Payment Of Union Troops

[kevikens]

I have a question that has been very difficult for me to research. During the first year of the War, how were Union soldiers payed, that is what kind of money were they issued before the issuing of the legal tender notes of 1862, the Greenbacks? The US did not issue a paper currency at the start of the War and actually payed its bills in gold and silver coin when the War started. Were the troops being payed in specie before the issuing of the first US paper currency? Northern state banknotes? If the latter, how would the US Government acquire such notes? If you have any documentation of your answer could you please include it. Thanks