The final version of the annual defense bill announced by Congress on Sunday night includes a 3.8% pay increase for U.S. service members, set to take effect Jan. 1. The fiscal 2026 National Defense Authorization Act also includes personnel policy updates aimed at improving the quality of life for military members and their families.
Service members with families will see additional benefits, including an increase in the family separation allowance from $250 to $300 per month for deployments or extended training away from home. The bill also extends parental leave, allowing active-duty and activated Guard and reserve members to take leave within two years of a child’s birth or adoption. Improvements to military and family housing are also included.
The legislation authorizes $900.6 billion for the Defense Department, exceeding the president’s budget request by over $8 billion, though final funding will be determined by appropriators. The 3.8% pay raise would increase base pay for an E-4 with four years of service by roughly $134 per month.
Other provisions include reinstating “women’s initiative teams” in each branch to address barriers to recruitment, retention, and advancement for female service members, as well as creating 10 new positions, including blast safety officers, to mitigate risks of head injuries during weapons training.
The bill also codifies Trump-era policies regarding transgender participation in women’s athletics at service academies. However, proposals to expand in vitro fertilization coverage for service members and spouses were removed during negotiations.
The House is expected to vote on the legislation this week, with the Senate set to consider it the week of Dec. 15 before it is sent to the president to be signed into law.