The 8th Pay Commission has been approved in the cabinet and is expected to be implemented from January 1, 2026, including major modifications in salary structure, allowances, and pensions of central government employees in India. This initiative aims to address the impact of inflation, changing economic dynamics, and the growing needs of government officers.
The 7th Pay Commission was implemented in 2016 and will conclude on December 31, 2025. The other previous pay commissions including 4th, 5th and 6th Pay Commissions had 10-year terms. Usually the recommendation of salary hike is expected by 14% of the government officials.
8th Pay Commission
The Union Cabinet has approved the formation of the 8th Pay Commission on January 16, 2025. This 8th Central Pay Commission ensures the implementation from January 1, 2026. The commission’s mandate includes addressing compensation, pensions, and welfare measures, aiming to align with current economic situations and improve the quality of life for the government employees and retirees.
A key highlight of the 8th Pay Commission is the proposed Fitment Factor of 2.28, increasing the minimum wage by 34.1%. The Dearness Allowance (DA), projected to reach 70% by January 2026, will be merged into the base salary for revised calculations.
8th Pay Commission Overview
The 8th Pay Commission commission could potentially benefit around 48.62 lakh employees and 67.85 lakh pensioners. Expected salary revisions are estimated to range between ₹20,000 and ₹25,000. To check out other important details checkout the table below which includes the 8th Pay Commission Overview:
| 8th Pay Commission Overview | |
|
Implementation Authority |
Department of Personnel and Training |
|
Expected Fitment Factor |
2.28 |
|
Expected Dearness Allowance |
Expected to reach 70% by 2026 |
|
Implementation Date (Expected) |
January 1, 2026 |
|
Minimum Wage Increase |
From ₹18,000 to ₹41,000 |
|
Pension Minimum |
Higher pension amounts, timely disbursement |
|
Beneficiaries |
Central government employees and retirees |
|
Official Website |
https://dopt.gov.in/ |
8th Pay Commission Salary Structure
The 8th Pay Commission Salary Structure will include the following components:
- Basic Pay: The basic salary, determined by applying the fitment factor to the current basic pay.
- Allowances: Key components like Dearness Allowance (DA), House Rent Allowance (HRA), and Travel Allowance (TA) will be recalculated according to the updated basic pay.
- Gross Salary: The total earnings, calculated as the sum of the basic pay and allowances, reflecting the overall remuneration.
8th Pay Commission Pension Revisions
According to the 8th Pay Commission will also extend benefits to pensioners. The minimum pension, set at ₹9,000 under the 7th Pay Commission, is expected to increase significantly. Applying the proposed fitment factor of 2.28, the minimum pension could rise to approximately ₹20,500. This significant increase aims to provide improved financial security to retired government employees.
8th Pay Commission Implementation
The 8th Pay Commission, expected to be implemented from January 1, 2026 bringing the revised salary structures and allowances for central government employees and pensioners. Usually, Pay Commissions are constituted around 18 months before their implementation date to provide adequate time for reviews and recommendations.
8th Pay Commission Salary Calculator
To estimate the revised salary using the 8th Pay Commission Salary Calculator is a useful tool for calculation. Below is a simplified calculation guide using the expected fitment factor of 3.0:
Steps to Calculate Gross Salary
Step 1: Check your basic pay under the 7th Pay Commission’s pay scale.
Step 2: Calculate Revised Basic Pay by using the formula:
Revised Basic Pay = Current Basic Pay × Fitment Factor (3.0)
Step 3: Calculate Dearness Allowance (DA), DA is a percentage of the revised basic pay. Assuming DA is 50%, calculate as:
DA = Revised Basic Pay × 0.50
Step 4: Include House Rent Allowance (HRA), which is a percentage of the revised basic pay, varying by city category:
- Metro cities: 27%
- Tier-2 cities: 20%
- Tier-3 cities: 10%
Step 5: Use the applicable percentage, Add Travel Allowance (TA) which depends on the employee’s level and city classification.
HRA = Revised Basic Pay × City Percentage
Step 6: Calculate your gross salary by adding all components:
Gross Salary = Revised Basic Pay + DA + HRA + TA – Standard Deduction
8th Pay Commission Fitment Factor
A multiplier used to revise the pay scales of government employees with each Pay Commission is called the Fitment Factor. It plays an important role in determining the new basic pay by converting the pre-revised basic pay to its revised equivalent. The table below includes Fitment Factor and other relevant details from the 4th to the expected 8th Pay Commission in India:
| 8th Pay Commission Fitment Factor | |||
|
Pay Commission |
Hike in pay (%) |
Fitment Factor |
Minimum Basic Salary |
|
4th Pay Commission |
27.6% |
– |
Rs.750 |
|
5th Pay Commission |
31% |
– |
Rs.2,550 |
|
6th Pay Commission |
54% |
1.86 |
Rs.7000 |
|
7th Pay Commission |
14.29% |
2.57 |
Rs.18,000 |
|
8th Pay Commission |
20% (expected) |
3.00 (expected) |
Rs.21,600 (expected) |
8th Pay Commission Pay Matrix Table
Below the table we have shared the Pay Matrix Table according to the expected 8th Pay Commission:
| 8th Pay Commission Pay Matrix Table | ||
|
Pay Matrix Level |
Basic Salary of 7th CPC |
Basic Salary of 8th CPC |
|
Pay Matrix Level 1 |
Rs.18,000 |
Rs.21,600 |
|
Pay Matrix Level 2 |
Rs.19,900 |
Rs.23,880 |
|
Pay Matrix Level 3 |
Rs.21,700 |
Rs.26,040 |
|
Pay Matrix Level 4 |
Rs.25,500 |
Rs.30,600 |
|
Pay Matrix Level 5 |
Rs.29,200 |
Rs.35,040 |
|
Pay Matrix Level 6 |
Rs.35,400 |
Rs.42,480 |
|
Pay Matrix Level 7 |
Rs.44,900 |
Rs.53,880 |
|
Pay Matrix Level 8 |
Rs.47,600 |
Rs.57,120 |
|
Pay Matrix Level 9 |
Rs.53,100 |
Rs.63,720 |
|
Pay Matrix Level 10 |
Rs.56,100 |
Rs.67,320 |
|
Pay Matrix Level 11 |
Rs.67,700 |
Rs.81,240 |
|
Pay Matrix Level 12 |
Rs.78,800 |
Rs.94,560 |
|
Pay Matrix Level 13 |
Rs.1,23,100 |
Rs.1,47,720 |
|
Pay Matrix Level 13 A |
Rs.1,31,100 |
Rs.1,57,320 |
|
Pay Matrix Level 14 |
Rs.1,44,200 |
Rs.1,73,040 |
|
Pay Matrix Level 15 |
Rs.1,82,200 |
Rs.2,18,400 |
|
Pay Matrix Level 16 |
Rs.2,05,400 |
Rs.2,46,480 |
|
Pay Matrix Level 17 |
Rs.2.25 lakh |
Rs.2.70 lakh |
|
Pay Matrix Level 18 |
Rs.2.50 lakh |
Rs.3 lakh |
Last updated on July, 2025
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8th Pay Commission FAQs
Q1. Will there be an 8th Pay Commission?+
Q2. What is the expected salary hike in 8th Pay Commission?+
Q3. How much pension will increase in 8th Pay Commission?+
Q4. What is DA in 8th Pay Commission?+
Q5. What is the difference between 7th and 8th Pay Commission?+
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