How would a PCS to a foreign location affect BAH?

• A. It would be a flat amount unchanged by location.
• B. BAH amount is location-based, so it would adjust to the member’s new foreign location and dependency status.
• C. It would only change with a change in rank, not location.
• D. It would be eliminated while stationed overseas.

Answer: (B)

BAH is designed to offset housing costs at your duty location and is tied to where you are stationed and whether you have dependents. It isn’t a flat, location-independent amount. When you PCS to a foreign location, the rate is recalculated based on that foreign location’s housing costs and your dependency status. The result can increase or decrease depending on local conditions and whether you have dependents. (Note: if government housing is provided at the foreign location, BAH may be reduced or not paid, but the general rule is that BAH moves with your location and dependency.)