FACT SHEET

Military Pay Entitlements – Operation Iraqi Freedom (OIF)

PURPOSE: To provide information affecting military pay entitlements for Soldiers deploying as part of the 2^nd Brigade Combat Team (2d BCT) in support of OIF.

FACTS: Military Pay entitlements change when Soldiers deploy. The following information is provided to help Soldiers arrange their finances in preparation for deployment:

a. Basic Allowance for Subsistence (BAS). Soldiers will deploy in a TCS status. All deploying Soldiers will receive BAS / Separate Rations. BAS will continue for Soldiers who are receiving it at the time of deployment and will be started for Soldiers who are on meal cards.

b. Per Diem. All deployed Soldiers who are in a Temporary Change of Station (TCS) status are entitled to OCONUS incidental per diem at $3.50 a day or $105 a month.

c. Hostile Fire Pay (HFP)/Imminent Danger Pay (IDP). HFP/IDP is payable to all Soldiers in the total land and air space of Iraq. Soldiers receive $225.00 a month for each month, or part of a month, in which the Soldier is present in the HFP/IDP area. Entitlement starts upon arrival to the authorized location and terminates upon departure.

d. Combat Zone Tax Exclusion (CZTE). Public Law authorizes CZTE for all Soldiers receiving HFP in Iraq. A Soldier who is present, however brief, in this area, including airspace, and is on official duty qualifies for CZTE for that month. All pay for both enlisted personnel and warrant officers is tax exempt for the months spent in the CZTE area. Commissioned officer pay is tax exempt at an amount equal to the Sergeant Major of the Army’s Basic Pay plus HFP. For calendar year 2004, this is equal to $6,315.90 per month (6,090.90 + 225.00).

e. Hardship Duty Pay-Location (HDP-L). Indicated as Save Pay on the Leave and Earnings Statement (LES), is payable to all Soldiers on a monthly basis according to location and living conditions. Currently, HDP-L is payable at a rate of $150 per month for all Soldiers assigned to Area-I in Korea. Deployed Soldiers will continue to receive HDP-L.

f. Basic Allowance for Housing (BAH). Soldiers drawing BAH at their permanent duty station (PDS) will continue to draw BAH during the deployment.

g. Family Separation Allowance (FSA). FSA is paid when a Soldier is involuntarily separated from his/her dependents or active duty spouse for more than 30 days. It is payable at $250.00 per month, or $8.33 per day. Soldiers currently drawing FSA will continue to do so upon deployment. Soldiers who reside with their Command Sponsored or Non Command Sponsored Family members will receive FSA the day they depart for the OIF Theater.

h. Selective Re-enlistment Bonus (SRB). The SRB is entirely tax-exempt when a Soldier re-enlists in a CZTE area. Accrued leave sold by enlisted Soldiers while in a CZTE area, whether earned in that area or not, is tax exempt. Leave accrued by any Soldier while serving in the CZTE area, which remains unused at separation, is tax exempt.

i. Savings Deposit Program (SDP). All Soldiers deployed at least 30 consecutive days may contribute to this risk free program. Soldiers may make any number of deposits in any amount each month, provided the total deposited in a one month period does not exceed the Soldier’s monthly net pay and allowances. Interest is paid at the rate of 10 percent per annum, compounded quarterly (calendar quarter). Public Law limits interest payments in the SDP at $10,000 regardless of the total amount in the SDP account (includes contributions and interest earned). Interest will accrue up to 90 days after the Soldier redeploys.

j. Special-Leave Accrual (SLA). SLA accrues when a Soldier serves in an area in which he or she was entitled to Hostile Fire/Imminent Danger Pay for at least 120 continuous days. Special Leave Accrual authorizes Soldiers to carry up to 90 days of leave at the end of a Fiscal Year. Accrued Special Leave must be used before the end of the third fiscal year after the fiscal year in which the qualifying service ended.

k. Leave and Earnings Statements (LESs). LESs and Mid-month Net Pay Advice forms will be sent to the Soldiers at their deployed locations. In addition, Soldiers with access to the Internet will be able to access their LESs through “myPay” online at www.dfas.mil.

With a general power of attorney, Soldiers can grant their spouse access to their LES. Spouses with power of attorney should request the LES from the unit’s rear detachment commander or NCOIC. By law, spouses are not authorized to have Soldiers “myPay” PIN.

l. Power of Attorney (POA). With a special power of attorney, the Soldier can grant their spouse the right to establish, change, or stop an allotment. The special power of attorney must specifically state the authority to establish, change, or stop allotments. In addition, a special power of attorney can be used to establish, change, or stop transactions involving the Thrift Savings Plan and the Savings Deposit Program.

m. Dependent Support. Soldiers must ensure their families have access to adequate financial support in their absence. This may include access to checking and/or savings accounts or establishment of allotments. Checking accounts are generally preferred in order to maximize access to funds by both the Soldier and their dependent(s).

n. Pay Adjustments. The manifest will be used to start, stop and adjust numerous pay entitlements. It is critical that Soldiers returning prior to the main body (ie. emergency leave, etc.) are reported to finance and are followed up on by the rear detachment commander to ensure the necessary adjustments are made. Failure to make the adjustments will result in overpayments and cause unnecessary and extreme hardships on the Soldier.