Department of Defense Financial Management Regulation (DoD FMR) Volume 8, titled “Civilian Pay Policy,” establishes the comprehensive framework and procedures for administering civilian employee compensation, leave, and payroll operations within the Department. It mandates the use of the Defense Civilian Pay System (DCPS) and outlines rigorous internal controls for establishing pay records, processing electronic funds transfers, and certifying time and attendance (T&A) across various regular and alternative work schedules. The volume details the computation of basic and premium pay, statutory pay caps, and the administration of foreign and non-foreign allowances, while prescribing the strict order of precedence for mandatory deductions like taxes, retirement contributions, an ...