After a recent wave of increases, cost-of-living allowances are headed back down for U.S. troops in mainland Japan and Okinawa, according to figures posted Friday by the Pentagon’s per diem committee.
COLA fell four points across the mainland, including Misawa Air Base, Yokosuka Naval Base, Naval Air Facility Atsugi, Camp Zama, Yokota Air Base, Marine Corps Air Station Iwakuni, Sasebo Naval Base, Camp Fuji and in Tokyo.
It is down two points on Okinawa. There were no changes in South Korea.
The U.S. dollar had rebounded slightly against the Japanese yen in recent weeks. On Friday, the exchange rate was 88 at military banking facilities.
According to Bloomberg, the dollar climbed to 90.27 yen from 89.84 in trading late Thursday in New York and may reach 91 over the weekend.
But COLA rates are set about eight days before the effective date of the new allowance.
Yen and won exchange rates are reviewed at least twice a month by the U.S. military’s per diem allowance committee to adjust overseas military COLA as needed. The allowance helps to offset the high cost of living abroad.
A COLA index is used as a guideline to determine how much money servicemembers receive. The actual cash amounts they get depend upon duty station, rank, time in service and number of dependents.
As of Saturday afternoon, the Pentagon’s per diem committee had yet to adjust the new online COLA figures that allow individual servicemembers to calculate their allowances.
In general, however, four points equates to $100 difference per pay period for an E-6 with 10 years of service and three dependents.
COLA fluctuations are based on two surveys — the Living Pattern Survey that studies where troops shop and what they buy, and the Retail Price Schedule that measures how much those items cost at the stores.
