Defense Department Raising Military Housing Allowance

BAY COUNTY The Defense Department t is raising housing allowances for military families next year by an average of 5.5% percent.

But not everyone gets the same amount.

The DOD sets the rate after analyzing residential areas across the US and adjusting the basic allowance for housing, or BAH.

Some go up, some go down.

When determining the BAH, Defense Department officials use pay grade, location and the number of a service member's dependents.

But not all areas will get more money.

Military families in Mobile, Alabama will see an almost 15% increase, but families stationed in Sacramento, California will see a 7.7% cut.

Navy Chief Petty Officer Nathan Wyant said, "You know whether you're getting more or whether you're getting less but at the end of the day there's nothing you can really do to help it so you basically have to make sure you're budgeting your money and nothing living over your means."

Military families here in Bay County will be receiving an average increase of about 5%.

While that's better than cut, it's not as large as you might imagine.

Tom Neubauer from ERA Real Estate said, "This 5% bump, that the Department of Defense has provided, helps a little bit. But it's not a windfall for a military member, because in fact it's just keep them even with the cost of housing in our community."

Air Force Association President General Criag McKinley also points out defense officials are cutting 1% from cost of living increases in retirement benefit until those personnel reach the age of 62.

The new rates will take effect January 1st.
The average family will receive an extra $75 to $80 dollars a month.

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