8th pay commission: The Central Government has approved the 8th Pay Commission earlier this year. In this, the salary and pension of more than 1 crore central employees and pensioners will be increased according to inflation and other factor. These changes are likely to be implemented from 1 January 2026.
The ‘Fitment Factor’ is the most discussed with the seal of the 8th Pay Commission. This is the same figure, according to which the new salary is fixed. This factor in the 7th Pay Commission was 2.57. Now the 8th Pay Commission is expected to increase it to 2.86.
If this happens, the minimum basic salary can increase from ₹ 18,000 to ₹ 51,480, and the minimum pension can increase from ₹ 9,000 to ₹ 25,740. However, their final decision will be taken by members of the recently constituted new Pay Commission.
What will be the change in the 8th Pay Commission?
The 8th Pay Commission can bring many major changes in the salary structure of government employees. Apart from the basic salary, there is also expected of changes in allowances such as House Rent Allowance (HRA) and Travel Allowance (TA). It will depend on which city the employee’s posting is and what kind of work is. Meaning that they have to work in the office, or run in connection with work.
For this reason, two employees of the same salary grade can also get different total salary, as their allowances will be different.
Effect on NPS and CGHS contribution
National Pension System (NPS): Currently, central government employees contribute 10 percent of their basic salary and dearness allowance (DA), while the government contributes 14 percent. After the salary increases in the 8th Pay Commission, both these contributions will also increase.
Central Government Health Scheme (CGHS): The membership fee of CGHS is based on salary slab. As soon as the basic salary increases, the CGHS fee will also be revised according to the new salary structure.
How much salary will increase in which grade?
Depending on the proposed fitment factor 2.86, the increase in salary according to the grade may also vary. Let’s understand what revised salary structure can look:
Grade 2000 (Level 3):
The basic salary in this grade can increase to ₹ 57,456. Taking allowances such as HRA and Travel Allowance (TA), the total monthly salary (gross salary) can be around ₹ 74,845. The estimated in-hand salary after standard deduction is likely to be around ₹ 68,849.
Grade 4200 (Level 6):
The revised basic salary in this grade can be up to ₹ 93,708. Total gross salary, including allowances, can be around ₹ 1,19,798. The estimated net monthly salary after deduction can be around ₹ 1,09,977.
Grade 5400 (Level 9):
Basic salary in this salary grade can increase to ₹ 1,40,220. The total salary can go up to ₹ 1,81,073 by adding allowances. In-hand salary is likely to be around ₹ 1,66,401 after the cuttings.
Grade 6600 (Level 11):
The revised basic salary in this grade can be ₹ 1,84,452. Monthly total income can be ₹ 2,35,920, including all allowances. In-hand salary after standard deduction can be around ₹ 2,16,825.
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