Military benefits / Pay & Allowances

Basic Pay and the 2026 Pay Raise

Every active duty member, plus Guard and Reserve members while drilling or on orders. Your rate depends on your pay grade and years of service.

Basic pay is the core of your paycheck and the number most other benefits are based on. Troops got a 3.8% raise in January 2026. Knowing how basic pay works helps you read your LES and plan for retirement.

What it is

Basic pay is the main, taxable part of your military paycheck. It is set by Congress each year and shown in pay tables by pay grade (like E-4 or O-3) and years of service. Almost everything else ties back to it. Your TSP contributions, your retirement pension, your Blended Retirement System match and many bonuses are all figured from basic pay. Allowances like housing and food are paid on top of it.

For 2026, Congress approved a 3.8% raise for all active duty troops and drilling Guard and Reserve members. The President signed the FY2026 National Defense Authorization Act on December 18, 2025, and the new rates started in January 2026. A brand-new E-1 now earns about $2,407 a month in basic pay, about $88 more than in 2025.

Who gets it

All active duty members get basic pay every month. Guard and Reserve members earn it when they drill or serve on orders. A drill period pays one day of basic pay (1/30 of the monthly rate), so a normal four-period drill weekend equals four days of pay.

You move up the table in two ways: promotions and time in service. Longevity raises kick in at set years of service (2, 3, 4, 6 and so on), even if you are not promoted. Your Pay Entry Base Date (PEBD) controls when those steps happen.

How to use it

  • Read your LES every month. Check that your pay grade, years of service and PEBD are right. Mistakes can go on for months if no one catches them.
  • Look up the official table. DFAS posts the current pay tables. Find your grade and years of service to confirm your rate.
  • Plan your TSP around it. If you are in the Blended Retirement System, contribute at least 5% of basic pay to get the full government match.
  • Use myPay. You can view your LES, change tax withholding, and set up allotments online.

What people miss

  • Basic pay is only part of your pay. Your housing and food allowances are not taxed, which makes your take-home worth more than a civilian salary of the same size. The Defense Department calls this Regular Military Compensation. Use it when you compare job offers.
  • Raises do not always match inflation. The yearly raise is tied by law to private-sector wage growth, but Congress can set a different number. Do not assume a fixed amount when you budget years ahead.
  • Retirees get a different increase. Military retirees and survivors got a 2.8% cost-of-living adjustment for 2026, not the 3.8% active duty raise. Retirees under the Career Status Bonus/REDUX plan get a smaller bump.
  • Check your PEBD after prior service. If you had earlier Guard, Reserve or other service, make sure it is counted. It can move you to a higher pay step.

Related

See our guides on BAH and BAS, special pays and tax breaks, and the Blended Retirement System. For pay in retirement, see Military Retirement and the Survivor Benefit Plan.

Related benefits

  • BAH and BAS: Your Housing and Food Allowances
    BAH helps pay for housing and BAS helps pay for food, and neither one is taxed. For 2026, BAH rose an average of 4.2% and BAS rose 2.4%. These tax-free dollars are a big part of what you really earn.
  • Special Pays, Bonuses and Military Tax Breaks
    Beyond basic pay, many troops earn extra pay for where they serve or what they do. Combined with tax-free allowances, the combat zone tax exclusion and state residency rules, the military gives you more ways to cut your tax bill than most people realize.
  • Guard and Reserve Benefits: TRS, Drill Pay and USERRA
    Guard and Reserve members get many benefits even when not activated, including low-cost TRICARE Reserve Select, drill pay, SGLI and on-base shopping. USERRA protects your civilian job when you serve.
  • TRICARE Health Plans and 2026 Costs
    TRICARE is the military health program. Active duty families pay no enrollment fees for Prime or Select, while retirees pay yearly fees that rose for 2026. Pharmacy copays also went up on January 1, 2026.

Last reviewed 2026-11. Not affiliated with the Department of Defense. Confirm current rates with your finance office or the official source.

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