8th Pay Commission Salary Calculations: Can highest revised basic pay be more than Rs 5,50,000 in new pay commission? See projections for different slabs
8th Pay Commission Salary Calculations: If the fitment factor for the 8th Pay Commission is 2.04 or 2.08, will the maximum revised basic salary for central government employees be Rs 5 lakh, Rs 5.50 or Rs 6 lakh? See how the basic pay of employees in different slabs can change in the new pay commission.
8th Pay Commission Salary Calculations: It has been more than 4 months since the 8th Pay Commission was announced. Central government employees and pensioners are eagerly waiting for the commission to be formed. There is a likelihood that it may be formed in a month or two. The next proceedings will be preparations of recommendations. Once the commission presents these recommendations to central government, the cabinet may approve them as they are or can give the go-ahead after recommending a few changes. The recommendations will be implemented after that. The entire process can take more than a year. For salary revision, the fitment factor will be the main criterion. Based on which basic salaries and basic pensions will be revised. But what if the fitment factor is 2.04 or 2.08? Will the maximum basic salary be Rs 5 lakh, Rs 5.50 lakh or Rs 6 lakh? See projections to know!
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(Disclaimer: These are projections. Actual calculations may vary.)
What is 8th Pay Commission?
Central government employees and pensioners get their current monthly payments as per the rates decided in the 7th Pay Commission, which was implemented on January 1, 2016. The tenure of the 7th Pay Commission will end on December 31, 2025. The 8th Pay Commission will be the successor of the 7th Pay Commission.
Will 8th Pay Commission be implemented on January 1, 2026?
Considering the current progress where the Commission is yet to be formed, the 8th Pay Commission recommendation may take 1-1.5 years. However, once the pay commission recommendations are implemented, employees and pensioners will get their arrears dating back to January 1, 2026.
How will salaries/pensions be increased for 8th Pay Commission?
The revision will be based on the fitment factor. It was the parameter for salary revision for the 6th and the 7th Pay Commission as well.
Why is fitment factor applied for salary revision?
The fitment factor is the multiplier for salary and pension revision. The basic salary an employee gets in the existing pay commission is multiplied by the fitment factor to establish the basic salary for the new pay commission.
What have been fitment factors for 6th and 7th Pay Commissions?
For the 6th Pay Commission, the fitment factor was 1.92. On the other hand, for the 7th, it was 2.57.
Employees' basic pays for the 6th Pay Commission were multiplied by 2.57 to determine the basic salary for the 7th Commission.
What are current minimum, maximum salaries for central government employees?
The minimum basic salary is Rs 18,000, while the maximum is 2,50,000. There are 19 pay bands across ranks.
What can be fitment factor for 8th Pay Commission?
It can depend on the dearness allowance (DA) calculations as on January 1, 2026, and the recommended salary by the pay commission. Based on that, it may vary.
What can be fitment factor for 8th Pay Commission?
E.g., The current DA stands at 55 per cent with 2 hikes due till that date. If it becomes 60 per cent and the recommended salary percentage is 25 per cent, the estimated fitment factor can be 2.00. However, it increases to 61 per cent and the recommended salary percentage is 20 per cent, the estimated fitment factor will be 1.93.
Calculations for story
We will calculate estimated revised salaries for current basic pay of Rs 18,000, Rs 35,400, Rs 56,100, Rs 1,18,500, Rs 1,82,200, and Rs 2,50,000 and see if the maximum basic pay may reach Rs 6 lakh at 2.04 and 2.08 fitment factors.
Projected revised salary of Rs 18,000 basic pay at 2.04, 2.08 fitment factors
At 2.04 fitment factor- Rs 36,720
At 2.08 fitment factor- Rs 37,440
Projected revised salary of Rs 35,400 basic pay at 2.04, 2.08 fitment factors
At 2.04 fitment factor- Rs 72,216
At 2.08 fitment factor- Rs 73,632
Projected revised salary of Rs 56,100 basic pay at 2.04, 2.08 fitment factors
At 2.04 fitment factor- Rs 1,14,444
At 2.08 fitment factor- Rs 1,16,688
Projected revised salary of Rs 1,18,500 basic pay at 2.04, 2.08 fitment factors
At 2.04 fitment factor- Rs 2,41,740
At 2.08 fitment factor- Rs 2,46,480
Projected revised salary of Rs 1,82,200 basic pay at 2.04, 2.08 fitment factors
At 2.04 fitment factor- Rs 3,71,688
At 2.08 fitment factor- Rs 3,78,976
Projected revised salary of Rs 2,50,000 basic pay at 2.04, 2.08 fitment factors
At 2.04 fitment factor- Rs 5,10,000
At 2.08 fitment factor- Rs 5,20,000