Is locality pay based on where I work or where I live?
Where you work. Locality pay entitlement does not go with you if you transfer or are reassigned from one pay zone to another—you would receive the rate of pay applying in the new duty station, which could be higher or lower than your old station even if you have no change in pay grade.

However, if you are only detailed temporarily to a different pay area, you would continue receiving your current rate. The key is your official duty station of record.

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