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The plan would deliver a tiered “7-6-5” raise effective January 1, 2027 for different paygrades, exceeding the automatic annual adjustment based on ECI changes. It also outlines prior adjustments under FY2025 NDAA, congressional versions, and the budget and compensation context, including MILPERS funding and Regular Military Compensation.",{"@graph":63,"@context":112},[64,80,95],{"@type":65,"itemListElement":66},"BreadcrumbList",[67,71,74,77],{"item":68,"name":69,"@type":70,"position":9},"https://docshare.wps.com","Home","ListItem",{"item":72,"name":10,"@type":70,"position":73},"https://docshare.wps.com/template/",2,{"item":75,"name":21,"@type":70,"position":76},"https://docshare.wps.com/template/invoices/",3,{"item":78,"name":59,"@type":70,"position":79},"https://docshare.wps.com/template/fy2027-ndaa-military-basic-pay-raise-proposal-july-14-2026/565094/",4,{"url":78,"name":59,"@type":81,"author":82,"headline":59,"publisher":85,"fileFormat":88,"inLanguage":57,"description":61,"dateModified":89,"datePublished":89,"encodingFormat":88,"isAccessibleForFree":90,"interactionStatistic":91},"DigitalDocument",{"name":83,"@type":84},"\tJames","Person",{"url":68,"name":86,"@type":87},"DocShare","Organization","application/pdf","2026-10-12",true,{"@type":92,"interactionType":93,"userInteractionCount":4},"InteractionCounter",{"@type":94},"ViewAction",{"@type":96,"mainEntity":97},"FAQPage",[98,104,108],{"name":99,"@type":100,"acceptedAnswer":101},"What is the core proposal for military basic pay in FY2027 NDAA?","Question",{"text":102,"@type":103},"The proposal requests a $5.8 billion targeted military pay raise effective January 1, 2027 using a tiered “7-6-5” structure based on paygrade.","Answer",{"name":105,"@type":100,"acceptedAnswer":106},"How does the proposed “7-6-5” raise relate to the statutory ECI adjustment?",{"text":107,"@type":103},"The proposed increase is larger than the automatic annual adjustment of 3.6% for calendar year 2027 derived from ECI changes.",{"name":109,"@type":100,"acceptedAnswer":110},"What authority allows the President to propose an alternative pay adjustment?",{"text":111,"@type":103},"Under 37 U.S.C. §1009(e), the President may propose an alternative adjustment due to national emergency or serious economic conditions, and must submit a plan to Congress with reasons and recruitment/retention impacts.","https://schema.org",{"og:url":78,"og:type":114,"og:title":59,"og:site_name":86,"og:description":61},"article",{"robots":116,"canonical":78},"index,follow",{"doc_id":118,"site_id":56},565094,1791846529,{"code":4,"msg":5,"data":121},{"doc_id":118,"user_id":122,"nickname":83,"user_avatar":123,"doc_module":9,"category_id":20,"category_name":21,"doc_title":59,"doc_description":61,"doc_content":124,"file_id":125,"file_url":126,"file_type":127,"file_size":128,"view_count":4,"is_deleted":4,"is_public":9,"is_downloadable":9,"audit_status":9,"page_count":76,"language":129,"language_code":57,"site_id":56,"html_lang":57,"table_of_contents":130,"faqs":131,"seo_title":132,"seo_description":61,"update_tm":119,"read_time":9},2336474466412,"https://ap-avatar.wpscdn.com/davatar_155a257f0dc6eb9ab79c44ca47cae57d","INSIGHTi  \nFY2027 NDAA: Military Basic Pay Raise Proposal  \nJuly 14, 2026  \nPresident’s Budget Request for Basic Pay Raise  \nThe President’s budget request for fiscal year (FY) 2027 for the Department of Defense (DOD, see“Note”) proposes “$5.8 billion for a 7-6-5 percent targeted military pay raise effective on January 1, 2027.” The “7-6-5” formulation would provide for a tiered pay raise based on paygrade (rank), with the most junior servicemembers (E-1 through E-5) receiving the biggest percent increase (see Table 1) . Per a statutory formulation under Section 1009(c) of Title 37, United States Code, there is an automatic annual pay adjustment tied to the increase in the Employment Cost Index (ECI) from the third quarter of 2025 to the third quarter of 2026. The proposed “7-6-5” increase would be larger than the automatic annual adjustment of 3.6% for calendar year 2027.  \nUnder 37 U.S.C. §1009(e) the President has the authority to propose an alternative pay adjustment “[i]f, because of national emergency or serious economic conditions affecting the general welfare, the President considers the pay adjustment which would otherwise be required by this section in any year to be inappropriate.” Per this statute, the President is required to submit a plan to Congress for the adjustment along with the reasons for the adjustment, to include “the impact that the alternative pay adjustments proposed in the plan would have on the Government’s ability to recruit and retain well-qualified persons for the uniformed services.”  \nPrior Basic Pay Adjustments  \nThe President and Congress have acted in the past to set military pay higher or lower than the statutory adjustment, and to make pay table adjustments for targeted paygrades (see Table 1 in CRS In Focus IF10260, Defense Primer: Military Pay Raise). The President’s proposed pay increase would follow recent pay table adjustments enacted in the Servicemember Quality of Life Improvement and National Defense Authorization Act for Fiscal Year 2025 (FY2025 NDAA, P.L. 118-159) . The FY2025 NDAA allowed for an inflation-adjusted pay increase, effective January 1, 2025, for all servicemembers, and more targeted increases for junior enlisted servicemembers in the paygrades of E-5 and below starting on April 1, 2025 (see Table 1) .  \nCongressional Research Service  \n[https://crsreports.congress.gov](https://crsreports.congress.gov)[ ](https://crsreports.congress.gov)IN12706  \nCongressional Action for an FY2027 NDAA  \nThe House Armed Services Committee (HASC) and the House Appropriations Committee, Defense Subcommittee-reported versions ofan FY2027 NDAA would support the President’s proposed pay raise. The Senate Armed Services Committee (SASC)-reported version would provide a pay raise of 3.6%, consistent with the ECI under the statutory formula.  \nTable 1. Military Basic Pay Adjustment Authorizations  \nEnacted and proposed amounts with effective dates; January 2025 – January 2027  \n\n|  | Enacted Amount and Effective Date |  |  | Proposed Amount and Effective Date |  |  |\n| --- | --- | --- | --- | --- | --- | --- |\n| Paygrade | Jan. 2025 | Apr. 2025 | Jan. 2026 | Jan. 2027\u003Cbr>Presidenta | Jan. 2027\u003Cbr>HASC | Jan. 2027\u003Cbr>SASC |\n| E-1 through E-4 | 4.5% | additional 10% over Jan. 2025 increase | 3.8% | 7% | 7% | 3.6% |\n| E-5 | 4.5% | average additional 7% over Jan. 2025 increase for E-5s with fewer than 10 years of service | 3.8% | 7% | 7% | 3.6% |\n| E-6 through O-3 | 4.5% | none | 3.8% | 6% | 6% | 3.6% |\n| O-4 and above | 4.5% | none | 3.8% | 5% | 5% | 3.6% |\n\nSource: CRS analysis of the FY2025 NDAA (P.L. 118-159) and the FY2027 Department of War Budget Overview Book. Notes: The rate of basic pay an individual receives varies based on paygrade and years of military service. Pay tables are  \navailable at [https://www.dfas.mil/militarymembers/payentitlements/Pay-Tables](https://www.dfas.mil/militarymembers/payentitlements/Pay-Tables).  \na. Proposal averages 6.2% “across the force,” per DOD Budget O","cbCaisF1wSxdMJoK","https://ap.wps.com/l/cbCaisF1wSxdMJoK","pdf",497829,"English","# President’s Budget Request for Basic Pay Raise\n## Prior Basic Pay Adjustments\n# Congressional Action for an FY2027 NDAA\n## Table 1. Military Basic Pay Adjustment Authorizations\n# Considerations for Congress","[{\"question\":\"What is the core proposal for military basic pay in FY2027 NDAA?\",\"answer\":\"The proposal requests a $5.8 billion targeted military pay raise effective January 1, 2027 using a tiered “7-6-5” structure based on paygrade.\"},{\"question\":\"How does the proposed “7-6-5” raise relate to the statutory ECI adjustment?\",\"answer\":\"The proposed increase is larger than the automatic annual adjustment of 3.6% for calendar year 2027 derived from ECI changes.\"},{\"question\":\"What authority allows the President to propose an alternative pay adjustment?\",\"answer\":\"Under 37 U.S.C. §1009(e), the President may propose an alternative adjustment due to national emergency or serious economic conditions, and must submit a plan to Congress with reasons and recruitment/retention impacts.\"}]","FY2027 NDAA: Military Basic Pay Raise Proposal - July 14, 2026 | PDF"]