During a PCS, you'll hear the term Dislocation Allowance (DLA) a lot. This is one of the most important financial benefits you'll receive. Think of it as a lump-sum payment from the military to help you with the miscellaneous costs of setting up a new household that aren't covered by other allowances.
What is DLA for? DLA is meant to help offset expenses like:
- Security deposits for rent and utilities.
- Connecting or disconnecting appliances.
- Purchasing new drapes, curtains, or other household items that don't fit your new home.
- Non-refundable application fees.
It is tax-free, which makes it even more valuable.
Who is eligible? Generally, you are entitled to DLA if you are moving your family in connection with a government-ordered PCS. It is typically not payable for a final move upon retirement or separation from the service.
How is the amount determined? DLA is a flat rate based on your rank and dependency status. It is not based on your actual expenses. The rates are updated annually to keep pace with inflation. You can find the current, official rates by visiting the Defense Travel Management Office (DTMO) website.
How do you receive it? You have two options:
- Advance Payment: You can request an advance on your DLA before you move. This can be extremely helpful for covering upfront costs like security deposits. You can request this through your finance office.
- Claim on Travel Voucher: If you don't take an advance, you will claim the DLA on your travel voucher (DD Form 1351-2) when you settle your PCS travel claim at your new duty station.
Pro-Tip: Even if you don't think you'll need it, consider taking the advance. It's better to have the cash on hand for unexpected expenses than to wait for reimbursement after the move.