When you Serve in the military you will enjoy a variety of benefits and pay. What an allotment is basically the ability to have money taken out of your paycheck and have it directed to someone else. Allotments can be a real convenience to the Servicemember. Allotments that are designed to pay an organization rather than an individual have to be set up using direct deposit or through some sort of electronic transfer. An allotment cannot be set up to pay more than one sum or amount to a person or organization.
A Servicemember can set up an allotment to pay for insurance for themselves or for their dependants. It can be set up to pay for their Servicemember insurance or private insurance.
You are able to receive a variety of pay and benefits. In addition to basic pay, you have basic allowance for quarters, and basic allowance for Subsistence. Allotments come in two forms- Discretionary and non discretionary. Allotments can be started or stopped at any time by the Servicemember. There are a number of different types of allotments, and each type can be set up by the Servicemember to take a specific sum from their monthly paycheck. You can set up an allotment to pay for your rent, or your mortgage. You can set up this type of allotment can pay for your home, or for a dwelling for your dependents or relatives. If you receive your BAS and BAQ allowances, you can have these amounts directed directly to your housing or to accounts using the allotment system. You can send allotments to your dependents or to relatives. This can be to a dependent, relative, even to a divorced spouse. If you have a non-discretionary allotment then the Servicemember does not have a lot to say about the issue, whereas a voluntary allotment is at the discretion of the Servicemember. You may have an involuntary allotment set up, also called a non-discretionary allotment, because of a divorce or other court related action. Other allotments are voluntary, and set up by the Servicemember.
This is to ensure that the money is put where you need it to go. You can set up allotments to pay individuals either through direct deposit, or with a regular paper physical check. This can be for a variety of reasons for you or for the Servicemembers dependents. You can send money to credit companies, savings and loans, or other financial type institutions or businesses.