Definition of Combat pay:
Tax free additional compensation paid to members of the armed forces who are on active duty in a designated combat zone or hazardous duty area. This pay includes: active duty pay, dislocation allowances, reenlistment bonuses, achievement awards, pay for accrued leave and other miscellaneous types of compensation that are paid as a result of military service. Also called imminent danger pay.
Combat pay is not open only to combat soldiers. Any person enrolled in a branch of the U.S. military who is assigned to a designated hazardous area is eligible to receive combat pay.
Combat pay is a tax-exempt monthly stipend paid to all members of the Armed Services who are serving in designated hazardous zones. It is paid in addition to the person's basic pay.
How to use Combat pay in a sentence?
- Combat pay is a bonus paid to military service personnel who are serving in regions that are designated hazard zones.
- The additional pay is generally not subject to federal income tax although Social Security and Medicare taxes are deducted.
- However, combat pay is factored into applications for student aid made through the Free Application for Federal Financial Aid (FAFSA) form.
Meaning of Combat pay & Combat pay Definition