8th Pay Commission 2025: Fitment Factor, Pay Matrix, Salary Structure & Hike

By Saloni Dhumne

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Updated on: Sep 11th, 2025

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4 min read

The 8th Pay Commission is expected to be implemented by January 2026, with the aim to revise the salaries of over 50 lakh central government employees and 60 lakh pensioners. The central government, actively collaborating with the state governments on this initiative will share detailed updates soon. 

Key Highlights

  • The 8th Pay Commission is expected to bring significant salary hikes, revised salary slabs, and updated pay matrix for central government employees and pensioners. 
  • Projected salary hike for central government employees is expected between 30-34%.
  • Fitment factor will range between 1.83 and 2.46, directly impacting salary increases.
  • Allowances like DA, HRA, and TA will be recalculated based on the updated basic pay.

What is 8th Pay Commission?

The 8th Pay Commission, announced by the government, will assess the current salary structure of central government employees. Before the 8th Pay Commission, the 7th Pay Commission introduced a structured pay matrix that replaced the previous grade pay system with levels. Over the years, the pay structure of central government employees has evolved significantly.

8th Pay Commission Implementation Date

The 8th Pay Commission is expected to come into effect on 1 January 2026, after the usual gap of 10 years between the Pay Commissions. 

Its implementation is likely to help about 50 lakh central government employees, including defence personnel, and 65 lakh pensioners.

8th Pay Commission Salary Structure

  • Basic Pay: The revised basic salary will be determined by applying the fitment factor to the current basic pay.
  • Allowances: Key allowances, including Dearness Allowance (DA), House Rent Allowance (HRA), and Travel Allowance (TA), will be recalculated based on the updated basic pay.
  • Gross Salary: The total earnings, consisting of the sum of basic pay and allowances, will reflect the overall remuneration of an employee under the new structure.

8th Pay Commission Salary Hike

The 8th Pay Commission is expected to bring a significant salary hike for central government employees, with an estimated increase in the range of 30-34%, subject to a projected fitment factor of 1.83 and 2.46. 

However, the Dearness Allowance (DA) component, currently standing at 55% of basic pay, will be reset to zero once the 8th Pay Commission is implemented. This reset means that while the fitment factor may increase basic salaries substantially, the effective hike will be slightly lower due to the removal of the DA.

Example:

  • For instance, an employee with a basic salary of Rs 18,000 could see their salary rise to Rs 32,940 at the lower end of the fitment factor (1.83) and Rs 44,280 at the upper end (2.46).
  • For employees earning a higher base salary, such as Rs 50,000, the revised salary could increase to Rs 91,500 at the lower end and Rs 1.23 lakh at the upper end.

8th Pay Commission Fitment Factor

Expected to range between 1.83 and 2.46, the 8th pay commission fitment factor will directly impact the basic salaries across all pay matrix levels. 

A higher fitment factor would lead to significant salary hikes, ensuring better compensation for government employees and pensioners. This revision aims to align salaries with current economic conditions, offering a more substantial increase compared to previous pay commissions.

8th Pay Commission Salary Hike Comparison

The following table shows the projected salaries across different pay matrices based on the projected fitment factor range of 1.83 to 2.46.

Pay Matrix Level

7th CPC Basic Salary

8th CPC Basic Salary (Low End - 1.83)

