Military rate

Discussion in 'Army Pay, Claims & JPA' started by IanCulverhouse, Dec 12, 2008.

Welcome to the Army Rumour Service, ARRSE

The UK's largest and busiest UNofficial military website.

The heart of the site is the forum area, including:

  1. Anyone know when they changed the pay rate from £1.5 to the Euro to £1.17?
  2. If you mean the FFR..? iT Changed about a month ago, apprentley LOA has been adjusted to suit.
  3. Yes,
    The FFR changed last month from €1.50 to €1.31

    It will change again on this months pay to €1.17 with a fair LOA increase.

    I believe the LOA will then reduce again from 01 Jan 09 to a lower level than 01 - 31 Dec 08 (agreed Oct 08)
  4. Almost all correct!

    FFR went down from Euro 1.50 to Euro 1.31 ages ago, via Euro 1.40 for one month I think. It fell to Euro 1.17 at the start of this month. Each time the FFR fell, LOA was increased, in theory meaning that most will get almost the same amount of Euros in the Sparky at the end of each month uo to and including December. The people who will have noticed the drops most are those who send a fixed sum to Germany and leave "the rest" in UK.

    In a completely separate exercise, LOA was going down from 01 Jan 09 anyway because apparently it's cheaper to live in Germany than in UK. I have a copy of the rates if anyone has a specific question.

    By way of an example - Cpl M + 2: LOA for Dec is GBP26.29 per day and drops to GBP21.55 per day from 01 Jan 09.

    Happy New Year, Scrooge!
  5. So how much is the average soldier out of pocket a month now, as compared to before the rate dropped?
  6. Here's one for you then.

    If you're paid at the FFR then that income is taxable. Is LOA also classed as a taxable income.? If not then you must be better off with a low FFR and a higher LOA... :?:
  7. No
  8. How does the current British army salary compare to the rest of Europe.
  9. Then that might answer my question, that if the FFR goes down and LOA goes up, that you might be better off than you were with a higher FFR as less of your income is getting taxed.

    But I'm sure that they've thought of that when setting the LOA :(
  10. How do you work out that less of your income is being taxed??

    The taxable amount you receive in pounds has not changed, it is only the amount that you receive at the FFR that has changed.

    If you send no money to Germany and don't spend any money in Germany then you are miles better off.

    I recall getting told a long time ago that it is all cost neutral when the FFR / LOA rates change (broadly speaking), it all depends on how much money that you send / spend in Germany whether you are better off.

    However I still cannot believe that it is still going down in January every other advert on the TV is for a sale in the UK and does that mean the cost of living is still on a par with Germany :?
  11. Does the reduction in rates only affect Germany, or the rest of the LOA world also?
  12. The only information I have is about Germany but in other theatres the RAO staff will know if an LOA Review has been carried out and when its results take effect.

    Generally, whenver the FFR changes in any currency, LOA is adjusted too. Somewhere there is a magic equation whereby the number of Euros/Dollars or whatever local currency you are paid in remains constant for those who have the majority of their salary paid overseas and leave a fixed sum in UK to pay ongoing commitments there, eg mortgages, insurance, loan payments..... This is what is happening to us in December - FFR falls, LOA rises to make me no worse off at the end of Dec than I was at the end of Nov.

    Where this falls down is for those people who "reverse" the situation and leave most of their salaryin UK and send a fixed amount of pounds overseas - whenever the FFR falls they will see less money arriving in the overseas bank and may need to adjust their split on JPA.
  13. I am owed quite a lot of money as I have been paid on the wrong LOA rate for a few months. Does anyone know since it should have been paid to me on the higher FFR (1.3) will I receive it at that rate or will it be paid at the new 1.17 rate?