Army Bonus and Incentive Overview
The Army’s enlistment incentives include both cash bonuses and other education and financial incentives. Army recruits can get bonuses for choosing a high demand military occupational specialty (MOS), for selecting a specific date to begin basic training, for being willing to leave for boot camp as soon as possible, for advanced civilian skills, electing to defer their enlistment and more.
Qualified applicants may be eligible to combine bonuses for a total of up to $40,000 for enlistments of four or more years in high demand military occupations. The following is a summary of the current 2008 Army enlistment incentives Be sure to contact an Army Recruiter for more details.
Active Army Cash Bonuses:
- Maximum Combined Enlistment Bonus - up to $40,000
- Deferred Enlistment – up to $14,000
- Seasonal/Quick Ship Bonuses – up to$20,000
- Active Army Bonus for Civilian Skills – $5,000
- Army Education Bonus – up to $8,000 for recruits with a college education.
- National Call to Service Bonus – Either $5,000 cash or $18,000 Student Loan Repayment.
- Enlistment Qualifications and Bonus Payment Procedures
Other Army Enlistment Incentives:
- GI Bill – up to $39,636
- Army College Fund – up to $73,836
- Student Loan Repayment Program – up to $65,000
- Partnership for Youth Success
- Thrift Savings Plan
Active Army Maximum Enlistment Bonus
The maximum combination of cash bonuses for an enlistment of four or more years is $40,000. The maximum for a three-year enlistment is $30,000. The maximum bonus for a two-year enlistment is $20,000.
High School Senior Deferred Enlistment Bonus
The Deferred Enlistment Bonus pays qualified high school seniors who enlist in the active Army $1,000 for each month they are in the Future Soldier Training Program. HS Seniors receive an additional $1,000 to the total amount upon successful High School graduation. The total Deferred Enlistment Bonus may not exceed $14,000.
This bonus may not be combined with the seasonal bonus, but it may be combined with an MOS bonus and the Montgomery GI Bill and Army College Fund.
Note: High School seniors currently affiliated with the Army National Guard or Army Reserve are not eligible for this program.
Active Army Seasonal/Quick-ship Bonuses
A seasonal bonus of up to $20,000 is available for qualified recruits in certain MOSs who enlist for at least two years and agree to report for training within 30 days. Seasonal bonus levels are $20,000 and $6,000, depending on the selected MOS.
The bonus is $3,000 for recruits who report within 31 to 60 days. Eligibility for this bonus is based on the educational level and Armed Services Vocational Aptitude Battery (ASVAB) scores of the applicants, as well as their selected MOS.
Note: This bonus may be combined with all other incentives.
Active Army Bonus for Civilian Skills (ACASP)
Qualified applicants who already have civilian skills that the Army needs and enlist for three or more years may be eligible for a $5,000 bonus through the Army Civilian Acquired Skills Program (ACASP).
Active Army Education Bonus
Qualified applicants holding bachelors’ degrees who enlist for two or more years in any MOS can earn $8,000. Associate or two-year degree holders can earn $7,000. Qualified high school graduates with 60 or more college semester hours can qualify for a $6,000 bonus, and those with 30 to 59 college semester hours can earn $3,000 for joining the U. S. Army.
Note: This bonus may be combined with other incentives.
The National Call to Service
Individuals who enlist for the 15-month plus training option will be eligible to select one of the following enlistment incentives:
- a cash enlistment bonus of $5,000 payable upon completion of the initial active duty obligation; or
- Student Loan Repayment of up to $18,000.
Note: This bonus may not be combined with other incentives.
The Montgomery GI Bill
All military recruits are eligible for the GI Bill with out regard to cash enlistment bonuses. The GI Bill is a pay-to-play benefit. Applicants are automatically enrolled in the GI Bill at the time of enlistment and must opt out within the allotted time frame. Those who do not opt out of the GI Bill make an automatic $1,200 contribution which will be taken out in $100 a month increments. Here are the current 2008 GI Bill amounts.
FY08 GI Bill amounts:
- 2-year enlistment - $32,184
- 3 or more years - $39,636
Note: the GI Bill benefit increases in value each year.
Student Loan Repayment Program
The Student Loan Repayment Program offers eligible recruits who enlist for at least three years up to $65,000 toward qualifying student loans. LRP is available with MOSs that offer enlistment incentives. The Montgomery GI Bill is not available with the Loan Repayment Program.
The Loan Repayment Program is also available to all qualified non-prior service Officer Candidate School (OCS) applicants.
The Army College Fund
The maximum benefit through the Montgomery GI Bill plus the Army College Fund is $73,836 for individuals who qualify for this program. The Army College Fund is available to active Army applicants who qualify for selected Army occupational specialties. The Army College Fund amount is based on the term (length) of enlistment and the chosen MOS at the time enlistment.
FY08 Army College Fund + GI Bill amounts:
- 2-year enlistment - $37,584
- 3 years - $52,236
- 4 years - $63,036
- 5 years - $70,236
- 6 years - $73,836 (the maximum)
Note: Most cash enlistment incentives may be combined with either the Army’s Loan Repayment Program or the Army College Fund, but not both.
Partnership for Youth Success
Partnership for Youth Success (PaYS) is an enlistment option that helps non-prior service applicants secure post-Army employment.
A database allows the applicant to choose a PaYS partner that is looking for the job skills he or she will gain in the Army. The Army has more than 250 partners with more than 827,000 jobs available for recruits to select from during the enlistment process.
Under the terms of the agreement between Recruiting Command and the PaYS partners, enlistees gain specific job training and qualifications that will prepare them for employment with their selected PaYS partner.
As part of the enlistment process, the recruit signs a statement of understanding which contains specific details of the position selected and PaYS partner contact information. This statement becomes part of the Soldier’s official military personnel file. Near the end of their enlistment, Soldiers will interview with the partner for a specific job at a specific location.
Note: PaYS may be combined with other enlistment incentives.
Thrift Savings Plan (TSP) Matching Fund Program
All qualified non-prior service recruits who enlist for a minimum of five years in a critical job specialty are eligible for the TSP Matching Fund Program incentive. A recruit who takes the TSP matching funds incentive will get the first five percent of their TSP contributions matched by the Army -- dollar for dollar on the first three percent and then 50 cents on the dollar for the remaining two percent. The TSP incentive may be combined with any other enlistment bonus.
The matching funds will stay in place for their entire first term of enlistment, 5-8 years. They will not get matching funds if they discontinue contributions to TSP during their initial term or if they re-enlist; it will only be matched for the original contract period.
The Thrift Savings Plan is a Federal Government-sponsored retirement savings and investment plan. The TSP offers the same type of savings and tax benefits that many private corporations offer their employees under "401(k)" plans. TSP was extended to members of the uniformed services in October 2000.
The standard TSP is available to all Soldiers, who may enroll in the program at any time during their enlistment. Soldiers can elect to contribute as much as 100% of their basic pay, including incentives, special or bonus pay, up to the annual IRS tax-deferred limit of $15,000.
Basic Enlistment Qualifications
- U.S. citizen or permanent legal resident
- 17 to 42 years old
- Healthy and in good physical condition
- In good moral standing
- High school or equivalent education
The enlistment age limit was raised from 35 to 40 in January 2006, and then raised in June 2006 to up to 42, as authorized in the 2006 National Defense Authorization Act.
The Rules regarding the payment of bonuses
Recruits who enlist for cash bonuses totaling more than $10,000 will receive their initial payment of $10,000 upon successful completion of initial entry training. The remaining bonus amount will be paid in annual increments.
Enlistment bonuses totaling less than $10,000 will be paid in one lump sum upon successful completion of initial entry training.
