Representatives from various military service organizations on Nov. 5 urged the congressionally-mandated commission on military compensation reform to take a serious look at health care spending accounts as a means of cutting costs. Commissioner Peter Chiarelli, former Army Vice Chief of Staff, said the service chiefs all have asked Congress to allow changes to the basic fee structure for Tricare for Life, but it has largely gone unchanged since the 1990s. Dick Newton, former head of personnel on the Air Staff and AFA’s executive vice president, told commissioners the Defense Department should be looking at innovative ways to meet service member needs—this could include looking at Tricare fees and cost of living adjustments. There must be a transformational approach to dealing with rising health care costs in the military, said Newton.
Pentagon Releases Cost of Living, BAH Rates for 2026
Dec. 30, 2025
The Pentagon will pay cost of living allowances to 127,000 service members in the continental U.S. in 2026, an increase of 66,000 members in 2025. Airmen and Guardians across the U.S. will also receive an average increase of 4.2 percent for their Basic Housing Allowance, compared to the 5.4 percent…
