An oft misunderstood aspect of shopping at your local commissary is the 5 percent surcharge added to your total when you check out. Many question this fee and think it adds to their cost making the commissary not as good a deal. Nothing could be further from the truth.
Defense Commissary Agency (DeCA) calculations include applicable taxes in commercial grocery store prices and surcharge in commissary prices. Average savings over off base grocery store vary on your location but in 2019 range from 20% or more in stateside commissaries to 35.1% in Alaska and Hawaii and 42.2% overseas. The average savings from all commissaries is 25.6%. So even with the surcharge you can save quite a bit shopping at the commissary.
According to a recent article in the Military Times by Karen Jowers, the commissary surcharge could be going away per a Pentagon proposal. It is a complicated because the commissary surcharge is mandated by law and is used to for construction and maintenance of facilities. A few surcharge facts from DeCA:
- The 5 percent surcharge added to every commissary customer’s receipt – goes directly back into the benefit, paying for the modernization and replacement of stores. It’s the funding source for maintenance and repairs, store equipment and store-level information technology systems, such as checkouts.
- It is not a tax. Surcharge dollars go back into stores, paying for the construction and modernization. In fiscal 2018, the surcharge budget is nearly $271 million.
- The surcharge has been set at 5 percent since 1983, and cannot be changed without congressional approval.
- The surcharge’s history traces back to 1879 and features various applications and rates through the years leading up to 1983. Through the years, thanks to the surcharge, patrons have a direct role in sustaining and enhancing their commissary benefit.
According to Jowers, the Pentagon proposal to do away with the surcharge is part of draft legislation to change the law. It appears the purpose is to allow the money currently raised by the surcharge to be used for the commissaries operating fund and to do away with the surcharge fund. This would take money for basically reserved for a building fund and move it into day to day operations of the commissary saving money on the Pentagon budget for commissaries.
She interviewed Kelly Hruska, Director of Government Relations for the National Military Family Association who voiced concerns. “I have a lot of questions. I still don’t understand how the variable pricing will be adjusted to make up for loss of surcharge.” I’d like to understand where the proposal came from, and the purpose of the proposal. I don’t know how this would help the customer. You’ll be raising shelf prices that won’t benefit customers. Since customers compare prices — if the commissary price is higher, they’ll shop elsewhere.”
My concern is what happens if money is moved out of the surcharge fund. What will pay for the maintenance and improvement of our commissaries? Also, if there is no surcharge will prices go up at the commissary?
Currently there is no information on this new proposal on the DeCA website. When information on changes to our benefits leak it is a good thing because it allows us to advocate for our benefits with Congress. The legislature has ruled against Pentagon requests in the past so if a benefit is important to you make sure to write your Congressional representatives to let them know.
It would seem that with computers in use, they could add the 5% to the shelf price and then pull out the 5% from total sales for the building fund..
I think the problem customers have is having to mentally add the 5% to every item while comparing prices with civilian stores. Overall average savings do not account for most BOGO deals on the outside.
Most commissary prices are already higher than outside stores, without considering the surcharge. I was always told the surcharge was for breakage. The commissary is supposed to save the military families money, which is no longer true. I shop at NAS Fallon NV, prices are higher than outside on most items. Along with the added surcharge, we have to pay for baggers. I appreciated when self service checkout opened. But that is worthless if the customer has more than 20 items. Stupid!! I found two different sizes of a product, both at the same price. I questioned it and was told that is how it is. Great response! I am a veteran and also a military widow, driving 35 miles to NAS.
If this changes the prices it definitely is not a good move. What precipitated this?
Lifelong politician who need the money to be allocated towards their many, many, many, many perks (Republicans, of course)
I am a retired Army sergeant me and my wife enjoy shopping at the commissary I don’t like the surge charge but we pay it. I would much rather pay the surge charge then pay the taxes I have to pay outside the Base.
Due to the coronavirus surcharge should be waived until its over.
I shop at the commissary at the March AFB in Southern California. I have noticed significant price increases over the last couple of years. Here are some examples: 12 packs of soda are priced around $6.00 at the commissary. while they are priced around $2.50 to $3.00 at major grocery stores if you buy 4 or 5 12-packs at a time. Best Foods Mayonnaise at the commissary is $3.99 for a 30 oz. jar. The normal price at local grocery stores is $2.99 and often is on sale for $2.49. The price of Craft cheese has increased to over $3.00 per pound. Paper products, which at one point was a bargain at the commissary, are not competitively priced anymore. There are many other products that are less expensive at the local grocery store. Admittedly, there are still some great bargains at the commissary such as produce, but , if prices rise when and if the surcharge is removed, it may not be dollar-wise for me to drive 23 miles to the commissary anymore.
leave the 5% SURCHARGE prices are still lower than the civilian stores.I
I agree I see the price advantage across the board.
I find that a lot of the prices in the commissary are higher than Walmart prices.
as soon as the baggers start paying taxes on their incomes would think about an increase
I think they should leave the surcharge alone. It has worked all this time and does not need to be changed now at all.
It has worked all this time and does not need to be changed now at all.
If it’s not broke, why fix it?
Two things I’ve noticed:
1) Commissary prices are not as competitive as they used to be on name brand items.
2) There has definitely been a reduction of the number of brands on the shelves.
I dont know why this has happened, but it seems like my choices are Freedom (commissary) brand and 1 name brand.
Leave the surcharge alone. I save a lot on meats and it’s a better quality of meat
I just wish theCommissary would stock eggs again. Ralphs grocery and Vons grocery manage to have shelves full of eggs in San Diego but the Commissary can’t seem to get eggs. The Commissary says it’s because Congress won’t let them shop where Ralphs and Vons buy eggs. GET SOME EGGS!
To be honest, at our location. I am very grateful they are here but most of us shop other places even if we live on base because the quality of the food they receive is so low. Not to mention the prices seem incredibly close to the prices out in town. It is the second location that I have experienced this with Conus. So not all of them are this way, but I have questioned multiple times as to why the prices are so high and then to have a surcharge and not really seeing what if anything they are doing with that money. They are short staffed and not a lot is on the shelves. Often times basic things you would find at any other grocery store is simply not there. It can be very frustrating because my first choice would be to shop at the commissary. Especially because of how hard they work for us over seas.
I never have a problem paying the surcharge as long as it it utilized properly . I shop at Andrews AFB and I have to say shopping there is always an adventure. Many many products are out dated in the grocery section, dairy. You have to watch each item purchased to be sure its fresh and not old. The produce is almost the bottom of the barrel it seems. not sure who is the buyer or controls what comes in but it is tremendously lacking in what should be there, Fresh affordable foods . I find better bargains and better produce in civilian grocers. Not what it used to be and I do miss it . Maybe take a look at them and do spot checking to improve whats on the inside instead of buildings. IMO
I do not mind paying the surcharge at all. Bigger problems doe me are At our commissary in the past couple years I have noticed a significant price increase on many products. As well as many products I have bought for years, are no longer available. And the number of choices have narrowed. Some products have 2 choices only. Many products also only have freedom choice or the most expensive brand. Nothing else.. so disappointing. Also milk for $4 when its $1.70 almost every where else..
I just wish they would stock eggs again. Ralphs grocery and Vons grocery manage to have shelves full of eggs in San Diego but the Commissary can’t seem to get eggs. The Commissary says it’s because Congress won’t let them shop where Ralphs and Vons buy eggs. GET SOME EGGS!
prices higher than out side on lots of items sales tax just as high. military instillation’s should be 20% to 25% less than the outside. food gas tobacco seafood beef etc. it’s markup