One of the key financial aspects you need to understand while PCSing to Hawaii is the Hawaii BAH rates.
It is important for any military member moving to Hawaii to have basic knowledge about the Basic Allowance for Housing (BAH).
With some of the highest BAH rates in the nation, service members can significantly offset the high cost of living in Hawaii with BAH.
What is BAH?
Basic Allowance for Housing (BAH) is a non-taxable allowance paid to you in addition to your salary. This BAH amount is added to your base pay to help you meet your housing expenses.
Who gets BAH? It is open to all the service personnel of the United States Armed Forces, these include the Air Force, Army, Coast Guard, Marine Corps, Navy, Space Force, and Reserves if applicable.
In particular, if you reside off-base and government quarters are unavailable, you’re eligible for this allowance.
Why is BAH important? Housing in Hawaii is relatively costly because the land is scarce and the population density is high. This is where BAH ensures that service members are not spending a lot of their money in search of a decent home.
BAH Rates in Hawaii for 2025?
BAH is assigned based on your duty location, pay grade (rank), and dependent status allowing you to use it for renting or purchasing a home.
This means that if you are posted in an area where housing is expensive such as Hawaii, then your BAH will be on the higher side.
Your actual BAH rate may vary and to determine your BAH rate, you can use the BAH calculator developed by DTMO. Here you can enter your pay grade, duty station, and zip code to get the most accurate BAH rate with or without dependents.
Here’s a table summarizing the 2025 BAH rates for Honolulu County, Hawaii, for various ranks with and without dependents:
From the above table, it can be seen that Service members with dependents in 2024 got 25% more BAH compared to those without dependents.
Note: BAH rates only look for dependency status, it doesn’t consider the number of dependents that you have.
This allowance is important for service members and their families to afford decent housing as median rents are over $3,000 per month in many areas of Hawaii.
BAH Individual Rate Protection
BAH rates are reviewed each year depending on location, economy, and the progress in housing in the area. This means that BAH is variable based on the market prices for houses.
To protect service members from any decrease in BAH. There is this individual rate protection for Basic Allowance for Housing (BAH) that makes sure there is no decrease in your BAH rate.
This is good for those who have made long-term commitments with housing and are dependent on BAH.
Individual rate protection remains in force until and unless the status of the member changes due to:
- Permanent Change of Station (PCS)
- Reduction in pay grade
- Change in dependency status
Also, Service members are entitled to the higher of two amounts: the new BAH rates that went into effect on January 1 or the housing allowance they were paid on December 31 of the preceding year.
Housing Options with Hawaii BAH
The real estate in Hawaii is challenging as it is an island with very little space for construction and new infrastructure. However, Hawaii is a good place for real estate investment.
I know some of my military personnel clients who built impressive real estate portfolios in Hawaii while being stationed here.
In this context, BAH can be helpful in the purchase of a house but it doesn’t cover all the home ownership costs.
There are other considerations with BAH and housing:
Cost of Living Allowance (COLA)
In Hawaii, the Cost of Living Allowance (COLA) is a special pay for military members to cover their living costs.
- What does COLA cover? COLA modifies for the higher expense of living which involves food, fuel, and other requirements. It can go a long way in helping you save on your finances in the long run.
- How does it work? COLA is paid out based on rank, dependents, and the duty station. Here is a COLA calculator for you.
Besides COLA, military personnel can also receive Basic Allowance for Subsistence (BAS) which is supposed to cover meals. This is given to Officers and Enlisted members who are in single/unaccompanied Government quarters.
Buying a Home (With BAH & VA Loans)
Given that Hawaii BAH rates are said to be ‘some of the highest in the nation’, you can consider purchasing your home in paradise.
This can be very much possible through VA loans. Perhaps one of the biggest advantages of VA loans is that they offer a 0% down payment.
- How does this work? To qualify for a VA loan, you can work with a loan specialist and submit your sources of income like Hawaii BAH, BAS, and COLA, and all military-related income sources along with your application.
- What about homeownership expenses? Although BAH helps, other expenses like property taxes, homeowners insurance, HOA dues and maintenance should also be included in your budget.
- Why choose VA loans? VA loans are also favorable because they come with reasonable interest rates and you don’t have to pay for private mortgage insurance (PMI).
Here's something cool. What could you buy just using your Hawaii BAH?
Hawaii BAH Mortgage Calculator
Find out how much home your full BAH could buy.
Renting a Home
Another way through which military personnel can utilize their BAH in Hawaii is by renting a house. For renting, you always have to factor in the cost of living and the cost of rent on the islands.
What should you consider when renting? When searching for rental properties, it’s important to look at locations that fit within your BAH allowance. Research neighborhoods with reasonable rental prices while still being convenient for your daily commute.
What will it cost you? Rental prices vary widely across Hawaii. For instance, in Honolulu, a two-bedroom apartment is likely to cost $2,000 per month in rent. Your BAH can assist you with rent bills but you have to make sure to factor in other things like water and electricity bills among others.
What are some tips for renting?
Start your search early: The rental market is quite saturated and therefore competition can be quite high.
Use local resources: Look for houses online using a website and local Facebook groups or talk to your sponsor or someone you know at the base.
Consider shared housing: If you are alone, then sharing your house with someone can help you cut down on your expenses greatly.
Types of BAH
As we talked already, BAH rates are dependent on a few factors but did you know there are different types of BAH? Let’s explore the main types of BAH available to service members.
BAH with Dependents and BAH Without Dependents
Mostly you will notice there are BAH With Dependents and BAH Without Dependents.
