The Basic Allowance for Housing (BAH) rate will increase an average of $41 per month nationwide Jan. 1, even as the calculation used to determine it shrinks the amount of housing costs it is designed to cover. BAH is recalculated annually using a snapshot of housing costs in each region. For 2017, the rate is designed to cover only 97 percent of troops' housing costs — a one percent drop from last year and the third step in a congressional plan to reduce rates by five percent over five years. The rate also is no longer designed to cover the cost of rental insurance, a change that started in 2015. For more details, See this Military.com news article and this Military Advantage post. To see the new rates, see the Military.com BAH section.
Average BAH Rate Set to Increase for 2017
