMC) is a metric used by the Department of Defense to represent a service member's total salary in civilian terms. Because significant portions of military pay—specifically Basic Allowance for Housing (BAH) and Basic Allowance for Subsistence (BAS)—are non-taxable, a service member's "take-home" pay is significantly higher than a civilian with the same gross salary.
The Components of Military Pay
- Basic Pay: This is the core salary based on rank and years of service. It is fully taxable.
- BAH (Basic Allowance for Housing): A non-taxable allowance to cover housing costs. It varies based on geographic location, rank, and dependency status.
- BAS (Basic Allowance for Subsistence): A non-taxable allowance meant to offset the cost of meals. In 2024, this is approximately $460 for enlisted and $316 for officers.
- Tax Advantage: This is the "hidden" value of your pay. Since BAH and BAS are not taxed, you would need a much higher civilian salary to reach the same net income.
Example Calculation: E-5 with 6 Years of Service
Consider an E-5 stationed in a mid-cost area:
| Monthly Basic Pay | $3,850 |
| Monthly BAH | $2,100 |
| Monthly BAS | $460 |
| Total Monthly Cash | $6,410 |
In this scenario, the annual cash flow is $76,920. However, because $30,720 of that is tax-free, the Civilian Equivalent Income would be approximately $88,500 (depending on the tax bracket and state taxes).
Why Use This Calculator?
Service members often undervalue their compensation when comparing military life to civilian job offers. When looking at a civilian salary of $70,000, it might seem higher than your Basic Pay, but once you factor in the loss of non-taxable allowances and health care (TRICARE), the civilian offer may actually be a "pay cut." This tool helps you see the real number you need to maintain your current lifestyle.