Allotments are a definite portion of a member's pay and allowances, and are authorized to be made payable to a qualified person or institution. Some allotments can have an indefinite time frame, while others can have a specified time frame. Discretionary and Non-Discretionary are two types of allotments.
Discretionary: These allotments are made to a specified individual or institution. Members are authorized no more than six discretionary allotments. Types of authorized discretionary allotments include:
-payments of premiums for insurance
-support to dependents or other relatives, spouse or former spouse
-payment of mortgage or rent for real property
-deposits into the Savings Deposit Program
Non-Discretionary: These allotments are made to a specifically designated agency or purpose. There is no limit to the number of non-discretionary allotments a member can have at any given time. Non-discretionary allotments are limited to:
-U.S. savings bonds
-Relief Repayments (NMCRS, Red Cross)
-privatized housing payments
To learn more about allotments, pays & allowances and how to read an LES (and more!), sign up for a virtual COMPASS session today! We will help you understand the importance of financial management, with information on sources of assistance for fiscal responsibility.