How much can you make in the military? US officers can earn up to a $225,000 salary plus benefits

Military service is a form of government employment.

Like many other government jobs, it offers various benefits. But how much can you actually make in the military?

Military service can offer a solid base pay, especially as you rank up. But the full compensation package of active military personnel goes beyond annual salary.

Business Insider talked to various branches in the Department of Defense, including the Navy, Marine Corps, Army, National Guard, and Air Force, as well as military personnel across these branches, to decode the often-complex military compensation packages.

Top officers can earn up to a $225,000 salary

All active duty military personnel adhere to the same pay scale and ranking system for base pay, regardless of which branch they serve in.

The basic pay scale is mainly split into two categories: enlisted members and officers. Enlisted members are ranked from E-1 to E-9, and officers are ranked from O-1 to O-10.

Some military members also receive special pay on top of their base pay if they hold a military specialty or qualification or are based in a high-risk location. For example, specialty personnel, such as cyber warfare operators or weapons school instructors, may get paid in increments of $75 to $450 per month, according to a spokesperson from the Department of the Air Force.

An enlisted service member with an E-1 ranking receives $2,319 per month in basic pay, according to the DoD 2025 basic pay table for enlisted members. Usually, E1-E4 members are living in the barracks so they have little to no expenses.

Service members receive a routine pay increase about every two years, depending on their rank, but promotions can vary and depend on evaluations, time spent in the military, and the specific branch.

In 2025, a newly enlisted military member, who in the Army and Marine Corps would be considered a Private, earned at least $53,236 a year, a defense official told Business Insider.

The defense official said that by the fourth year, which is an E-5 pay grade and considered a sergeant in most branches, members earn $82,075. Depending on the location where the member serves, they may receive other pay and allowances.

Officer salaries run higher. After 20 years of service, an O-9 or O-10 officer can earn $18,808.20 a month, which comes out to about $225,698 a year. That pay is reserved for top generals and admirals, and there are few of them.

Paychecks also include tax-free allowances

Regular military compensation includes basic pay, the allowances for housing and subsistence, and the federal tax advantage, a defense official told Business Insider.

Basic Allowance for Housing, or BAH, is one of the most common tax-free allowances given to military members. Service members start getting BAH when they reach E-5 or E-6, get married, or have kids. The Department of Defense determines BAH rates, and they typically increase annually based on housing research and market analysis.

Service members receive amounts depending on their rank, number of dependents, and cost of living in their location. For example, an E-5 with dependents in San Diego receives $3,987 a month in BAH, according to the Defense Travel Management Office.

Service members outside the US may also receive an additional overseas housing allowance to incentivize military members to serve internationally.

Military personnel may also receive a Basic Allowance for Subsistence, or BAS, to offset the cost of their meals. If they qualify, enlisted members get about $465 a month in BAS, according to the Department of Defense’s Finance and Accounting Service.

BAS rates increase annually based on the rate of change in a USDA index that tracks increases in food costs, a defense official told Business Insider.

There are various other allowances that depend on specific circumstances, like clothing replacement allowances for listed members’ uniforms or family separation allowances for service members who serve away from dependents for over 30 days.

There can be bonuses

The US military hands out signing bonuses as a recruiting tool to accelerate and fill certain gaps.

If offered, an enlistment bonus in the Army can range between $1,000 and $45,000, but it averages around $12,000, US Army spokesperson Heather J. Hagan told Business Insider.

Some Army programs pay up to $50,000 for enlistment bonuses for those entering a key specialty, like military intelligence or special forces, Hagan said. She added that some bonuses can be combined, but they can’t exceed $50,000.

The Army also pays retention bonuses that target critical specialties for warrant officers, and some officers can receive as high as a $245,000 bonus over a seven-year contract, Hagan said.

The dispersal of military funds depends on the service designator program, a Navy spokesperson said. While some branches may give 50% upfront and disperse the rest over five years, others may disperse it evenly within the contract period or in a lump sum, the spokesperson said.

The majority of the bonuses are taxable, with the exception of bonuses given to service members in a non-taxable zone, like Bahrain.

Common positions that receive bonuses include pilots, nuclear sailors, and service warfare officers, according to a Navy spokesperson.

Free education, free healthcare, and a pension

The US Department of Veterans Affairs offers education benefits through the Post-9/11 GI Bill, which helps service members and their families pay for some of — or in some cases all of — the costs of education. The Department of Defense also offers Service members up to $250 per semester credit hour and a maximum of $4,500 per fiscal year for voluntary off-duty education, a defense official told Business Insider.

For the 2025 to 2026 academic year, those who meet the 36-month requirement can receive full tuition paid at a public school or up to $29,920.95 at a private institution.

This year, the Department of Veterans Affairs also expanded access for veterans who served multiple periods of military service. Eligible veterans now qualify for an additional 12 months, or up to 48 months of total GI Bill benefits.

Service members who entered service on or after January 1, 2018 automatically qualify for the Blended Retirement System. To qualify for a BRS pension, a Service member has to complete 20 years of service. Retired pay under the program is calculated as the member’s years of service multiplied by 2% multiplied by the average of his or her highest 36 months of basic pay, a defense official told Business Insider.

The BRS is administered through the Thrift Savings Plan, a government-run retirement savings and investment plan similar to a civilian retirement plan. It allows members to invest their money with a 1% contribution after 60 days of service.

The government matches the member’s contributions up to 4% of basic pay each month after the member has completed two years of service, for a total possible government contribution of 5% to a member’s TSP account each month after two years of service, a defense official said. TSP can be accessed even if a member has not completed 20 years of service, a defense official said.

Active duty service members, their families, and retirees can also receive free medical and dental care through Tricare, the military healthcare program. With Tricare, some military members have no premium charges for coverage and no out-of-pocket costs for medical care or prescriptions, although the rate depends on individual plans.

As a service member, you’ll also be eligible for a number of other benefits, like discounted commissary and exchange at grocery stores and department stores. The military also covers the cost of moving if you’re deployed to a different location.

Do you work in the military and want to share your story? Email the author at [email protected].

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