Due to soaring gas prices, soldiers will receive more cash back on their PCS purchases.
When troops move to a new duty station starting in July, they will be compensated extra for out-of-pocket gasoline costs.
The Coast Guard earlier announced that the mileage rate for PCS travel would increase from 18 cents to 22 cents per mile during the busiest summer periods, while the TDY rate would increase from 59 cents to 63 cents per mile during the second half of this year.
According to the AAA, the national average for a gallon of ordinary gas reached more than $5 on Monday, the highest level in more than two decades, leading the IRS to increase its standard mileage expenditure rate. The General Services Administration uses these criteria to determine military and federal government rates.
Following the COVID-19 epidemic, when oil corporations held back production and depleted supplies, the rising spiral was triggered by a sharp spike in demand. Following its invasion of Ukraine in February, the EU imposed sanctions on Russia, a major global oil supplier.
According to the AAA, troops in California pay the most for standard gas, at an average of $6.43 per gallon. Nonetheless, other areas with large bases and large numbers of service members were also experiencing record averages: Nevada's was $5.65, Alaska's was $5.56, Washington's was $5.54, Hawaii's was $5.53, and Washington, D.C.'s was $5.26.
As PCS summer months approach and most military families move to new posts and jobs, such prices will affect those families filling up their vehicles. There is no sign of a slowdown in driving costs in the United States.
In a statement released Monday, AAA spokesperson Andrew Gross said, "high costs don't seem to have discouraged drivers." He added that if prices increase to $5 or higher, people may alter their driving habits or lifestyles, but that hasn't happened yet.