Let’s walk through this together and break down what your new gross and net salary might look like—especially if your current basic pay is ₹25,500. We’ll also factor in allowances like HRA, TA, and the big one: the fitment factor.
What’s a Fitment Factor?
The fitment factor is what determines the jump in your basic pay. In the 7th CPC, it was 2.57, which significantly boosted take-home salaries.
For the 8th Pay Commission, there’s no official number yet. But most reports and expert analyses are pointing toward a likely fitment factor of 1.92.
Let’s use that figure to estimate what your future paycheck could look like.
Revised Basic Pay: How Much More in 2026?
Here’s a quick look at what the basic pay might become under the 8th CPC across levels, using the estimated 1.92 fitment factor:
| Pay Level | Current Basic Pay (7th CPC) | Estimated Basic Pay (8th CPC) |
|---|---|---|
| Level 1 | ₹18,000 | ₹34,560 |
| Level 2 | ₹19,900 | ₹38,208 |
| Level 3 | ₹21,700 | ₹41,664 |
| Level 4 | ₹25,500 | ₹48,960 |
| Level 5 | ₹29,200 | ₹56,064 |
Let’s Break Down a Level-4 Salary (GP-2400)
Here’s a detailed salary estimate for a Level-4 employee in an X-category city (metro area):
| Component | Amount (Monthly) | Notes |
|---|---|---|
| Current Basic Pay | ₹25,500 | As per 7th CPC |
| Revised Basic Pay | ₹48,960 | ₹25,500 × 1.92 (fitment factor) |
| HRA (30%) | ₹14,688 | 30% of new basic for metro cities |
| Travel Allowance (TA) | ₹3,600 | Fixed for higher TPTA cities (Level 3–8) |
| Gross Salary | ₹67,248 | Sum of above |
| NPS Contribution | -₹4,896 | 10% of new basic pay |
| CGHS Contribution | -₹250 | Fixed for Level 1–5 |
| Net In-Hand Salary | ₹62,102 | After all standard deductions |
Note: No Dearness Allowance (DA) at this stage—the slate resets with every new Pay Commission.
HRA: How It Impacts Your Salary
HRA (House Rent Allowance) is usually:
- 30% for X-category (metros)
- 20% for Y-category
- 10% for Z-category cities
In this estimate, we’ve used 30%. Even if it resets to 24% as it did post-7th CPC, the increase will still be significant compared to what employees get now.
What About Travel Allowance (TA)?
For higher transport allowance (TPTA) cities, Level 3 to 8 employees currently receive ₹3,600/month when DA is at zero. This amount is expected to continue under the 8th CPC.
Why is DA Zero in the New Pay Commission?
That’s standard procedure. Every time a new Pay Commission is implemented, the existing DA gets absorbed into the basic salary. The DA then resets to zero and starts accruing again based on the updated CPI (Consumer Price Index).
When Will the 8th Pay Commission Be Implemented?
If you’re wondering when this change will actually happen—January 1, 2026 is the most likely date. Preparations and discussions are already underway.
Summary: Level-4 Salary at a Glance (Post-8th CPC Estimate)
| Item | Amount (Monthly) |
|---|---|
| Revised Basic Pay | ₹48,960 |
| HRA (30%) | ₹14,688 |
| TA | ₹3,600 |
| Gross Salary | ₹67,248 |
| NPS Deduction | -₹4,896 |
| CGHS Deduction | -₹250 |
| Net Salary | ₹62,102 |
FAQs About the 8th CPC Salary Increase
Q1. When will the 8th Pay Commission apply?
A: Most likely from January 1, 2026, though no official confirmation has been given yet.
Q2. What is the fitment factor?
A: It’s a multiplier used to revise the basic pay. For the 8th CPC, it’s expected to be 1.92.
Q3. What’s the current basic pay for Level-4 employees?
A: ₹25,500 as per the 7th Pay Commission.
Q4. Will DA be reset to zero?
A: Yes, once the new CPC comes into effect, the DA is merged into the revised pay and resets to zero.
Q5. How is HRA calculated?
A: It’s calculated as a percentage of your basic pay—30%, 20%, or 10%, depending on your city’s category.
Final Thought
Even though these numbers are still estimates, they give a realistic picture of what you can expect under the 8th Pay Commission. If the fitment factor ends up higher than 1.92, your net salary could jump even more.
So while we wait for the official announcement, this calculation shows a promising future—especially for Level-4 employees like you.
Tip: Always check the official EPFO portals for accurate, real-time updates.