How OCONUS COLA works in Alaska
The index is the whole story. DTMO compares the price of a market basket of goods and services in each Alaska locality with the CONUS average and publishes the result as an index: 100 means the same cost, 148 means 48% more. The allowance is that percentage of your spendable income (DoD FMR Vol. 7A, Ch. 68, Table 68-8).
Spendable income depends on grade, years and dependents. DTMO's 2026 Annual Compensation table gives a figure for every grade and length of service, with and without dependents; the Spendable Income table (effective 2026-02-01) turns that into the amount COLA applies to, rising with each command-sponsored dependent up to five.
Daily rate, then the month. The annual COLA is divided by 360 and carried to five decimals; the month pays that daily rate times the days in the month, and each pay period pays it for its 15 or 16 days (Table 68-9). DTMO re-issues the index on the 1st and 16th, so Alaska COLA can change twice a month with the exchange rate.
Barracks pay the reduced rate. A member without dependents in Government quarters with a dining facility receives 0.63 of the index on the no-dependent spendable income (par. 3.4.1); meals the facility cannot provide add a fractional COLA (Table 68-6).
Housing in Alaska is covered separately by the Overseas Housing Allowance, and the first weeks by the TLA calculator. For your own grade, years, dependents and any past pay period, run the OCONUS COLA calculator.
OCONUS COLA in other countries