8th Pay Commission 2026: Fitment Factor, Pay Matrix, Salary Structure & Hike

By Rucha K

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Updated on: Feb 10th, 2026

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5 min read

The 8th Pay Commission is expected to revise the salary structure, pay matrix, and pension framework for central government employees and pensioners. The government has launched a public consultation on the MyGov portal, inviting suggestions for the 8th Pay Commission. The government has clarified that pension revision, including eligibility of retirees up to 31 December 2025, will be decided only after the 8th Pay Commission is formally constituted.

Key Highlights

  • The Finance Ministry has clarified that the 8th Pay Commission has not yet been constituted, and all proposals remain under consideration.
  • Pension revision, including eligibility of retirees up to 31 December 2025, will be decided only after the Pay Commission is formally set up.
  • Salary hike projections currently range between 30–34%, based on expert estimates and past Pay Commission trends.
  • The fitment factor is expected to range between 1.83 and 2.46, which will determine revisions in basic pay and allowances.

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

Although 1 January 2026 is widely cited as the reference date, the 8th Pay Commission has not yet been formally constituted. If it is implemented retrospectively from 1 January 2026, arrears would apply for the intervening months until the revised pay structure is officially notified. 

The government has officially opened a public consultation process for the 8th Pay Commission by launching a dedicated feedback module on the MyGov portal

8th Pay Commission Consultation 

The public consultation process for the 8th Pay Commission includes a dedicated feedback module on the MyGov portal. This marks the first formal step towards stakeholder engagement, even though the 8th Pay Commission has not yet been constituted.

Eligible stakeholders can now submit their suggestions and views on pay structure, fitment factor, allowances, pension revision, and service conditions. The consultation initiative allows employees and pensioners to raise key salary-related concerns and expectations directly with the government. 

Who can Submit Suggestions for the 8th Pay Commission?

As per the government notification, the following stakeholders are eligible to submit feedback through the MyGov portal:

  • Serving central government employees (civil and defence)
  • Central government pensioners and family pensioners
  • Defence personnel and ex-servicemen
  • Recognised employee unions and associations
  • Other concerned stakeholders and citizens

There is no restriction on pay level or department, and inputs can be submitted individually without routing them through departments or unions.

How to Submit Feedback on 8th Pay Commission?

Stakeholders can submit their suggestions online by following these steps:

  • Visit the MyGov portal and navigate to the 8th Pay Commission consultation section.
  • Log in using a registered mobile number or email ID.
  • Enter suggestions related to salary revision, allowances, fitment factor, pension structure, or service conditions.
  • Submit the response online.

Note:

  • No supporting documents are required
  • Multiple suggestions can be submitted separately
  • Inputs are advisory in nature and do not guarantee inclusion

8th Pay Commission and Pension Revision

The central government has clarified that pensioners who retired on or before 31 December 2025 will be eligible for pension revision only if and when the 8th Pay Commission is implemented.

However, the government has also confirmed that:

  • No decision has been taken yet on constituting the 8th Pay Commission.
  • Pension revision eligibility, cut-off dates, and methodology will be decided only after the Pay Commission is formally set up.
  • Existing pension rules under the 7th Pay Commission will continue until further notification.

This clarification addresses concerns raised by pensioners regarding exclusion based on retirement date. As of now, no pension revision framework exists for the 8th Pay Commission.

Finance Ministry Clarification on DA Merger and Pay Panel

Recent government statements have clarified that there is no proposal to merge Dearness Allowance (DA) with basic pay, and no decision has been taken to set up the 8th Pay Commission. 

The Finance Ministry has confirmed that DA will continue to be revised twice a year as per the existing system, and no committee or Terms of Reference (ToR) for the 8th Pay Commission has been formed yet. These clarifications indicate that all projections about salary revisions, DA merger, or pay matrix changes remain speculative until an official notification is issued.

8th Pay Commission Salary Structure

The 8th Pay Commission salary structure is expected to consist of three main components:

  • 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, which is revised twice a year under the existing system, 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.

The government has clearly stated that there is no proposal to merge DA with basic pay, and DA will continue to be revised twice a year until a new Pay Commission is implemented.

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

Note: The Finance Ministry has clarified that no decision has been taken on setting up the 8th Pay Commission Committee yet and that DA will not be merged with basic pay. Therefore, the projected salary hikes based on DA merger are speculative and not officially confirmed.

8th Pay Commission Arrears

If the 8th Pay Commission is implemented after its proposed effective date of 1 January 2026, central government employees and pensioners are likely to receive arrears for the intervening period. Arrears arise when salary revisions are applied retrospectively but paid at a later date.

Based on expert analysis and previous Pay Commission patterns, delays of 12 to 18 months could result in arrears running into several months of revised salary, potentially amounting to Rs. 1 lakh or more, depending on pay level, fitment factor, and allowances.

  • Arrears are not guaranteed and depend entirely on the final implementation date.
  • Higher pay matrix levels and longer delays result in larger arrear payouts.
  • Pensioners may also receive arrears on revised pension amounts.
  • All arrear estimates circulating in the media are expert projections, not official figures.
  • Employees should rely only on government notifications for confirmed arrear eligibility and calculations.

8th Pay Commission ToR Delay

The table below 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

Not announced

Not yet notified

Not applicable

Note: Despite the long gap since Cabinet announcement speculation, no Terms of Reference (ToR) have been issued. The Finance Ministry has confirmed that no proposal for 8th CPC has been initiated yet.

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 Bottomline

The 8th Pay Commission process has moved to an initial consultation stage, with the government inviting suggestions from employees and pensioners on the MyGov portal. However, the Finance Ministry has clarified that the Pay Commission has not yet been constituted. Any changes to salary, arrears, or pension will depend on future cabinet decisions and official notifications.

Frequently Asked Questions

When will the 8th pay commission be implemented?

The government has not officially announced the implementation date of the 8th Pay Commission. It is expected to follow the usual cycle of periodic pay revisions, but no confirmed timeline has been notified yet.

 
 
 
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?

There is no confirmed figure yet. Pension increase under the 8th Pay Commission will be known only after it is formally constituted and its recommendations on fitment factor and pension revision are approved by the government.

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?

The 8th Pay Commission will apply to pensioners only if and when it is formally constituted and implemented, and the government has clarified that pension revision eligibility and methodology will be decided at that stage.

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?

The fitment factor applies directly to salary revision. For pensioners, it is used only if the Pay Commission recommends a revised pension formula, which will be decided after the 8th Pay Commission is formally constituted and its recommendations are approved.

About the Author
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Rucha K

Content Writer - Personal Finance

I write about personal finance with a focus on banking, insurance, digital payments, and everyday money matters. With experience in international wealth services, I enjoy breaking down complex topics into clear, practical insights that simplify everyday financial decisions. At ClearTax, I untangle complex financial concepts so you don’t have to—no jargon, just the information you need.. Read more

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