8th Pay Commission Revised Salary Estimates for Grade Pay 2400, 4200, 4800, 7600, 8700 employees, HRA, CGHS, TA, NPS likely to revised at…
8th Pay Commission Revised Salary Estimates: In a major development, the Modi government has reportedly started consultations with key stakeholders, including the Ministry of Defence, Ministry of Home Affairs, Department of Personnel and Training, and state governments, as part of the process to constitute the 8th Central Pay Commission (CPC). The implementation of the 8th Pay Commission will revise pay structures for nearly 50 lakh central government employees and 62 lakh pensioners. It is important to note that the attention of the Central government is now on a key component of the salary calculation — the fitment factor.
In this article, we will discuss about the estimated revised basic pay, house rent allowance (HRA), transport allowance (TA), National Pension System (NPS), and Central Government Health Scheme (CGHS) payouts of Grade Pay 1800, 2000, 2800, 4600, or 5400 employees who has been keenly waiting for your basic salary revision at the 8th Pay Commission (8th CPC).
We will calculate HRA at 24 per cent of the employee's basic salary (for employees residing in X class cities), and TA meant for higher TPTA cities (which is in the range of Rs 1,350 to Rs 7,200 for employees at different levels). Since NPS is calculated at 10 per cent of the basic salary of the employee, we will keep it at the same level. CGHS will be calculated as per the current rates. At 1.92 fitment factor
Revised basic pay: Rs 54,528 HRA: Rs 13,086.72 TA: Rs 3,600 Gross salary: Rs 71,214.72 NPS: Rs 5,452.80 CGHS: Rs 250
Net salary: Rs 65,511.92 At 2.57 fitment factor
Revised basic pay: Rs 72,988 HRA: Rs 17,517.12 TA: Rs 3,600 Gross salary: Rs 94,105.12 NPS: Rs 7,298.80 CGHS: Rs 250
Net salary: Rs 86,556.32 At 1.92 fitment factor
Revised basic pay: Rs 73,152 HRA: Rs 17,556.48 TA: Rs 3,600 Gross salary: Rs 94,308.48 NPS: Rs 7,315.20 CGHS: Rs 250
Net salary: Rs 86,743.28 At 2.57 fitment factor
Revised basic pay: Rs 97,917 HRA: Rs 23,500.08 TA: Rs 3,600 Gross salary: Rs 1,25,017.08 NPS: Rs 9,791.70 CGHS: Rs 250
Net salary: Rs 1,14,975.38 At 1.92 fitment factor
Revised basic pay: Rs 1,12,512 HRA: Rs 27,002.88 TA: Rs 3,600 Gross salary: Rs 1,43,114.88 NPS: Rs 11,251.20 CGHS: Rs 650
Net salary:Rs 1,31,213.68 At 2.57 fitment factor
Revised basic pay: Rs 1,50,602 HRA: Rs 36,144.48 TA: Rs 3,600 Gross salary: Rs 1,90,346.48 NPS: Rs 15,060.20 CGHS: Rs 650
Net salary: Rs 1,74,636.28 At 1.92 fitment factor
Revised basic pay: Rs 1,53,984 HRA: Rs 36,956.16 TA: Rs 7,200 Gross salary: Rs 1,98,140.16 NPS: Rs 15,398.40 CGHS: Rs 650
Net salary: Rs 1,82,091.76 At 2.57 fitment factor
Revised basic pay: Rs 2,06,114 HRA: Rs 49,467.36 TA: Rs 7,200 Gross salary: Rs 2,62,781.36 NPS: Rs 20,611.40 CGHS: Rs 650
Net salary: Rs 2,41,519.96 At 1.92 fitment factor
Revised basic pay: Rs 1,85,472 HRA: Rs 44,513.28 TA: Rs 7,200 Gross salary: Rs 2,37,185.28 NPS: Rs 18,547.20 CGHS: Rs 650
Net salary: Rs 2,17,988.08 At 2.57 fitment factor
Revised basic pay: Rs 2,48,262 HRA: Rs 59,582.88 TA: Rs 7,200 Gross salary: Rs 3,15,044.88 NPS: Rs 24,826.20 CGHS: Rs 650
Net salary: Rs 2,89,568.68
(Disclaimer: These are projections. Actual revised amounts may vary.) What is the fitment factor?