8th CPC Basic Salary (High End - 2.46)
Pay Matrix Level 1Rs. 18,000Rs. 32,940Rs. 44,280
Pay Matrix Level 2Rs. 19,900Rs. 36,417Rs. 48,974
Pay Matrix Level 3Rs. 21,700Rs. 39,711Rs. 53,466
Pay Matrix Level 4Rs. 25,500Rs. 46,665Rs. 62,850
Pay Matrix Level 5Rs. 29,200Rs. 53,416Rs. 71,923
Pay Matrix Level 6Rs. 35,400Rs. 64,872Rs. 87,084
Pay Matrix Level 7Rs. 44,900Rs. 82,207Rs. 110,554
Pay Matrix Level 8Rs. 47,600Rs. 87,168Rs. 117,177
Pay Matrix Level 9Rs. 53,100Rs. 97,059Rs. 130,386
Pay Matrix Level 10Rs. 56,100Rs. 102,423Rs. 137,826
Pay Matrix Level 11Rs. 67,700Rs. 123,381Rs. 166,452
Pay Matrix Level 12Rs. 78,800Rs. 144,144Rs. 193,728
Pay Matrix Level 13Rs. 1,23,100Rs. 225,473Rs. 302,226
Pay Matrix Level 13ARs. 1,31,100Rs. 240,513Rs. 322,311
Pay Matrix Level 14Rs. 1,44,200Rs. 263,886Rs. 354,172
Pay Matrix Level 15Rs. 1,82,200Rs. 333,426Rs. 448,713
Pay Matrix Level 16Rs. 2,05,400Rs. 375,882Rs. 505,584
Pay Matrix Level 17Rs. 2,25,000Rs. 411,750Rs. 553,500
Pay Matrix Level 18Rs. 2,50,000Rs. 457,500Rs. 615,000

8th Pay Commission ToR Delay

Below table represents the dates of announcement for previous pay commissions, including the delay between each. 

Pay Commission

Date of Announcement

Date of Notification (Including ToR)

Delay (From Announcement to Formation)

4th Pay Commission

26 July 1983

1 September 1983

1 month

5th Pay Commission

1 September 1993

9 April 1994

7 months 9 days

6th Pay Commission

20 July 2006

5 October 2006

2.5 months

7th Pay Commission

25 September 2013

28 February 2014

5 months

8th Pay Commission

16 January 2025

Not yet notified

203 days and countin

8th Pay Commission Salary Calculator

The 8th Pay Commission calculator estimates the projected salary and pension hike for central government officials based on basic salary, fitment factor, dearness allowance (DA), and HRA classification. It provides a quick way to assess the potential salary adjustments under the upcoming pay revisions.

The 8th Pay Commission will likely introduce significant modifications to the remuneration framework, allowances, and pension-related benefits of the central government workforce. Although the eventual suggestions have yet to be issued, the potential salary increases and policy modifications might have a substantial impact on multiple government officials and pensioners.

Frequently Asked Questions

When will the 8th pay commission be implemented?

The 8th pay commission is expected to be implemented from 1 January 2026.

Is the 8th pay commission applicable to state government employees?

The upcoming pay commission 8th is applicable to both government employees at both central and state levels.

How much pension will increase after 8th Pay Commission?

With a projected fitment factor of 2.86, pensions could rise accordingly, providing retirees with a substantial increase.

Is the 8th Pay Commission applicable to state government employees?

No, the 8th Pay Commission is only applicable to central government employees.

Is the 8th Pay Commission applicable to bank employees?

The 8th Pay Commission does not apply to bank employees, as their pay is revised under the Indian Banks' Association (IBA) agreements.

How much will the salary increase in the 8th Pay Commission?

The salary increase is dependent on the rise in fitment factor, which is speculated to be around 1.83 to 2.46.

Is the 8th Pay Commission applicable to pensioners?

Yes, the 8th Pay Commission will affect pensioners, as their pensions will be revised based on the new salary structures.

Will DA be zero in 8th Pay Commission?

No, Dearness Allowance (DA) will continue, but it will be calculated on the revised basic pay under the 8th Pay Commission.

Why delay in 8th Pay Commission?

The delay is due to the detailed review of pay structures, budget approvals, and alignment with inflation and government finances.

How much is the pension increase in 8th Pay Commission calculator?

Pension increase depends on the revised pay and fitment factor; using the calculator, it can vary widely across pay levels.

Is the fitment applicable for pensioners?

Yes, fitment benefits are extended to pensioners to revise their pension based on the new pay structure.

About the Author
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Saloni Dhumne

Content Writer - Personal Finance
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A former journalist by profession, I live by the power of the written word. Specializing in personal finance, I simplify wealth planning for individuals looking to grow their money effectively. Beyond my work, I eagerly seize any opportunity to travel, exploring offbeat destinations and embracing new experiences.. Read more

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