FY2027 NDAA: Every Pay & Benefits Change That Affects Your Wallet
The House Armed Services Committee approved the fiscal 2027 National Defense Authorization Act on June 5, 2026 — a $1.15 trillion bill packed with pay and quality-of-life provisions. Here's what's in it for service members and families, in plain English. Everything below is proposed, not yet law.
1. Tiered pay raise: 7% / 6% / 5%
The headline item: 7% for E-5 and below, 6% for E-6 through O-3, 5% for O-4 and above, effective January 1, 2027. Full details and estimated pay tables in our 2027 pay raise tracker.
2. BAH no longer counts against food assistance (Basic Needs Allowance)
The bill would remove BAH from the income calculation for the Basic Needs Allowance (BNA) — the food-assistance benefit for low-income military families. Today, counting tax-free housing allowance as "income" pushes many families above the eligibility line. Excluding it would make far more junior families eligible. The same provision passed the House last year but was dropped from the final FY2026 bill — advocates are pushing to keep it in this time.
3. Bereavement leave for pregnancy loss
Active-duty and reserve members would receive bereavement leave after a miscarriage or stillbirth — a first for the military leave system.
4. Health care access
- Physical therapy without a referral — direct access instead of waiting on a PCM referral.
- Tricare fixes — faster complaint processing and pharmacy audits.
5. Child care
Expanded options, including allowing au pairs — aimed at the long waitlists at base CDCs.
6. Bigger force
End strength would grow by 40,100 active-duty members across the services — relevant if you're watching promotion timing and retention bonuses.
What happens next: House floor vote expected mid-July → Senate writes its own version → the two are reconciled → signed into law, usually December 2026. Provisions can be added or dropped at any stage — we'll keep this page updated.
Calculate your current 2026 take-home pay while Congress finalizes 2027.
Calculate my pay →Frequently asked questions
What is in the FY2027 NDAA for military pay?
A tiered raise (7% E-5 and below, 6% E-6–O-3, 5% O-4+), removing BAH from Basic Needs Allowance income calculations, bereavement leave for pregnancy loss, direct-access physical therapy, and expanded child care.
Is the FY2027 NDAA law yet?
No. The House Armed Services Committee passed it June 5, 2026. It still needs the full House, the Senate, and the President's signature — typically by late December.
What is the Basic Needs Allowance change?
The bill would stop counting tax-free BAH as income when determining eligibility for the Basic Needs Allowance, making many more junior enlisted families eligible for the food-assistance benefit.