The fitment factor is a numerical multiplier used to determine revised salaries. The fitness factor is applied to the current basic pay to calculate the new basic salary under the Pay Commission. A higher fitment factor leads to a corresponding increase in salary.
For example, under the 7th Pay Commission, the fitment factor was 2.57 — meaning the basic pay was increased by 2.57 times to arrive at the new structure. If the 8th Pay Commission recommends a higher figure, the salary hike could range between 30% and 34%, as per initial estimates cited in reports. When will the 8th Pay Commission be implemented?
It is important to note that there is no official notification yet, in a written reply to the Lok Sabha, Minister of State for Finance Pankaj Chaudhary said, 'Inputs have been sought from major stakeholders, including Ministry of Defence, Ministry of Home Affairs, Department of Personnel & Training and from states.' He added that the chairperson and members of the 8th CPC will be appointed once the commission is formally notified. Madhya Pradesh Government Prepares Budget For 8th Pay Commission:
According to the reports, the Mohan Yadav-led The Madhya Pradesh government is preparing the budget to implement salaries and pensions as per the 8th Pay Commission for around 7.5 lakh regular government employees and 4.5 lakh pensioners. The government is likely to provide an estimated 15 percent increase in salary and pension.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
&w=3840&q=100)
Business Standard
28 minutes ago
- Business Standard
No plan to restore OPS due to its 'unsustainable fiscal liability', says FM
There is no proposal under consideration for the restoration of the Old Pension Scheme (OPS) in respect of central government employees covered under the National Pension System (NPS), Finance Minister Nirmala Sitharaman informed the Lok Sabha on Monday. She said, the Centre had moved away from OPS 'due to its unsustainable fiscal liability on the government exchequer'. The minister added that to improve pensionary benefits for employees under NPS (introduced in 2004), a committee under the then Finance Secretary was set up to suggest modifications. 'Based on the deliberations of the Committee with stakeholders, Unified Pension Scheme [UPS] has been introduced as an option under NPS with the objective of providing defined benefits after retirement to the Central Government employees covered under the NPS,' she said. 'The features of UPS, including the definition of family, have been designed in such a way so as to ensure payment of assured payouts while also maintaining fiscal sustainability of the fund,' she emphasised. Employees opting for UPS under NPS would also be eligible to avail benefits under the CCS (Pension) Rules, 2021, or the CCS (Extraordinary Pension) Rules, 2023, in the event of death during service or discharge on grounds of invalidation or disablement, the finance minister said. Difference between OPS, NPS, and UPS The OPS offered a government-funded, defined benefit equal to 50 per cent of the last drawn basic salary, with no employee contribution and inflation-linked adjustments. In 2004, it was replaced by the NPS, a defined contribution plan where employees pay 10 per cent of salary and the government 14 per cent, with payouts depending on market returns. The UPS, implemented from April 2025, combines elements of both, providing a fixed pension benefit alongside a contributory component. It is fully funded and designed to be fiscally sustainable while avoiding future liabilities.