- BAH With Dependents is given to service members who have at least one family member who qualifies as a dependent as defined by the government
- BAH Without Dependents is for single service members or those who have no dependents
Dual Military BAH
For military couples in which both partners are active-duty service members, then both members are provided with their BAH rate dependent on their rank and the number of dependents they have.
If the couple has children, the one with the higher pay grade will be entitled to BAH with dependents while the other will be entitled to BAH without dependents.
Partial BAH
Partial BAH is for those service members who are living in the Government quarters or on-base barracks but need assistance with their housing expenses.
This allowance is determined by the rank of the officer:
- BAH Reserve Component/Transit (BAH RC/T) or BAH Type 2.
- BAH Reserve Component/Transit (BAH RC/T) is a type of BAH that is intended for Guard and Reserve members on short-term active duty
- BAH RC/T rates are set each year and are calculated by adjusting the previous year’s rates by the national average percentage increase in housing costs.
BAH-Differential (BAH-Diff)
We have the BAH-Differential (BAH-Diff), which is available to service members who pay child support.
This allowance depends on the pay grade and is meant to assist those who have to pay child support. To be eligible for BAH-Diff, the child support payment made must be equal to or greater than the differential BAH-Diff rate applicable to the member’s pay grade.
BAH Data Collection
The Hawaii BAH rates are set by the U.S. Department of Defense (DoD) based on several important factors.
To make sure that service members are paid a proper allowance that corresponds to the local housing market, the DoD gathers a lot of data.
Sources of Information and Analysis for BAH
To determine BAH rates, the DoD collects information on the average rent for apartments and houses in various locations in Hawaii
These are some reputable sources of data:
- U.S. Census Bureau
- Bureau of Labor Statistics
- Rental listing websites
- Offices of military housing in the locality
Information is gathered every year for about 300 military housing areas (MHAs) in the United States, including Alaska and Hawaii.
The Annual Data Collection Process for BAH
Each year, the Defense Travel Management Office (DTMO) offers four one-day BAH workshops for the Military Housing Offices (MHO) points of contact.
These workshops are focused on the training of the housing allowance, introduction to data collection, and reporting aspects.
For each year, the training location and updated data process are listed on this site: https://secure.defensetravel.dod.mil/my.policy
Accurate BAH Data
In computing BAH, the DoD incorporates local market data for rental housing and utility costs such as electricity, heating fuel, water, and sewer.
This approach ensures that all the costs that are associated with the computation of BAH rates are captured.
This is because the DoD collects a lot of data to determine the BAH rates for military personnel in Hawaii to ensure that they get the right amount of housing support they need.
BAH for Hawaii FAQ’s
1) What is the BAH for Hawaii?
BAH for Hawaii is based on rank, dependency status, and your base location
2) How much is BAH in Hawaii E4?
An E-4 with dependents in Hawaii received a BAH rate of $2,727 in 2024.
3) How much does the military pay in Hawaii?
An E-4 / E-5 in Hawaii will earn a total of $6,000 per month, which includes base pay of $3,066 and BAH of $3,009 per month.
4) Where is the highest BAH rate?
The BAH rates in Honolulu County are among the highest in the state, with an O-7+ with dependents receiving $4,680+ in 2024 and an E-1 with dependents receiving $3,009+
5) Can you get BAH if you're single?
Yes, single service members are entitled to BAH without dependents which is less than BAH with dependents.
6) Do I have to use all my BAH?
No, BAH is all yours and you can choose how to spend it. In Hawaii, BAH is expected to pay for between 80-90% of all your homeownership costs.
7) Can I buy a home with BAH in Hawaii?
Yes, you can use the BAH to pay for a mortgage when purchasing a home in Hawaii.
8) What if I refinance my loan?
If you refinance your mortgage, your BAH will continue as long as you remain eligible and your housing costs don't decrease.
9) Can I buy land with BAH?
Yes, even though BAH is for rental or mortgage payments on a home it can be used for buying a land.
10) Is Army BAH different than Navy BAH?
No, BAH rates are the same across the various sectors of the military such as the Army, Navy, Air Force, Marines, and Space Force.
11) Do you get OHA or BAH in Hawaii?
Military members assigned to Hawaii receive BAH as their basic allowance according to their rank. (https://www.travel.dod.mil/Allowances/Basic-Allowance-for-Housing/BAH-Rate-Lookup/)
Additional Resources
Here are some helpful resources for military personnel moving to Hawaii:
- The Defense Travel Management Office (DTMO) website: [2]
- The Department of Veterans Affairs (VA) Loan website: [3]
- Information on public schools in Hawaii: [4]
About the Author
MaryJo is a certified Military Relocation Professional and a retired military spouse. She has extensive experience helping service members and their families navigate the challenges of moving to Hawaii.
Contact:
If you have any questions about buying a home or just need information about schools, shopping, beaches, or other aspects of life in Hawaii, you can contact MaryJo at (808) 724-4629.
To search for your housing options, you can start your search by browsing through available houses through our listings.
Citations:
- Department of Defense: https://www.travel.dod.mil/Allowances/Basic-Allowance-for-Housing/BAH-Rate-Lookup/
- Defense Travel Management Office: https://www.travel.dod.mil/Allowances/Basic-Allowance-for-Housing/BAH-Rate-Lookup/
- Department of Veterans Affairs: https://www.homeloans.va.gov/
- Hawaii Department of Education: https://www.hawaiipublicschools.org/Pages/Home.aspx
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