OCONUS COLA Calculator
Popular Duty Stations
Years of Service: 4
Number of Dependents
Select an overseas location to calculate your OCONUS COLA.
About OCONUS COLA: The Overseas Cost of Living Allowance is a non-taxable allowance that helps offset higher living costs at overseas duty stations. Your actual COLA may vary slightly based on additional factors.
Understanding OCONUS COLA
The Overseas Cost of Living Allowance (OCONUS COLA) is a non-taxable allowance that helps military families offset higher living costs at overseas duty stations. Like CONUS COLA, overseas COLA is tax-free.
How OCONUS COLA Works
Each location has a COLA index reflecting local costs vs. U.S. average
Your spendable income (based on pay grade and YOS) is multiplied by the index
OCONUS COLA is tax-free, just like CONUS COLA and BAH
Rates are updated regularly by DTMO based on local costs and exchange rates
Frequently Asked Questions
What is OCONUS COLA?
OCONUS COLA is a non-taxable allowance paid to military service members stationed at overseas duty stations to help offset the higher cost of living compared to the U.S. average.
How is OCONUS COLA calculated?
Monthly COLA = (Annual Spendable Income x (Index - 100) / 100) / 12. The spendable income is based on your pay grade, years of service, and number of dependents. The location index reflects local costs compared to the U.S. average.
How often are rates updated?
OCONUS COLA indices are reviewed and updated regularly by the Defense Travel Management Office (DTMO), often multiple times per year, to reflect changes in local cost of living and currency exchange rates.