Deccan Herald
28 minutes ago
- Deccan Herald
'No McDonald's and no Coca-Cola': In India, Trump's tariffs spark calls to boycott American goods
New Delhi: From McDonald's and Coca-Cola to Amazon and Apple, US-based multinationals are facing calls for a boycott in India as business executives and Prime Minister Narendra Modi's supporters stoke anti-American sentiment to protest against US the world's most populous nation, is a key market for American brands that have rapidly expanded to target a growing base of affluent consumers, many of whom remain infatuated with international labels seen as symbols of moving up in life. .About 55% of goods exported to US will face Trump tariff: for example, is the biggest market by users for Meta's WhatsApp and Domino's has more restaurants than any other brand in the country. Beverages like Pepsi and Coca-Cola often dominate store shelves, and people still queue up when a new Apple store opens or a Starbucks cafe doles out discounts. Although there was no immediate indication of sales being hit, there's a growing chorus both on social media and offline to buy local and ditch American products after Donald Trump imposed a 50 per cent tariff on goods from India, rattling exporters and damaging ties between New Delhi and Coca-Cola, Amazon and Apple did not immediately respond to Reuters Chowdhary, co-founder of India's Wow Skin Science, took to LinkedIn with a video message urging support for farmers and startups to make "Made in India" a "global obsession," and to learn from South Korea whose food and beauty products are famous worldwide.."We have lined up for products from thousands of miles away. We have proudly spent on brands that we don't own, while our own makers fight for attention in their own country," he Shastry, CEO of India's DriveU, which provides a car driver on call service, wrote on LinkedIn: "India should have its own home-grown Twitter/Google/YouTube/WhatsApp/FB -- like China has." To be fair, Indian retail companies give foreign brands like Starbucks stiff competition in the domestic market, but going global has been a challenge. Indian IT services firms, however, have become deeply entrenched in the global economy, with the likes of TCS and Infosys providing software solutions to clients world Sunday, Modi made a "special appeal" for becoming self-reliant, telling a gathering in Bengaluru that Indian technology companies made products for the world but "now is the time for us to give more priority to India's needs.".He did not name any drag my McPuff into as anti-American protests simmer, Tesla launched its second showroom in India in New Delhi, with Monday's opening attended by Indian commerce ministry officials and US embassy Swadeshi Jagran Manch group, which is linked to Modi's Bharatiya Janata Party, took out small public rallies across India on Sunday, urging people to boycott American brands.."People are now looking at Indian products. It will take some time to fructify," Ashwani Mahajan, the group's co-convenor, told Reuters. "This is a call for nationalism, patriotism.".He also shared with Reuters a table his group is circulating on WhatsApp, listing Indian brands of bath soaps, toothpaste and cold drinks that people could choose over foreign social media, one of the group's campaigns is a graphic titled "Boycott foreign food chains", with logos of McDonald's and many other restaurant Uttar Pradesh, Rajat Gupta, 37, who was dining at a McDonald's in Lucknow on Monday, said he wasn't concerned about the tariff protests and simply enjoyed the 49-rupee ($0.55) coffee he considered good value for money.."Tariffs are a matter of diplomacy and my McPuff, coffee should not be dragged into it," he said.
News18
38 minutes ago
- News18
No Proposal Under Consideration To Restore Old Pension Scheme: FM Nirmala Sitharaman
Finance Minister explains that the government had moved away from old pension scheme (OPS) due to its "unsustainable fiscal liability on the government exchequer". Finance Minister Nirmala Sitharaman on Monday told Parliament that the government is not considering bringing back the Old Pension Scheme (OPS) for central government employees who are covered under the National Pension System (NPS). 'There is no proposal under consideration of the Government of India for restoration of Old Pension Scheme (OPS) in respect of central government employees covered under National Pension System (NPS)," Sitharaman said in a written reply in the Lok Sabha. The finance minister explained that the government had moved away from OPS due to its 'unsustainable fiscal liability on the government exchequer". What is NPS? NPS is a defined contribution-based pension scheme introduced for central government employees—except those in the armed forces—who joined service on or after January 1, 2004. To improve pensionary benefits for these employees, the government had set up a committee under the then Finance Secretary to recommend modifications to the NPS. Based on its discussions with stakeholders, the Unified Pension Scheme (UPS) was introduced as an option within the NPS framework 'with the objective of providing defined benefits after retirement to the central government employees covered under the NPS," Sitharaman said. She added that the features of UPS, including the definition of family, were designed to ensure 'payment of assured payouts while also maintaining fiscal sustainability of the fund." Unified Pension Scheme Features Employees opting for UPS under NPS will also be eligible for benefits under the CCS (Pension) Rules, 2021 or CCS (Extraordinary Pension) Rules, 2023, in cases of death during service, or discharge due to invalidation or disablement. The government formally notified UPS on January 24, 2025. Under the scheme, an assured payout on retirement is set at 50 per cent of the twelve-month average basic pay immediately prior to retirement, provided the employee has a minimum of 25 years of qualifying service. For those with fewer than 25 years of service, the payout will be proportionately reduced, she said. (With PTI Inputs) view comments First Published: Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
