Do Navy pilots get 'special pay'?

[leonsparx]

I have a question regarding 'special pay.'

My student loan exit interview information says that "up to 50% of an outstanding loan principal balance may be cancelled at a rate of 12.5%/yr for each year of qualifying service" in the military, for those receiving 'special pay'.

it then goes on to say that "special pay" is as defined under Title 37, Section 310 of the U.S. Code, which i found here:

http://www4.law.cornell.edu/uscode/37/310.html

the question: does aviator status qualify as 'special pay'? on a carrier?

 

[Gatordev]

After going through the link you gave, I think the short answer to your question is not all the time. Based on the link, flight pay isn't considered special pay. I'm kind of fuzzy on how flight pay is actually classified. John or Frumby might be able to clarify that, but I think you can get hazardous duty pay in addition to your flight pay.

The key here, though, is to be in an area where you rate Haz. duty pay...like the Gulf, Asscrackistan, and a few other places.

Just to give you an idea of pay in a non-combat zone, you'll receive:

Base pay, BAH (if not in govt housing), BAS, COLA (if overseas), flight pay, and if on a ship, sea pay. You get flight pay instead of flight deck pay, which is what the maintainers and flight directors get.

 

[webmaster]

quote:MILITARY SERVICE:
A borrower may cancel a portion of their loan for service in the U.S. Armed Forces in an area of hostilities or in an area of imminent danger that qualifies for special pay under Section 310 of Title 37 of the U.S. Code.

Eligibility - NDSL/Perkins loans made on or after July 1, 1972

Maximum Amount Canceled - Up to 50% of loan at a rate of 12 1/2% of original principal loan amount and accrued interest for each complete year of qualifying service.

The key here is "imminent danger", flight pay is not the same thing. When you go into a hostile or imminent danger zone, you recieve hostile fire pay and imminent danger pay, along with getting tax free for that month.

I have five months of this, but still have a long way to go to get the "year" that is required to get into this program and have the first 12.5% off of your student loan.

Now, if your carrier was in the combat zone, or you flew into that zone, then you qualify for that month of tax free and the associated hazardous duty.

 

[leonsparx]

thanks for your responses.

so basically it looks like im better off just paying back the loans, rather than trying to sneak in 4 years of "imminent danger."

 

[Agent00JP]

From what I understand, and I do not have time to re-investigate this, sea duty counts no matter where the boat is. Please let me know if someone out there knows this to be untrue.

JP

 

[Goliath112]

true

have I got a long way to run...

 

[Frumby]

Negative. Sea duty does not count for imminent danger pay. It does matter where the boat is located. If you look on your LES (Leave and earning statement), imminent danger pay (I believe it is still $150/month) generally almost always goes hand and hand with "tax exclusion" from Federal Income Tax. There are exceptions that make this statement untrue but for the most part that is a true statement. When I went into Bosnia, we did not rate imminent danger pay until we cross over a certain Lat/Long to rate the pay and Tax exclusion. Paying off your loans outright is a much more simpler and safer process. Semper, Frumby

Attack Pilot
Major USMC

P.S. Sorry Goliath, I just reread your response and you are correct, Sea Duty does count regardless of where the boat is located. I was stuck in the "imminent danger" mental loop. Little older, it's a little late and I'm still PUMPED that the Texans opened the Big Can of Whoop Ass on the Cowboys.....Having difficulty concentrating on the forum.

Edited by - Frumby on 09/08/2002 23:05:43

 

[Frumby]

One more thing, let me clarify what exactly flight pay is supposed to be. Flight pay or ACIP (Aviation Career Incentive Pay) is an enhancement to attempt to equalize your pay with a civilian commercial pilot. It is an antiquated system from pre Viet-Nam days which was to tempt you to stay and not fly civilian. In the 60's a Marine 1stLt made a take home of $90/month without flight pay. Obviously, commercial aviation was very tempting. 40 years later, military pay has increased, significantly but Commercial Airline pay has not. In fact, with compared to other vocations and professions, Airline pilots have had a seemingly poor increase in pay. The military has become smart as well. When I signed my contract in 1986, my obligation was for wings plus 41/2 years. Jet jocks now sign for wings plus 8. Very smart because now you are in your 30's and probably have a family and your making about $85,000/year with less then 10 years to retire. It is difficult for a family man to leave a stable position and go to an unstable industry starting out between $25,000-$30,000/year. It would not suprise me, especially in light of these longer contracts, that ACIP may go by the way of a goverment subsidized Commissary and Exchange. Hope that sheds a little light. Frumby

Attack Pilot
Major USMC

 

[webmaster]

quote:It would not suprise me, especially in light of these longer contracts, that ACIP may go by the way of a goverment subsidized Commissary and Exchange.

Say it isn't so!!! I wonder what the retention numbers were this year for pilots finishing their commitments? You don't think 9/11 or the airline pilot furloughing had any effect on that do you, nah!

 

[Frumby]

No kidding John. Another thing I had to laugh at were the individuals who purposely torpedoed their career so that they would get passed over twice. For those of you who don't know, if you are passed over for promotion twice to Maj/LCDR you are eligible for severance pay. It generally equates to about $40,000. Now these guys are kicked out of the military and don't have a job waiting for them on the outside. If they join the reserves and eventually retire from the reserves, they have to pay back ALL of there severance pay. My advice to everyone, never let your pride and integrity be compromised by greed. If you close a door, you may not be able to open it up again!! From the soapbox, Frumby

Attack Pilot
Major USMC