2026 BAH Rates: 4.2% Average Increase for Military Housing
The Department of Defense has released the 2026 Basic Allowance for Housing (BAH) rates, with service members receiving an average 4.2% increase effective January 1, 2026. This marks a significant housing allowance boost, though slightly lower than the 5.4% increases seen in 2024 and 2025.
2026 BAH Key Points
- Average Increase: 4.2% nationwide
- Effective Date: January 1, 2026
- Total Budget: $29.9 billion for ~1 million service members
- Coverage Areas: 299 military housing areas
How BAH Rates Are Calculated
BAH is designed to cover approximately 95% of housing costs, with service members contributing the remaining 5%. For 2026, this out-of-pocket portion ranges from approximately $93 to $212 per month, depending on rank and dependent status.
The Defense Department annually collects rental housing cost data across 299 military housing areas in the continental United States, Alaska, and Hawaii. Rates are calculated for each pay grade, both with and without dependents, based on housing choices of civilians with comparable incomes.
BAH Rate Protection
An important feature of BAH is rate protection. If your area’s BAH rate decreases, you keep your existing higher rate as long as you:
- Remain in the same location
- Maintain the same dependent status
- Continue on active duty without a break in service
This means service members never see their BAH decrease due to local market changes while stationed in the same area.
2026 BAH Sample Rates by Rank
BAH varies significantly by location. Here are example monthly rates for high-cost and moderate-cost areas:
| Rank | San Diego (w/dep) | Fort Bragg (w/dep) | Average (w/dep) |
|---|---|---|---|
| E-5 | $3,456 | $1,689 | $2,100 |
| E-7 | $3,789 | $1,932 | $2,400 |
| O-3 | $4,125 | $2,145 | $2,700 |
| O-5 | $4,512 | $2,478 | $3,100 |
How to Look Up Your 2026 BAH Rate
To find your specific 2026 BAH rate:
- Visit the official DoD BAH Calculator
- Enter your duty station ZIP code
- Select your pay grade
- Indicate with or without dependents
- Choose the 2026 rate year
Areas with Largest BAH Increases
Some areas saw increases well above the 4.2% average due to rapid local housing market growth. High-increase areas for 2026 include parts of:
- Florida (multiple duty stations)
- Texas (Austin, San Antonio areas)
- Virginia (Hampton Roads)
- California (certain inland areas)
Combined with 2026 Pay Raise
The 4.2% BAH increase comes alongside the 3.8% basic pay raise for 2026. Together, these increases provide meaningful compensation growth for military families dealing with housing costs.
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