How Long Does BAH Take to Kick In?

Basic Allowance for Housing (BAH) is a monetary allowance provided to service members to help offset the costs of housing in civilian communities when government-provided housing is not available. Importantly, BAH is not considered taxable income by the Internal Revenue Service, which means it is exempt from federal and state income taxes, as well as Social Security taxes. The amount of BAH a service member receives is determined by their pay grade, their duty station’s geographic location, and whether they have dependents.

Determining BAH Eligibility and Start Dates

A service member must be on active duty and not residing in government-provided housing. The specific amount of BAH is tied to the housing costs in the local civilian market where the service member’s duty station is located, not necessarily where they choose to live.

The official start date for BAH entitlement is linked to specific qualifying events. For instance, when a service member reports to a new permanent duty station where government housing is unavailable, their BAH entitlement begins on that reporting date. If a service member’s dependents arrive at a new location, this can also trigger the start of BAH entitlement. The Department of Defense reviews and releases BAH rates annually in mid-December, though rates can fluctuate based on local market conditions.

Receiving Your BAH Payments

Once a service member’s Basic Allowance for Housing entitlement has been established, the payment process integrates with the military’s standard pay cycle. BAH amounts are reflected on the service member’s Leave and Earnings Statement (LES), which provides a detailed breakdown of their pay and allowances. Military personnel receive their pay on a bi-monthly schedule, with payments disbursed on the 1st and 15th of each month.

While entitlement may begin on a specific date, the first BAH payment might not coincide exactly with that date due to administrative processing times. It is common for a lag to occur between the official start of entitlement and the initial deposit of funds into a service member’s account. In such cases, any BAH owed from the entitlement start date until the first payment is processed is issued as back pay. This ensures the service member receives the full allowance they are due, retroactively covering the period from when their entitlement began.

Common Reasons for Payment Delays

Several factors can lead to delays in the initial or ongoing receipt of Basic Allowance for Housing payments. One frequent cause is the submission of incorrect or incomplete paperwork. For example, missing dependency documents or errors in reporting a new duty station can hinder the processing of BAH.

Administrative processing backlogs within finance offices can also contribute to delays, especially during peak times like large-scale Permanent Change of Station (PCS) moves. During a PCS, there is often a transition period for pay and allowances as records are updated and transferred between commands. Furthermore, changes in a service member’s personal circumstances, such as marriage, the birth of a child, or divorce, necessitate updates to official records, which can temporarily interrupt BAH payments until verified.