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37 U.S.C. § 355 — Special pay: retention incentives for members qualified in critical military skills or assigned to high priority units

submitted 26 years ago by Pub. L. 106-398 to r/title-37-PAY-AND-ALLOWANCES-OF-THE-UNIFORMED-SERVICES · 915 words · no verdicts yet

in plain englishAI-generated · not legal advice

This law lets the military pay a retention bonus to service members with critical skills or in high-priority units. Members must agree to serve at least one more year, and bonuses are capped at $200,000 or less. Some members become ineligible after 25 years of service, with listed exceptions.

(a) Retention Bonus Authorized. A member of the armed forces on active duty in a regular component, or in active status in a reserve component, or a Space Force member in space force active status, may get a retention bonus under this section if they are qualified in a critical military skill (defined in subsection (b)) or accept assignment to a high priority unit (also defined in subsection (b)). To qualify: (1) an officer must sign a written agreement to stay on active duty, in reserve active status, or in space force active status, for at least one year; (2) an enlisted member (other than one in paragraph (3)) must reenlist or voluntarily extend their enlistment for at least one year; or (3) an enlisted member serving under an indefinite reenlistment must sign a written agreement to stay on active duty or in reserve active status for at least one year. (b) Eligibility Criteria. (1) A "critical military skill" is one the Secretary of Defense designates as critical — or, for the Coast Guard when it is not operating as part of the Navy, one the Secretary of Homeland Security designates. (2) The Secretary of Defense (or the Secretary of Homeland Security for the Coast Guard when it is not part of the Navy) can designate a unit as "high priority," meaning members who agree to join it can get a retention bonus. (c) Payment Methods. The bonus can be paid as one lump sum or in periodic installments. (d) Maximum Bonus Amount. (1) A member can sign more than one agreement, or reenlist or extend more than once, to get more bonus payments. But total payments under this section cannot exceed $200,000 — or $100,000 for a reserve component member, or a Space Force member not on sustained duty. (2) That cap does not apply to an officer assigned as a health care professional. (e) Certain Members Ineligible. (1) A member cannot get a bonus if they have completed more than 25 years of qualifying service (active duty, reserve active status, or Space Force active status, in any combination), or will complete their 25th year of such service before the bonus period ends. (2) That limit does not apply to an officer assigned as a health care professional during the bonus period. (3) That limit also does not apply to a member who, during the bonus period, is qualified in a skill designated critical for special operations forces, or is qualified for duty supervising, operating, or maintaining naval nuclear propulsion plants. (4) The Secretary of Defense (or the Secretary of Homeland Security for the Coast Guard when it is not part of the Navy) can waive this 25-year limit for a member assigned during the bonus period to a skill designated critical. Only the Under Secretary of Defense for Personnel and Readiness, or the Deputy Secretary of Homeland Security, can approve this waiver — that power cannot be handed down to anyone lower. (5) "Specified form of service" here means active duty service, reserve active-status service, or Space Force active-status service. (f) Relationship to Other Incentives. This bonus comes on top of any other pay and allowances the member already gets. (g) Repayment. If a member gets a bonus but then, during the agreed service period, fails to stay qualified in the critical skill or fails to meet the other eligibility rules that earned the bonus, they must repay it under the rules in section 373 of this title. (h) Termination of Bonus Authority. No bonus under this section can be paid for any reenlistment or voluntary extension entered into after December 31, 2026. No new agreement under this section can be made after that date either.
the actual law source: uscode.house.gov ↗public domain
(a)Retention Bonus Authorized.—

A member of the armed forces who is serving on active duty in a regular component or in an active status in a reserve component, or a member the Space Force who is serving in space force active status, and who is qualified in a critical military skill designated under subsection (b) or accepts an assignment to a high priority unit designated under such subsection may be paid a retention bonus as provided in this section if—

(1)

in the case of an officer, the member executes a written agreement to remain on active duty for at least one year, to remain in an active status in a reserve component for at least one year, or to remain in space force active status for at least one year;

(2)

in the case of an enlisted member, other than an enlisted member referred to in paragraph (3), the member reenlists or voluntarily extends the member’s enlistment for a period of at least one year; or

(3)

in the case of an enlisted member serving pursuant to an indefinite reenlistment, the member executes a written agreement to remain on active duty for a period of at least one year or to remain in an active status in a reserve component for a period of at least one year.

(b)Eligibility Criteria.—
(1)

A designated critical military skill referred to in subsection (a) is a military skill designated as critical by the Secretary of Defense, or by the Secretary of Homeland Security with respect to the Coast Guard when it is not operating as a service in the Navy.

