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8th Pay Commission: where it stands, and what it could mean for your pay

The 8th Pay Commission was set up on 3 November 2025 and has 18 months to report. The fitment factor isn't decided yet, so any figure you see online is a guess.

Last reviewed 21 October 2026. Written by the FileITR.in team.

Where it stands

Terms of reference approved by the Cabinet28 October 2025
Commission set up (gazette notification)3 November 2025
Time to make recommendations18 months from then, with interim reports possible
ChairpersonJustice Ranjana Prakash Desai
MembersProf. Pulak Ghosh (part-time), Pankaj Jain (member-secretary)
Fitment factorNot decided

How your new basic is worked out

Your new basic is your current basic multiplied by the fitment factor, then fitted into the new pay matrix. The 7th Pay Commission used 2.57: the minimum basic went from ₹7,000 to ₹18,000, from 1 January 2016.

Why the raise is smaller than it looks

When a new pay commission applies, dearness allowance starts again from zero; the factor absorbs it. So compare the new basic with your basic plus today's DA.

Basic ₹18,000, DA 58%Per month
Basic + DA today₹28,440
New basic at a factor of 2₹36,000
Real increase₹7,560 (26.6%)

With DA at 58%, a factor of 1.58 would only match today's pay. Try your own numbers in the calculator.

Tax on arrears

If the new pay applies from an earlier date, you'll get arrears in one go. They're taxed as salary in the year you receive them, which can push you into a higher slab. You can claim relief by filing Form 10E (Form 39 from tax year 2026-27) on the e-filing portal before your return.

Watch out for rumours

Figures like "2.28" or "3.0" in news and videos are demands or estimates, not decisions. Rely on the commission's own site and PIB for announcements. We'll update this page when there's news.

Common questions

What is the latest update on the 8th Pay Commission?

It was set up on 3 November 2025 under Justice Ranjana Prakash Desai and has 18 months to make its recommendations. The fitment factor hasn't been decided.

What will the fitment factor be?

It isn't decided. The 7th Pay Commission used 2.57. Figures online are demands or estimates.

Why does DA matter in the 8th Pay Commission?

DA starts again from zero when the new pay applies, so the real raise is the new basic minus your basic plus today's DA.

Are pay commission arrears taxable?

Yes, as salary in the year you receive them. Relief is available through Form 10E (Form 39 from tax year 2026-27).

Two ways to sort this

Do it yourself

  1. Note your current basic pay and DA from your payslip.
  2. Try a few fitment factors in our calculator.
  3. When arrears arrive, check whether they push you into a higher slab.
  4. File Form 10E (or Form 39) before your return to claim relief.

Let an expert do it

We claim relief on your arrears and file your return, so the lump sum doesn't cost you a higher slab.

The first chat is free

Work it out for yourself

  • 8th Pay Commission: Your revised basic pay at any fitment factor, and the real raise after DA.
  • Salary hike: Your new salary and take-home after a raise.
  • Salary in hand: Turn your CTC into the amount that reaches your bank.
  • UPS vs NPS: Unified Pension Scheme or NPS, for central government staff.

See your new basic at any fitment factor, and the real raise after DA.

Open the 8th Pay Commission calculator

Sources

This guide explains the rules in general. For your own situation, .

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