Overseas Housing Allowance
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An overseas housing allowance (OHA) is a
United States military The United States Armed Forces are the military forces of the United States. The armed forces consists of six service branches: the Army, Marine Corps, Navy, Air Force, Space Force, and Coast Guard. The president of the United States is the ...
entitlement An entitlement is a provision made in accordance with a legal framework of a society. Typically, entitlements are based on concepts of principle ("rights") which are themselves based in concepts of social equality or enfranchisement. In psychology ...
given to military servicemen and women living overseas. It is administered by Defense Travel Management Office (DTMO) and is the overseas equivalent of the
Basic Allowance for Housing Basic allowance for housing (BAH) is a United States military entitlement given to many military members. It was previously called Basic allowance for quarters (BAQ) and is administered by the Defense Travel Management Office (DTMO). How it works ...
. OHA is intended to private lease local housing instead of living in government or on-base housing. Over $1.8 billion is paid in OHA benefiting approximately 61,000 members annually.


How it works


Eligibility Factors

OHA is given to servicemembers so that they can provide housing for themselves and their dependents (usually spouse and children). OHA is given when the member and their dependents do not occupy government quarters. OHA is non-
tax A tax is a compulsory financial charge or some other type of levy imposed on a taxpayer (an individual or legal entity) by a governmental organization in order to fund government spending and various public expenditures (regional, local, or n ...
able money paid on a monthly basis, and is equivalent to the amount of rent owed under the OHA rate. Whereas servicemembers stationed in the Continental United States (48 contiguous states) are allowed to keep any additional allowance pay that they do not use for their rent, servicemembers do not receive their full complement of OHA if their rents are lower than the maximum allowable rates. Each servicemember is allowed a set OHA rate, broken down by district, depending on where they are stationed. The rates are slightly higher for those servicemembers with families, otherwise known as dependents. There are three factors for determining the maximum amount of OHA allowed to the servicemember: #
Pay grade A pay grade is a unit in systems of monetary compensation for employment. It is commonly used in public service, both civil and military, but also for companies of the private sector. Pay grades facilitate the employment process by providing a fix ...
(this is essentially synonymous with rank), the higher the grade, the higher the maximum OHA rate. #Location Overseas - BAH is intended to match the average monthly rent in the area where the member is stationed, thus more expensive regions (they are indexed online) receive a higher allocation of OHA. Depending on the status of the assignment (such as temporary duty, or an unaccompanied assignment) the OHA may be calculated where the dependents actually reside. #If the member has dependents or not. There are two types or OHA, with dependents and without dependents. The rationale behind this is that a single person doesn't need as much room as a couple or a family. The number of dependents does not affect a servicemember's OHA (a member with a spouse and no children and a spouse and one or several children receive the same amount of OHA). OHA is paid in the dollar equivalent of the rent due, and therefore rises and falls with monthly changes in the exchange rate.


Determining allowances

Frequently a "utility allowance" also accompanies OHA. This is usually a flat rate given to the member to cover the cost of utilities, regardless of the actual amount. In certain countries, an additional Move In Housing Allowance (MIHA) is allotted to cover the cost of cleaning, maintenance, repainting, and general refurbishing of the rental unit. Utility/recurring maintenance expenses are calculated annually. Move-in Housing Allowance (MIHA) expenses are calculated every 3 years. Both are based on actual servicemember expense reports. The rent allowance is meant to cover 80% of a servicemember's full expenses and the majority of the remaining 20% servicemember housing expenses.


See also

*
Basic Allowance for Housing Basic allowance for housing (BAH) is a United States military entitlement given to many military members. It was previously called Basic allowance for quarters (BAQ) and is administered by the Defense Travel Management Office (DTMO). How it works ...
*
Cost of Living Allowance (U.S. Military) Cost of Living Allowance (COLA) is an entitlement given to military servicemen and women United States military living in high-cost areas or stationed overseas. It is intended to compensate service members for the high cost of living at certain dut ...
* Leave and Earnings Statement (LES) * United States Military Pay


External links


OAH FAQsOHA Calculator


References

{{reflist United States military pay and benefits