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Home > Business > 8th Pay Commission Update: Will Your Salary Really Double? Here’s How To Calculate DA And How Central Government Employees’ Salaries, Allowances Could Rise In 2026

8th Pay Commission Update: Will Your Salary Really Double? Here’s How To Calculate DA And How Central Government Employees’ Salaries, Allowances Could Rise In 2026

The 8th Pay Commission is approved, promising central government employees a salary boost with a fitment factor of 1.83–2.46, DA reset, and revised allowances, effective after official notifications and arrears payout.

Published By: Aishwarya Samant
Published: February 7, 2026 12:58:55 IST

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8th Pay Commission Approval and Salary Expectations

Good news is here, but you should wait before making any shopping plans. The 8th Pay Commission has received official approval, yet your salary will not double as a result. The fitment factor serves as the magic number because it determines your salary increase. Analysts project a factor ranging between 1.83 and 2.46, which will result in your basic salary increasing from ₹18,000 to a range between ₹33,000 and ₹44,000. You can only consider it a doubling when the factor reaches 2.15.

Your paycheck will increase significantly, as central government employees will receive this revised payment. The Finance Ministry must issue final notifications to determine your exact salary increase. Your wallet will see a boost, but you need to maintain patience. Once the fitment factor is established, all arrears and updated salaries will begin to be paid out.

How To Calculate Your Revised Salary 8th Pay Commission 

The 8th Pay Commission uses a multiplier-based formula to determine the new income:

Revised Basic Pay: Multiply your current (7th CPC) basic pay by the fitment factor.

  • Formula: New Basic = Current Basic × Fitment Factor
  • Example: If your current basic is ₹18,000 and the fitment factor is 2.15, your new basic becomes ₹38,700.

Dearness Allowance (DA): Upon implementation, accumulated DA is usually merged into basic pay and reset to 0%. New DA hikes will be calculated twice a year on this revised base.

Allowances (HRA & TA): Recalculated as percentages of the new basic pay:

  • HRA: Based on city category (X: 30%, Y: 20%, Z: 10%)
  • TA: Fixed based on pay level and city

Gross Salary: New Basic + New HRA + New TA

Latest DA Update: 8th Pay Commission Brings a Small but Sweet Boost

Good news for central government employees! The latest inflation data, which became available in February 2026, has resulted in a 2% Dearness Allowance (DA) increase, applicable for the January–June 2026 period. Under the 7th Pay Commission system, this 2% increase brings the total DA to 60%. The established minimum fitment factor for the 8th Pay Commission depends on this aspect. The current DA increase will lead to higher salary adjustments, helping you earn more in your next paycheck.

8th Pay Commission: How Your Salary Could Rise

  • Projected Increase: 8th Pay Commission may raise central government salaries by 30–34%.

  • Fitment Factor: Likely between 1.83 and 2.46, applied to current basic pay.

  • DA Reset: Dearness Allowance (DA) will reset to 0% upon implementation.

  • Calculation Formula: Revised Basic Pay = Current Basic × Fitment Factor

  • Example: ₹20,000 × 2.57 = ₹51,400

  • Total Pay: Revised Basic Pay + New DA + HRA + Other Allowances

8th Pay Commission: Key Takeaways for Central Government Employees

The 8th Pay Commission brings important points for central government employees to consider. The fitment factor, which determines how much your basic pay will increase, is anticipated to be higher than 1.60, meaning most employees can expect a significant boost in their salaries.

The commission started its work in November 2025 but will take until late 2027 or early 2028 to fully implement its operations, which will cause employees to experience delays in receiving their updated salaries. The Finance Ministry confirmed that no plans exist to combine the existing Dearness Allowance with basic pay at this moment. The current DA will remain separate until official notifications are issued. The 8th Pay Commission will deliver major salary changes to employees, but they will receive their increases only after the organization defines both the timing and the process.

(With Inputs)

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