|Army Selective Reenlistment Bonus (SRB)|
Selective Reenlistment Bonus (SRB) Program is a monetary incentive offered
to qualified soldiers who reenlist in the Regular Army for continued duty
in certain military occupational specialities (MOSs).
amount awarded for an SRB is computed as follows:
For example, let's say that the SRB Chart shows the following:
That means a soldier in the rank of SPC (E-4), who held the MOS (job) of 12B, Combat Engineer, with six or less years of service, reenlisting for four years would receive .5 X 4 X the amount of their monthly base pay.
The same soldier, holding the rank of SGT (E-5), with the same MOS, who had 8 years of service (Zone B), reenlisting for four years, would receive 2 X 4 X the amount of their monthly base pay.
The 2003 pay chart shows than an E-5 with 8 years of service receives $2151.90 per month in base pay. So, the above soldier would receive 2 X 4 X $2151.90, or $17,215.20 for reenlisting for 4 years.
Fifty percent of the awarded bonus is paid at the time of reenlistment. The remaining bonus amount is paid in equal annual installments over the reenlistment contract.
bonuses are fully taxable, unless the soldier reenlists in a designated
zone which has been declared a tax-free zone. In that case,
the entire amount of the reenlistment bonus is tax-free (federal income
tax), regardless of when it is actually paid.