New to the military · 2026 rates
Your First Paycheck, Decoded
By MilPayGuide · Reviewed against official rate tables · August 2026
The pay chart says $2,698.00 a month for an E-2. Your bank account says something smaller, twice a month, and nobody explained why. Here's the two-minute version.
Estimates for a single E-2 with no dependents and default elections; your exact withholding varies by state and W-4. Meals and barracks housing are provided in kind — that's real compensation that never touches your LES.
Reading your LES (Leave and Earnings Statement)
Your LES on myPay is the receipt for all of this. The lines that matter:
| LES line | What it is | What to know |
|---|---|---|
| BASE PAY | Your rank + years-of-service pay | E-2: $2,698.00/mo — the number on the pay chart |
| BAS | Basic Allowance for Subsistence (food money) | In the barracks you usually don't see it — it funds your meal card instead |
| BAH | Basic Allowance for Housing | Single junior enlisted in the barracks: not paid. Married or living off-post: paid, tax-free, varies by ZIP |
| FITW | Federal income tax withholding | Small at junior pay — often under $100/mo |
| FICA-SOC SECURITY / FICA-MEDICARE | Social Security (6.2%) + Medicare (1.45%) | About $206.00/mo at E-2 pay |
| SGLI | Life insurance ($500,000 coverage) | About $31/mo including TSGLI — you were auto-enrolled at max coverage |
| TSP | Thrift Savings Plan (your retirement account) | You were auto-enrolled at 5% — this is the good deduction. See below. |
| AFRH | Armed Forces Retirement Home | 50 cents. Every enlisted member pays it. Yes, really. |
| MID-MONTH-PAY | The 15th's deposit, subtracted on the end-of-month LES | You're paid twice a month — each deposit is roughly half your net |
The 5% TSP match is a 100% return. Take it.
When does BAH start?
BAH (Basic Allowance for Housing) is tax-free rent money — but single junior enlisted living in the barracks don't receive it; the barracks room is the housing benefit. It typically starts when you get married, gain a dependent, or are authorized to live off-post (rank rules vary by branch and base). When it starts, it's significant — often more than a junior member's entire base pay in high-cost areas. Look up the BAH rate for any ZIP code →
Your next raises are already scheduled
Typical promotion timing; your branch and job speed this up or slow it down. Longevity raises also land automatically at 2, 3, and 4 years even without a stripe.