The Military Payscale and Benefits
The military pay scale is the breakdown of how much members of the United States Armed Forces will make based on various features. Understanding how military pay is calculated will help military personnel budget their money. This information can also be valuable when researching installment loans. Knowing just how much they will bring home each month can simplify the process of figuring out an appropriate amount to borrow when unexpected health needs or emergency financial situations require having immediate cash on hand. Understanding the military benefits available can also help personnel prepare their career goals to take advantage of the many sources of assistance offered.
Regardless of what branch of service that military personnel is in, they will receive military base pay. This is simply determined by the number of years that the recruit has been in service, and the rank they have achieved. The lowest military pay is that earned by new recruits, which are those new to service and currently completing boot camp. Their military pay grades are lower because while they are in boot camp the military covers all housing and meal needs. Generally, enlisted officers start off at the lowest rung of military pay charts, E-1. In 2012, this would be about $1,380 per month for those still in boot camp. Once an enlisted officer has been on active duty for over 4 months, however, their pay increases by about $100 per month. The enlisted officer military pay scale goes up to E-9. The amount of money made each month, however, still depends on experience. An E-9 with 10 years of service will bring home about $4700 a month while an E-9 who has served twice as long will earn over $800 more per month. (See DFAS payscale schedule (pdf))
Commissioned officers start off with a higher military base pay than enlisted personnel. This reflects the fact that commissioned officers hold leadership positions and typically have more advanced education than the typical enlisted recruit. Usually, commissioned officers attend military academies, joined the Reserve Officers’ Training Corps ROTC in college, or completed officer candidate school. Doctors, lawyers, and other civilians with specialized skills, however, can receive a direct commission in the military and start as officers without having met this requirement. Commissioned officer military pay grades range from 0-1 to 0-10. Military pay for the lowest, a 0-1, starts at about $2800 a month. According to military pay grades, an O-6 with the same amount of experience would be making more than twice as much. Military pay charts also contain a section for warrant officers, those individuals are specialists in particular fields. Ranging from W-1 to W-5, warrant officers start off making an amount similar to that of commissioned officers.
Still another area of military base pay is that earned by members of the National Guard and Reserves. These military personnel only serve on a part-time basis, usually training for at least one weekend each month and two weeks of active duty work. Their military pay scale is broken down on the drill pay chart with different pay at each level. A 0-1, for instance, with 2 years of experience would make around $380 a month. Military pay grades for an E-5 with the same amount of experience would be $300 a month.
When it comes to considering how installment loans could be beneficial, military personnel also need to consider the military benefits they receive. In addition to base pay, the military makes serving as attractive as possible by offering other cash incentives. Enlistment and re-enlistment incentives reward officers who choose to join the military or sign on for a few more years with lump sum rewards. The amount offered varies by service branch along with the amount of time the service member has served, the number of years re-enlisted for, and rank. For those who join the Army in a service deemed critically undermanned, enlistment bonuses can be as much as $40,000. Those with college credits may also qualify for an education bonus. Health insurance, life insurance, and education benefits that can be put towards college costs may also be available to some military personnel.
Looking at military pay charts and understanding the military benefits available can help military personnel understand the many advantages of taking out an installment loan when needed. Members of the military can apply for an installment loan whenever their situation warrants. These loans can be repaid over a scheduled period of time which allows service members to take care of their immediate needs while waiting for pay rate increases or to become eligible for certain benefits. There are also no restrictions on what an installment loan is used for, so it can be used to buy uniforms, increase education and skills to get a higher pay grade, or used for personal needs.
(Image Source: usarmy.com)
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Edited by: Mary Davis