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Division 3: Cost of posting allowance – member posted on or after 1 July 2017

15.2A.13 Purpose

The cost of posting allowance helps to compensate a member for financial and non-financial disadvantage due to the overseas posting. These include the following.

  1. Loss of family, friends and support networks in Australia.

  2. High cost of maintaining links to Australia.

  3. Missing out on significant family events and milestones.

  4. Loss of spouse or partner income and superannuation.

  5. Delay in spouse or partner career advancement.

15.2A.14 Period of eligibility

The member is eligible for the cost of posting allowance for the duration of the posting period overseas.

15.2A.15 Rate of allowance

  1. Terms used in this section and their definitions are provided in the following table.

  2. Definitions
    Term Definition
    Salary The relevant salary under Schedule B.3 Part 1 of DFRT Determination 2 of 2017, Salaries.
    Actual salary The relevant salary to the member under DFRT Determination 2 of 2017, Salaries.
  3. Subject to subsection 3, the amount the allowance is as follows.

    1. For an accompanied member it is 28% of their actual salary.

    2. For an unaccompanied member it is 18% of their actual salary.

  4. The cost of posting allowance has the following minimum and maximum thresholds.

    1. The minimum amount of allowance is 28% (accompanied member) or 18% (unaccompanied member) of the salary for a Major on pay grade 1 and increment O4-0.

    2. The maximum amount of allowance is 28% (accompanied member) or 18% (unaccompanied member) of the salary for a Colonel on pay grade 10 and increment O6-1.

  5. The dual Commonwealth benefit rule applies to this allowance.

  6. See: Division 1 section 15.2A.9, The dual Commonwealth benefit rule

  7. The following examples show how to work out the cost of posting allowance.

  8. Example 1: A Corporal's actual salary is AUD 70,000 and the member is an accompanied member.

    The cost of posting allowance is 28% of the salary for a Major on pay grade 1 and increment O4-0, which in this example is $85,000.

    The amount of cost of posting allowance is AUD 23,800 a year.

    Example 2: A Major's actual salary is AUD 123,778 and the member is an unaccompanied member.

    The cost of posting allowance is 18% of the member's actual salary.

    The amount of cost of posting allowance is AUD 22,280 a year.

    Example 3: A Brigadier's actual salary is AUD 200,000 and the member is an accompanied member.

    The cost of posting allowance is 28% of the salary for a Colonel on pay grade 10 and increment O6-1, which in this example is $190,000.

    The amount of cost of posting allowance is AUD 53,200 a year.

15.2A.16 Supplementary cost of posting allowance for Manhattan, New York, USA

  1. A member may apply to the CDF for an annual supplementary cost of posting allowance of AUD 1,200. Both these conditions must be met.

    1. The member must have been directed by the CDF to live in Manhattan on a long-term posting.

    2. The CDF decides that there is an obligation on the member to pay a Christmas bonus to a person for apartment and garaging services.

  2. The dual Commonwealth benefit rule applies to this allowance.

  3. See: Division 1 section 15.2A.9, The dual Commonwealth benefit rule

Persons who can make the decision under subsection 15.2A.16.1 on behalf of the CDF:
Senior ADF Representative at the overseas post
A person who is authorised to manage Defence personnel administration at the overseas post and is not below MAJ(E)/APS 6.
A person working in the Pay and Administration Centre – Victoria who is authorised to manage Defence pay and administration at overseas posts and is not below WO2(E)/APS 5.
Director of Attaché and Overseas Management

Application to Reservists: Yes, on continuous full-time service.




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Defence Service Centre

1800 DEFENCE (1800 333 362)

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