(2)

The Secretary of Defense, and the Secretary of Homeland Security with respect to the Coast Guard when it is not operating as a service in the Navy, may designate a unit as a high priority unit regarding which a retention bonus will be provided to a member of the armed forces who agrees to accept an assignment to the unit under subsection (a).

(c)Payment Methods.—

A bonus under this section may be paid in a single lump sum or in periodic installments.

(d)Maximum Bonus Amount.—
(1)

A member may enter into an agreement under this section, or reenlist or voluntarily extend the member’s enlistment, more than once to receive a bonus under this section. However, a member may not receive a total of more than $200,000 (or $100,000 in the case of a reserve component member or a member of the Space Force not on sustained duty) in payments under this section.

(2)

The limitation in paragraph (1) on the total bonus payments that a member may receive under this section does not apply with respect to an officer who is assigned duties as a health care professional.

(e)Certain Members Ineligible.—
(1)

A retention bonus may not be provided under subsection (a) to a member of the armed forces who—

(A)

has completed more than 25 years of a specified form of service (or combination thereof); or

(B)

will complete the member’s twenty-fifth year of a specified form of service (or combination thereof) before the end of the period of service for which the bonus is being offered.

(2)

The limitations in paragraph (1) do not apply with respect to an officer who, during the period of service for which the bonus is being offered, is assigned duties as a health care professional.

(3)

The limitations in paragraph (1) do not apply with respect to a member who, during the period of service for which the bonus is being offered—

(A)

is qualified in a skill designated as critical under subsection (b)(1) related to special operations forces; or

(B)

is qualified for duty in connection with the supervision, operation, and maintenance of naval nuclear propulsion plants.

(4)

The Secretary of Defense, or the Secretary of Homeland Security with respect to the Coast Guard when it is not operating as a service in the Navy, may waive the limitations in paragraph (1) with respect to a member who, during the period of service for which the bonus is being offered, is assigned duties in a skill designated as critical under subsection (b)(1). The authority to grant a waiver under this paragraph may not be delegated below the Under Secretary of Defense for Personnel and Readiness or the Deputy Secretary of the Department of Homeland Security.

(5)

In this subsection, the term “specified form of service” means—

(A)

service on active duty;

(B)

service in an active status in a reserve component; or

(C)

service in the Space Force in space force active status.

(f)Relationship to Other Incentives.—

A retention bonus paid under this section is in addition to any other pay and allowances to which a member is entitled.

(g)Repayment.—

A member paid a bonus under this section who fails, during the period of service covered by the member’s agreement, reenlistment, or voluntary extension of enlistment under subsection (a), to remain qualified in the critical military skill or to satisfy the other eligibility criteria for which the bonus was paid shall be subject to the repayment provisions of section 373 of this title.

(h)Termination of Bonus Authority.—

No bonus may be paid under this section with respect to any reenlistment, or voluntary extension of an enlistment, in the armed forces entered into after December 31, 2026, and no agreement under this section may be entered into after that date.

