Pay and Allowances Continuation (PAC) is for Soldiers during their hospitalization and rehabilitation resulting from wounds, injury, or illness incurred while on duty in a hostile fire area or exposed to an event of hostile fire or other hostile action anywhere in the world.

If a Regular Army Active duty Soldier incurs a wound, injury, or illness in the line of duty while serving in a combat operation or a combat zone, while serving in a hostile fire area, or while exposed to a hostile fire event, (regardless of location), and is hospitalized for treatment of the wound, injury, or illness, the  Secretary concerned may continue to pay to the member, notwithstanding any provision to the contrary, all pay and allowances (including any bonus, special and incentive pay, or similar benefit) that were being paid to the member at the time the member incurred the wound, injury, or illness.

PAC is intended to allow Soldiers to continue to receive all "special" pay and allowances (including any bonus, special and incentive pay, or similar benefit) that were being paid to the member at the time the member incurred the wound, injury, or illness.

PAC may continue until the end of the first month beginning after the earliest of the following dates:

• Is returned for assignment to other than a medical or patient unit for duty (The return to assignment is based on a determination that the member is fully fit to perform full military duties)

• Was hospitalized for one year for the treatment of a wound, injury, or illness: or

• Is discharged, separated, or retired (including temporary disability retirement) from the uniformed services.

Note: The Principal Deputy Under Secretary of Defense for Personnel and Readiness can under "extraordinary circumstances" extend PAC for six-month periods beyond the one-year limit under the authority of USC, title 37, Section 372.

Six Month Extension Request Form: https://www.hrc.army.mil/sites/default/wcmtfiles/files/17987_0.pdf

For more information on PAC, contact your Chain of Command, Soldier Recovery Unit Soldier and Family Readiness Specialist located in the SFAC. Or contact your Soldier Recovery Unit Finance Specialist. You may also contact Army HRC at the locations listed below:

• Email: askhrc.army@us.army.mil

• Phone Number: 1-888-276-9472

• DSN Phone Number: 943-9500

• Address:
  HRC ATTN: PDP-C, Dept 480
  1600 Spearhead Division Ave
  Fort Knox, Kentucky 40122-5408 USA
  

DoD FMR 7000.14-R, Volume 7A, Chapter 13: “Illness Or Injury Payment Programs”
https://comptroller.defense.gov/Portals/45/documents/fmr/current/07a/07a_13.pdf