March 14, 2025
Military service members saw a 5.1% Basic Allowance for Housing (BAH) rate increase in 2022, the Department of Defense announced on Wednesday, Dec. 15, the same day Congress passed the 2022 National Defense Authorization Act (NDAA).
BAH increases are an average for all areas and actual rates will vary by military members’ duty station zip codes. Veterans using the Post-9/11 GI Bill receive BAH based on their school’s zip code.
According to DOD, 2022 BAH payments to approximately one million military members will total $25.6 billion.
See 2025 Basic Allowance for Housing (BAH) rates here.
2022 BAH Rate Increase
Some troops received up to 61% more BAH in October.
To counter rising market housing costs in 17 states, DOD issued automatic BAH rate increases to service members living in 28 of the most inflated military housing areas, according to a Sept. 22, 2022 memorandum from Defense Secretary Lloyd Austin.
DOD enacted a similar increase in October 2021, which expired that December and did not affect 2022 BAH rates. It’s unclear whether the 2022 increased rates will carry over to bolster 2023 BAH rates.
Right now, troops are on track to receive a 12.1% BAH rate increase in 2023 according to a December 2022 DOD release. Actual 2023 BAH rates are a big jump from the original 4.2% BAH rate increase estimate from an early draft of the 2023 defense budget. Austin directed the DOD in September to review 2023 increase to ensure it reflects housing market fluctuations.
2022 BAH Rate Increase Chart
Here are the 2022 increases for 28 military housing areas.
| Location | Increased 2025 BAH Rate | Previous 2024 BAH Rate | Percent Change |
|---|---|---|---|
| Hawaii County, Hi | $3,453.00 | $2,868.00 | 20% |
| College Station, Tx | $1,716.00 | $1,434.00 | 20% |
| Traverse City, Mi | $1,884.00 | $1,590.00 | 18% |
| Nantucket, Ma | $4,185.00 | $3,555.00 | 18% |
| Fargo, Nd | $1,509.00 | $1,287.00 | 17% |
| Birmingham, Al | $2,106.00 | $1,815.00 | 16% |
| White Sands Mr/Las Cruces, Nm | $1,752.00 | $1,515.00 | 16% |
| Duluth, Mn | $1,974.00 | $1,707.00 | 16% |
| Charleston, Wv | $1,311.00 | $1,134.00 | 16% |
| Maui County, Hi | $4,287.00 | $3,714.00 | 15% |
| Syracuse, Ny | $2,004.00 | $1,737.00 | 15% |
| Cape Cod-Plymouth, Ma | $3,672.00 | $3,186.00 | 15% |
| Sitka, Ak | $2,949.00 | $2,559.00 | 15% |
| New York City, Ny | $5,073.00 | $4,407.00 | 15% |
| Montgomery, Al | $1,626.00 | $1,416.00 | 15% |
| Fort Leonard Wood, Mo | $1,311.00 | $1,146.00 | 14% |
| Ketchikan, Ak | $2,649.00 | $2,316.00 | 14% |
| Ocala, Fl | $2,265.00 | $1,983.00 | 14% |
| Martha'S Vineyard, Ma | $3,987.00 | $3,492.00 | 14% |
| Terre Haute, In | $1,377.00 | $1,209.00 | 14% |
| West Point, Ny | $3,111.00 | $2,736.00 | 14% |
| Newport, Ri | $2,790.00 | $2,454.00 | 14% |
| Perth Amboy, Nj | $3,240.00 | $2,856.00 | 13% |
| New Haven/Fairfield, Ct | $3,048.00 | $2,694.00 | 13% |
| Rock Island, Il | $1,650.00 | $1,461.00 | 13% |
BAH covers 95% of housing expenses while service members pay the remaining 5% out of pocket. The out-of-pocket expense amounts incorporated in the 2022 BAH rates vary by grade and dependency status.
To see the BAH rate for your duty station, use this BAH calculator here.
About Basic Allowance for Housing
The Basic Allowance for Housing (BAH) provides service members who are living in or permanently stationed in the United States with housing cost assistance. Military members serving overseas receive a different type of housing allowance called the Overseas Housing Allowance or OHA.
Previously, only service members living off-base or off-post received BAH. But, the allowance has since evolved to cover some situations on-base housing situations.
How Are BAH Rates Set?
The Department of Defense determines BAH by collecting rental housing cost data each year for approximately 300 military housing areas across the United States. Local commands help data collection offices target the neighborhoods where the most military members live.
Rental housing costs also include average utility costs like electricity, heat, water and wastewater.
Historical BAH Rate Increases
| Year | Proposed Increase/Decrease | Actual Increase |
| 2023 | 4.6% | 12.1 |
| 2022 | 3.1% | 5.1% |
| 2021 | 2.90% – 3.70% | 2.90% |
| 2020 | 2.90% | 2.8% |
| 2019 | 2.90% | 2.55% |
| 2018 | 2.90% | 0.7% |
| 2017 | 2.90% | 2.4% |
| 2016 | 1.30% | 3.4% |
| 2015 | -5.00% | 0.5% |
| 2014 | 4.20% | 5.00% |
| 2013 | 4.20% | 3.80% |
| 2012 | 4.20% | 2.0% |
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