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Title 38, Veterans' BenefitsRelease 119-110

§7410 Additional Pay Authorities

Title 38 › PART V — BOARDS, ADMINISTRATIONS, AND SERVICES › CHAPTER 74 — VETERANS HEALTH ADMINISTRATION—PERSONNEL › SUBCHAPTER I — APPOINTMENTS › § 7410

Last updated Sep 23, 2026|Official source

Summary

The Secretary may allow the Under Secretary for Health to pay advance payments, recruitment or relocation bonuses, retention allowances, and interview expenses to people hired under 38 U.S.C. sections 7306, 7401(4), or described in 7401(1). Those payments must follow the rules in 5 U.S.C. sections 5524a, 5706b, 5753, and 5754. These payments are not counted when applying the limit in 38 U.S.C. 7431(e)(4). To recruit and keep top pharmacist executives, the Secretary may allow the Under Secretary for Health to pay up to $40,000 a year in special incentive pay to a Veterans Health Administration pharmacist executive. The Under Secretary must consider grade and step, job scope and complexity, the person’s qualifications, the labor market, and other relevant factors. This pay is extra to other pay and allowances. It counts as basic pay for retirement and other benefits under chapters 83 and 84 of title 5, but not for adverse actions under subchapter V of this chapter. Total yearly pay, including bonuses and awards, cannot exceed the President’s annual pay.

Full Legal Text

Title 38, §7410

Veterans' Benefits, Source: USLM XML via OLRC

(a)In General.—
(1)The Secretary may authorize the Under Secretary for Health to pay advance payments, recruitment or relocation bonuses, and retention allowances to personnel appointed under section 7306 of this title or section 7401(4) of this title, or personnel described in section 7401(1) of this title,, or interview expenses to candidates for appointment as such personnel, in a manner consistent with the authority provided under section 5524a, 5706b, 5753, and 5754 of title 5.
(2)Payments under paragraph (1) shall not be considered in calculating the limitation under section 7431(e)(4) of this title.
(b)Special Incentive Pay for Department Pharmacist Executives.—
(1)In order to recruit and retain highly qualified Department pharmacist executives, the Secretary may authorize the Under Secretary for Health to pay special incentive pay of not more than $40,000 per year to an individual of the Veterans Health Administration who is a pharmacist executive.
(2)In determining whether and how much special pay to provide to such individual, the Under Secretary shall consider the following:
(A)The grade and step of the position of the individual.
(B)The scope and complexity of the position of the individual.
(C)The personal qualifications of the individual.
(D)The characteristics of the labor market concerned.
(E)Such other factors as the Secretary considers appropriate.
(3)Special incentive pay under paragraph (1) for an individual is in addition to all other pay (including basic pay) and allowances to which the individual is entitled.
(4)Except as provided in paragraph (5), special incentive pay under paragraph (1) for an individual shall be considered basic pay for all purposes, including retirement benefits under chapters 83 and 84 of title 5, and other benefits.
(5)Special incentive pay under paragraph (1) for an individual shall not be considered basic pay for purposes of adverse actions under subchapter V of this chapter.
(6)Special incentive pay under paragraph (1) may not be awarded to an individual in an amount that would result in an aggregate amount of pay (including bonuses and awards) received by such individual in a year under this title that is greater than the annual pay of the President.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

2022—Subsec. (a). Pub. L. 117–168 designated existing provisions as par. (1), substituted “personnel appointed under section 7306 of this title or section 7401(4) of this title, or personnel described in section 7401(1) of this title,” for “the personnel described in paragraph (1) of section 7401 of this title” and “in a manner consistent with” for “in the same manner, and subject to the same limitations, as in the case of”, and added par. (2). 2010—Pub. L. 111–163 designated existing provisions as subsec. (a), inserted heading, and added subsec. (b). 1992—Pub. L. 102–405 substituted “Under Secretary for Health” for “Chief Medical Director”.

Statutory Notes and Related Subsidiaries

Treatment of Pay Authority Changes Pub. L. 117–168, title IX, § 906(c)(4), Aug. 10, 2022, 136 Stat. 1813, provided that: “For the purposes of the

Amendments

made by paragraph (3) [amending this section], the Secretary of Veterans Affairs shall treat any award or payment made by the Secretary between January 1, 2017, and the date of the enactment of this Act [Aug. 10, 2022] to employees appointed under section 7306, 7401(1), and 7401(4) of title 38, United States Code, that the Secretary has determined are of equivalent rank to a Senior Executive Service position (as such term is defined in section 3132(a) of title 5, United States Code), as if such

Amendments

had been in effect at the time of such award or payment.”

Reference

Citations & Metadata

Citation

38 U.S.C. § 7410

Title 38, Veterans' Benefits

Last Updated

Sep 23, 2026

Release point: 119-110