Basic Pay Calculator
In this article, you will learn about what basic pay is and how the above tool calculates the basic pay for future years. This tool is also known as basic pay at retirement calculator, basic pay after pay commission calculator and basic pay at retirement estimator.
Basic Pay
It is the pay without allowances, perks and benefits. It is the base to which allowances and benefits are added and together all of them form an employee’s gross salary. The allowances may be DA, HRA etc. and the benefits may be travel expenses etc.
How basic pay is fixed
Basic pay is fixed as per the job role of an employee. Different categories of employees have different basic pays.
For example as of now, for new appointees, the basic pay is as;
| Level | Job | Current Basic Pay (₹) |
|---|---|---|
| Level 1 | Peons, Attendants, Support Staff | 18,000 |
| Level 2 | Lower Division Clerks | 19,900 |
| Level 3 | Constables, Skilled Staff | 21,700 |
| Level 4 | Grade D Stenographers, Junior Clerks | 25,500 |
| Level 5 | Senior Clerks, Technical Staff | 29,200 |
| Level 6 | Inspectors, Sub-Inspectors | 35,400 |
| Level 7 | Superintendents, Section Officers, Assistant Engineers | 44,900 |
| Level 8 | Senior Section Officers, Assistant Audit Officers | 47,600 |
| Level 9 | Deputy Superintendents of Police, Accounts Officers | 53,100 |
| Level 10 | Group A Officers, Civil Services | 56,100 |
It is pertinent to mention here, that basic pay changes through two ways;
- annually on first July each year by 3%.
- on account of pay revisions done almost after every ten years. Government of India appoints a pay commission after every ten years that is assigned the job of determining the way and amount of pay revision. It usually gives a fitment factor, that is multiplied to the basic pay, and in this way basic pay increases.
Why Should I Know My Future Basic Pay
Knowing your future basic pay is important because of the following reasons;
- the estimate basic pay at the time of your retirement is required for knowing your pension under Unified Pension Scheme (UPS).
- Knowing basic pay of future is required for calculating the UPS lumpsum amount.
- Knowing future basic pay can help you make a wiser decision as to whether you should continue with NPS or switch over to UPS.
How Our Future Basic Pay Calculator Works
Our future basic pay calculator works on the basis of the above two conditions.
An employee enters the current basic pay. The calculator then gives an increment @ 3% each year, and at the commencement of pay revision year, it multiplies the basic pay with the fitment factor given by the concerned pay commission. After multiplying the basic pay with the fitment factor, the annual increments @3% are once again started till the other pay revision and the process goes on and on.
Taking both the factors into consideration, it calculates your future basic pay.
Is Our Future Basic Pay Calculator Reliable
Since, it has taken all the variables into consideration, it is by far the best and the most reliable future basic pay calculator out there on the internet. However, we urge you to consult your financial advisor before taking any financial decision.