Military budgets operate off of the "fiscal year," which runs from 1 October to 30 September. For example, Fiscal Year 2009 is from 1 October 2007 to 30 September 2009.
However, that does not mean that military pay changes occur at that time.
Due to the wording that Congress uses in the annual Military Appropriations Act, and the Military Authorization Act, most military pay increases do not begin until the beginning of the calendar year (i.e., January 1st).
The Military Appropriations Act, and the Military Authorization Act must be passed by Congress and signed into law by the President each year, before it can be implemented by the Department of Defense.
The Military Appropriations Act reserves (allocates) money for the Department of Defense. The Military Authorization Act tells DOD how to spend the money. Both acts must be passed and signed into law before DOD can implement them.
To see a recap of pay and benefit changes Congress has enacted for 2009, see What Congress Has in Store for You in 2009.
2009 MILITARY PAY CHARTS
Military Pay
Basic Pay, Drill Pay, Annual Salary
Housing Allowances
Active Duty Housing Allowance (BAH), Overseas Housing Allowance (OHA), Guard/Reserve Housing Allowance (BAH RC/T), Partial Housing Allowance (BAH-PAR), Child Support Allowance (BAH-DIFF)
Assignment-Related Pay
Combat Pay, Family Separation Allowances, Cost of Living Allowances, Career Sea Pay, Submarine Duty Pay
Travel-Related Pay
Dislocation Allowance, Per Diem Rates, Travel Mileage Rates
Misc. Pay Entitlements
Food Allowance (BAS), Retirement Pay, Clothing (Uniform) Allowance, Involuntary Separation Pay, Jump (Parachute) Pay, Flight Pay, Enlistment and Re-Enlistment Incentives

