Military Pay Issues

1
Military Pay Issues
2
Military Compensation

• Why is it important to know about military
  compensation?
• What are my benefits?
• Why should I care?

3
The Navy Pay System

• Paid 1st and 15th of the month
• Direct Deposit (DDS)
• Automatically deposits paycheck in your account
• Report life changes
• Split Pay Option (Ship and TAD travel claims
  only)
• Navy Cash Card

4
myPay

• https//mypay.dfas.mil
• 877-363-3677
• Puts you in charge
• On-line LES
• Make some changes to your Master Military Pay
  Account

5
Leave Earning Statement (LES)

• A monthly statement of service members master
  military pay account
• Use myPay to verify the information
• Your pay is your responsibility
• Contact DFAS
• www.dfas.mil
• 800-346-3374

6
Leave Earning Statement (LES)

• Personal information
• Entitlements/deductions/allotments
• Leave summary
• Tax summary
• Pay data
• Thrift Savings Plan Summary
• Remarks

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Pay

• Base pay
• Special Pay
• Incentive Pay
• If it says pay, it is taxable

8
Taxable Pay

• Sea Pay
• Submarine Pay
• Flight Pay
• Hazardous Duty Pay
• Hostile Fire Pay
• Dive Pay

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Taxable Pay

• Special duty assignment pay
• Foreign language proficiency
• Certain places
• Nuclear pay
• Other specialty pay
• Are you getting whats coming to you?

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Allowances

• Housing
• Living expense
• Moving or travel expenses
• Usually not taxable - a great deal!

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Housing

• BAH
• COLA - CONUS, OCONUS
• MIHA - OCONUS
• OHA

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Living Expenses

• BAS
• FSA
• Type I Unaccompanied
• Type II Separated
• CRA
• Enlisted annually
• Officers 1 time only
• Maternity once every 3 years

13
Travel

• Mileage/Transportation
• Per Diem
• Miscellaneous

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Moving

• Personal goods shipment or DITY
• Temporary lodging
• Mileage/tolls
• Per mile/number of dependents and vehicles
• Per Diem
• Age of accompanying dependents, authorized travel
  time

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PCS Allowances

• Temporary lodging expense (CONUS)
• With dependents
• Max 180 per day
• Payable for 10 days to In CONUS
• Payable for 5 days to Out CONUS
• Temporary lodging allowance (OCONUS)
• Payable for up to 60 days
• Dislocation allowance
• Based on pay grade - Must apply for DLA

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Advance of Pays

• Advance base pay up to 3 months
• Advance BAH
• Up to 3 months CONUS
• Up to 12 months OCONUS
• Advances of pay must be repaid over a 12 or 24
  month period

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TDY

• Per diem based on location and meal availability
• Rates www.dtic.mil/perdiem

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Allotments

• A great money management tool
• Save automatically
• Pay bills automatically
• Paid once per month, 1st paycheck
• Do it yourself at https//mypay.dfas.mil

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Deductions

• Taxes
• Insurance
• Garnishment
• Other pay withholding

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Other Benefits

• SGLI FSGLI
• Up to 400,000
• 10,000 per child at no cost
• Spousal coverage - Max. 100,000
• Thrift Savings Plan
• Pre-tax contribution retirement plan
• Survivor Benefit Plan - SBP
• Active duty- no cost

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Survivor Benefits for Active Duty

• Death gratuity (100,000)
• DIC
• Social Security
• Mothers or fathers benefit
• Childrens benefit
• VA Education Benefits
• Basic Funeral Family Transportation
• No Cost Final Move
• BAH or Housing (12 months)
• Pay for Unused Leave Arrears in Pay

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Other Benefits

• Medical and Dental
• Education and VA programs
• Leave
• 2.5 days/month
• Accruing up to 60 days Annually
• Retirement at 20 years or more
• Percentage of base pay varies depending on date
  of entry
• Wow, thats amazing!

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Taxes

• FICA - Social Security Medicare
• Federal and State Income Taxes
• No Income Tax States
• Alaska
• Florida
• Nevada
• New Hampshire
• South Dakota
• Tennessee
• Texas
• Washington
• Wyoming
• New Hampshire

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Ive Got a Problem...

• Overpayments and underpayments
• Incorrect zip code after PCS
• Exemptions incorrect
• Starting and stopping allotments
• Too many allotments
• Government Credit Cards

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Ive Got a Solution...

• Monitor LES
• Update information on myPay
• Monitor allotments
• Use a budget
• Pay government credit cards
• and more

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Indebtedness

• Repayment Options?
• Extend repayment period
• Make payment arrangement
• Waiver of indebtedness SECNAVINST 7220.38E

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Sources of Help

• Remember one of your biggest military benefits
  the people there to help you

• Your Command Financial Specialist
• Your Fleet and Family Support Center
• Your Disbursing Office
• Your Navy Legal Office
• Health Benefits Advisor
• NMCRS