Source credit: (Added Pub. L. 106–398, § 1 [[div. A], title VI, § 633(a)(1)], Oct. 30, 2000, 114 Stat. 1654, 1654A–157, § 323; amended Pub. L. 107–107, div. A, title VI, § 614(d), Dec. 28, 2001, 115 Stat. 1136; Pub. L. 107–296, title XVII, § 1704(c), Nov. 25, 2002, 116 Stat. 2314; Pub. L. 107–314, div. A, title VI, §§ 614(d), 618, Dec. 2, 2002, 116 Stat. 2568, 2570; Pub. L. 108–136, div. A, title VI, §§ 614(d), 622, title X, § 1045(b)(1), Nov. 24, 2003, 117 Stat. 1501, 1505, 1612; Pub. L. 108–375, div. A, title VI, §§ 614(e), 621, title X, § 1084(e)(2), Oct. 28, 2004, 118 Stat. 1948, 1954, 2064; Pub. L. 109–163, div. A, title VI, §§ 624(e), 640(a)–(f)(1), 687(b)(31), Jan. 6, 2006, 119 Stat. 3295, 3302, 3303, 3332; Pub. L. 109–364, div. A, title VI, § 614(e), Oct. 17, 2006, 120 Stat. 2248; renumbered § 355 and amended Pub. L. 110–181, div. A, title VI, §§ 614(d), 622, 661(c), Jan. 28, 2008, 122 Stat. 149, 152, 178; Pub. L. 110–417, [div. A], title VI, § 614(h), Oct. 14, 2008, 122 Stat. 4485; Pub. L. 111–84, div. A, title VI, § 614(9), Oct. 28, 2009, 123 Stat. 2354; Pub. L. 111–207, § 4(a)(4), July 27, 2010, 124 Stat. 2251; Pub. L. 111–383, div. A, title VI, § 614(9), Jan. 7, 2011, 124 Stat. 4237; Pub. L. 112–81, div. A, title VI, § 614(9), Dec. 31, 2011, 125 Stat. 1450; Pub. L. 112–239, div. A, title VI, § 614(9), Jan. 2, 2013, 126 Stat. 1777; Pub. L. 113–66, div. A, title VI, § 614(9), Dec. 26, 2013, 127 Stat. 781; Pub. L. 113–291, div. A, title VI, § 614(10), Dec. 19, 2014, 128 Stat. 3401; Pub. L. 114–92, div. A, title VI, § 614(10), Nov. 25, 2015, 129 Stat. 839; Pub. L. 114–328, div. A, title VI, § 614(10), Dec. 23, 2016, 130 Stat. 2159; Pub. L. 115–91, div. A, title VI, § 614(10), Dec. 12, 2017, 131 Stat. 1422; Pub. L. 115–232, div. A, title VI, § 611(d)(9), Aug. 13, 2018, 132 Stat. 1797; Pub. L. 116–92, div. A, title VI, § 611(d)(9), Dec. 20, 2019, 133 Stat. 1426; Pub. L. 116–283, div. A, title VI, § 611(d)(9), Jan. 1, 2021, 134 Stat. 3673; Pub. L. 117–81, div. A, title VI, § 611(d)(9), Dec. 27, 2021, 135 Stat. 1769; Pub. L. 117–263, div. A, title VI, § 601(d)(9), Dec. 23, 2022, 136 Stat. 2620; Pub. L. 118–31, div. A, title VI, § 613(d)(9), Dec. 22, 2023, 137 Stat. 292; Pub. L. 118–159, div. A, title VI, § 611(d)(9), Dec. 23, 2024, 138 Stat. 1932; Pub. L. 119–60, div. A, title VI, §§ 601(c)(5), 611(d)(9), Dec. 18, 2025, 139 Stat. 903, 906.)

history & why it existsrecord from the source credit
  • 2000Enacted · Pub. L. 106-398 · 114 Stat. 1654, 1654
  • 2001Amended · Pub. L. 107-107 · 115 Stat. 1136
  • 2002Amended · Pub. L. 107-296 · 116 Stat. 2314
  • 2002Amended · Pub. L. 107-314 · 116 Stat. 2568, 2570
  • 2003Amended · Pub. L. 108-136 · 117 Stat. 1501, 1505, 1612
  • 2004Amended · Pub. L. 108-375 · 118 Stat. 1948, 1954, 2064
  • 2006Amended · Pub. L. 109-163 · 119 Stat. 3295, 3302, 3303, 3332
  • 2006Amended · Pub. L. 109-364 · 120 Stat. 2248
  • 2008Amended · Pub. L. 110-181 · 122 Stat. 149, 152, 178
  • 2008Amended · Pub. L. 110-417 · 122 Stat. 4485
  • 2009Amended · Pub. L. 111-84 · 123 Stat. 2354
  • 2010Amended · Pub. L. 111-207 · 124 Stat. 2251
  • 2011Amended · Pub. L. 111-383 · 124 Stat. 4237
  • 2011Amended · Pub. L. 112-81 · 125 Stat. 1450
  • 2013Amended · Pub. L. 112-239 · 126 Stat. 1777
  • 2013Amended · Pub. L. 113-66 · 127 Stat. 781
  • 2014Amended · Pub. L. 113-291 · 128 Stat. 3401
  • 2015Amended · Pub. L. 114-92 · 129 Stat. 839
  • 2016Amended · Pub. L. 114-328 · 130 Stat. 2159
  • 2017Amended · Pub. L. 115-91 · 131 Stat. 1422
  • 2018Amended · Pub. L. 115-232 · 132 Stat. 1797
  • 2019Amended · Pub. L. 116-92 · 133 Stat. 1426
  • 2021Amended · Pub. L. 116-283 · 134 Stat. 3673
  • 2021Amended · Pub. L. 117-81 · 135 Stat. 1769
  • 2022Amended · Pub. L. 117-263 · 136 Stat. 2620
  • 2023Amended · Pub. L. 118-31 · 137 Stat. 292
  • 2024Amended · Pub. L. 118-159 · 138 Stat. 1932
  • 2025Amended · Pub. L. 119-60 · 139 Stat. 903, 906

A history note hasn’t been published yet. The record shows enactment by Pub. L. 106-398 on 2000-10-30.

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