July 20, 2025

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8th Pay Commission Explained: Net Salary, Fitment Factor & Allowances for GP 2000 (Level 3)

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8th Pay Commission Explained: Net Salary, Fitment Factor & Allowances for GP 2000 (Level 3)

Good news for the employees as the 8th Pay Commission is now in its final phase. The question hovering in every employee’s mind is – how much salary hike will they get after the implementation of the 8th Pay Commission? Employees working at Level-3 want to know their salary hike. Based on an estimated ‘8th CPC Salary Calculator’, we will show you the expected calculation of your increased salary at Level-3.

What Will Be The Fitment Factor?

The fitment factor plays a crucial role in deciding the basic salary of central employees. In the 7th Pay Commission, the fitment factor was 2.57. And because of which the minimum salary increased from Rs 7,000 to Rs 18,000. In the 8th Pay Commission, there are different estimates, such as – 1.92, 2.08 and 2.86. This will decide the new salary of the employees. According to several reports, the possibility of keeping the fitment factor around 1.90 or 1.92 has been expressed. However, the fitment factor is not yet officially decided.

Expected Salary in 8th Pay Commission?

Pay Level 7th Pay Commission (Basic Pay) 8th Pay Commission (at 1.92 Fitment Factor)
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

Here’s A Complete Calculation Of Level-3 Employee Salary

Here is the complete breakdown of the possible new salary of a level-3 employee:

Current basic pay (as per 7th CPC): Rs 21,700.

We have used the estimated Fitment Factor: 1.92.

Here is the Salary Calculator (Estimated)

Description Amount (per month) Basis of Calculation
Existing Basic Pay ₹21,700 As per 7th Pay Commission
Revised Basic Pay (New) ₹41,664 ₹21,700 × 1.92 (Fitment Factor)
Dearness Allowance (DA) ₹0 DA becomes zero in the new pay commission
House Rent Allowance (HRA) ₹12,499 30% of new basic pay (for X-category cities)
Travel Allowance (TA) ₹3,600 For Higher TPTA City (Level 3–8)
Total Gross Salary ₹57,763 New Basic Pay + HRA + TA
Deductions
NPS Contribution – ₹4,166 10% of new basic pay
CGHS Contribution – ₹250 Scheduled for Levels 1–5
Net Salary (In Hand) ₹53,347 Gross Salary – Total Deductions

Estimated Salary Of Level 3 Employees from January 2026 (Per Month)

Component Amount (₹)
Your Pay Level 3
Basic Pay (7th CPC) 21,700
Revised Basic Pay 41,664 (with 1.92 fitment)
Dearness Allowance (DA) 0
House Rent Allowance (HRA) 12,499
Travelling Allowance (TA) 3,600
Other Allowances/Incomes 0
Gross Salary 57,763
Deductions
NPS Contribution – 4,166
CGHS Contribution – 250
Income Tax (FY 2025–26, New Regime) (approx)
Other Deductions 0
Net Salary (In Hand) 53,347

The Conclusion

The above-mentioned calculation shows that the 8th Pay Commission can be a very good new for the level-3 employees. Even using an estimated fitment factor – 1.92, the net salary is getting a very good hike. Imagine if the fitment factor is more than 1.92, then the increase in the salary will be more spectacular.

It is worth mentioning that this is just an estimated figure and the real salary hike will be known only after the official recommendations of the 8th Pay Commission. Still both expectations and mathematics are hinting towards a big salary hike for the employees.

(Disclaimer: The provided calculation is an estimate, dependent on potential fitting factors. Precise figures will only be available following the official release of the 8th Pay Commission’s recommendations.)

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