Which factors determine the amount of Basic Allowance for Housing (BAH)?

• A. Location, grade, and dependency.
• B. Rank alone.
• C. Marital status only.
• D. Length of service only.

Answer: (D)

BAH is based on three factors: the duty location (the local housing market where you’re stationed), your pay grade (rank), and whether you have dependents. The rate for a given location is set to reflect local housing costs, your grade places you into a rate tier, and having dependents moves you to the with-dependents rate (or leaves you at the without-dependents rate if you don’t have dependents). Length of service does not determine BAH. For example, two service members at the same location and rank can have different BAH if one has dependents and the other does not.