Yes, but meals are completely paid for and housing, assuming you don't have dependents. It's not very much, I think it should be MORE but a large commitee makes the determination of compensation. Overseas you make much more because you get additional cost of living allowances and there is no FICA taken out if in a combat zone. Not bad tho, if your single and no kids since that is basically all spending money. If you add in food, etc and OH medical is completely free as well as dental then total compensation is definitely a good deal compared to McDonalds, if you don't want to go to college or have trouble finding work. All that is taken care of so you are not taxed on it. Taxible income is SMALL that is why almost all young 18-24 year olds with familys can qualify for food stamps. So if you have a family it's not as good until about 5 years in but better than many find at that early age with no college education. Oh and retirement is taken care of as well, so if your in for the long run it's good and having medical coverage for the family is a decent thing when young. Oh and they pay huge amounts to college tuition for part time school and if you chose to get out after a small enlisment there is the GI Bill for college.