Finance Division Has Notified Revised Pay Scale 2026 | Basic Pay Scale Chart 2026
Government of the Islamic Republic of Pakistan issued a very important notification in connection with the Revised Pay Scale 2026 yesterday (21 July 2026). All the government employees were waiting for this notification very anxiously because the federal government had announced multiple benefits for them in the budget 2026. The new salary structure will take effect from 1 July 2026 for all Federal Government civil servants paid from civil and defence estimates. The revised pay scales replace the Basic Pay Scales 2022 after merging previous ad hoc relief allowances into the new salary structure.
This notification introduces updated Basic Pay Scales 2026, revised salary fixation rules, annual increment policy, Ad hoc Relief Allowance 2026, and revised provisions regarding special pay and allowances. The objective is to provide better financial support to government employees while simplifying the pay structure.
Overview of Revised Pay Scale 2026
| Particular | Details |
|---|---|
| Notification | Revision of Basic Pay Scales and Allowances of Civil Servants |
| Issued By | Ministry of Finance, Government of Pakistan |
| Notification Date | 21 July 2026 |
| Effective Date | 1 July 2026 |
| Applies To | Federal Government Civil Employees |
| Revised Scheme | Basic Pay Scale (BPS) 2026 |
| Ad hoc Relief Allowance | 7% |
| Annual Increment | 1 December every year |
| Previous Pay Scale | BPS 2022 |
| New Pay Scale | BPS 2026 |
Notification of Revised Pay Scale 2026
According to the official Office Memorandum issued by the Ministry of Finance, the Federal Government has approved the Revision of Basic Pay Scales and Allowances 2026 for civil servants.
The revised salary package has been implemented from 1 July 2026. Under the new notification, the Government has merged Ad hoc Relief Allowance 2022 and Ad hoc Relief Allowance 2025 into the newly introduced Basic Pay Scales 2026. This means employees will now receive salary according to the revised pay scales instead of the previous BPS-2022.
Why Were Basic Pay Scales Revised?
The Government revised the pay scales to:
- Merge previous ad hoc allowances into basic pay.
- Improve salary structure for Federal Government employees.
- Standardize pay fixation across all departments.
- Ensure a transparent and simplified salary system.
- Provide financial relief amid increasing living costs.
The new pay scales also make future increments easier to calculate because part of the previous temporary relief has now become permanent basic pay.
Revision of Basic Pay Scale 2026
One of the most significant changes in the Revised Pay Scale 2026 is the introduction of Basic Pay Scale 2026.
The Government has replaced the Basic Pay Scale 2022 with Basic Pay Scale 2026 effective from 1 July 2026. The new salary structure incorporates earlier ad hoc relief allowances into the revised basic pay, resulting in a higher starting salary for employees across all BPS grades.
Employees from BPS-1 to BPS-22 will now receive salaries according to the updated pay chart.
Fixation of Pay of Existing Employees
The Ministry of Finance has also explained how the salaries of existing employees will be fixed.
The salary of every employee who was in service on 30 June 2026 will be shifted to the Basic Pay Scale 2026 on a point-to-point basis. This means employees will retain the same stage in the new pay scale that they occupied in the previous pay scale.
Employees receiving Personal Pay beyond the maximum stage of their pay scale will continue to receive it at the revised rates under BPS-2026.
This method ensures that no employee loses financial benefits because of the revised salary structure.
Annual Increment
The Government has retained the existing annual increment policy.
All eligible Federal Government employees will continue to receive their Annual Increment on 1 December every year, subject to existing service rules and conditions.
Ad hoc Relief Allowance 2026
The Government has announced an Ad hoc Relief Allowance 2026 equal to 7% of the running basic pay under BPS-2026.
This allowance is admissible to:
- Federal Government civil employees
- Civilians paid from Defence Estimates
- Contract employees appointed against civil posts under standard terms
- Contingent paid staff
The allowance is effective from 1 July 2026 until further orders.
Important Conditions
The Ad hoc Relief Allowance:
- Is subject to Income Tax.
- Will be paid during earned leave and LPR.
- Will not count toward pension or gratuity.
- Will not be admissible during foreign deputation.
- Will again become admissible after returning from foreign posting.
- Will remain admissible during suspension.
These conditions are clearly mentioned in the official notification.
Previous Ad hoc Relief Allowances Merged
With the introduction of Basic Pay Scale 2026, the following allowances have been discontinued:
| Allowance | Status |
|---|---|
| Ad hoc Relief Allowance 2022 | Merged into BPS-2026 |
| Ad hoc Relief Allowance 2025 | Merged into BPS-2026 |
These previous allowances are no longer paid separately after 1 July 2026.
Special Pay and Allowances
The notification states that all Special Pays, Special Allowances, and allowances calculated as a percentage of pay (except those already capped) will remain frozen at the level admissible on 30 June 2026.
This also includes:
- House Rent Allowance
- One-month basic pay allowance
- Other percentage-based special allowances
These will continue at their existing admissible levels unless revised through a separate government notification.
Employee Option under Revised Pay Scale 2026
Existing employees have been given an option to choose either:
- Continue under Basic Pay Scale 2022, or
- Switch to Basic Pay Scale 2026.
Departments must obtain this option in writing within 30 days from the issuance of the Office Memorandum.
Employees who do not submit their option within the specified period will automatically be treated as having opted for Basic Pay Scale 2026.
Anomaly Committee
The Ministry of Finance has also announced the formation of an Anomaly Committee.
The committee will resolve any issues or anomalies arising during the implementation of Basic Pay Scale 2026, ensuring smooth application of the revised salary structure across all Federal Government departments.
Basic Pay Scale Chart 2026
| BPS | Minimum Pay | Annual Increment | Maximum Pay |
|---|---|---|---|
| 1 | 16,280 | 520 | 31,880 |
| 2 | 16,600 | 590 | 34,300 |
| 3 | 17,130 | 700 | 38,130 |
| 4 | 17,650 | 800 | 41,650 |
| 5 | 18,300 | 910 | 45,600 |
| 6 | 18,930 | 1,010 | 49,230 |
| 7 | 19,590 | 1,100 | 52,590 |
| 8 | 20,290 | 1,210 | 56,590 |
| 9 | 20,990 | 1,310 | 60,290 |
| 10 | 21,680 | 1,430 | 64,580 |
| 11 | 22,410 | 1,580 | 69,810 |
| 12 | 23,750 | 1,720 | 75,350 |
| 13 | 25,420 | 1,880 | 81,820 |
| 14 | 27,060 | 2,090 | 89,760 |
| 15 | 28,730 | 2,380 | 100,130 |
| 16 | 33,720 | 2,720 | 115,320 |
| 17 | 54,140 | 4,110 | 136,340 |
| 18 | 68,330 | 5,120 | 170,730 |
| 19 | 105,510 | 5,450 | 214,510 |
| 20 | 123,090 | 8,040 | 235,650 |
| 21 | 136,680 | 8,920 | 261,560 |
| 22 | 146,770 | 10,470 | 293,350 |
Frequently Asked Questions (FAQs)
When will the Revised Pay Scale 2026 be implemented?
The revised pay scales are effective from 1 July 2026.
What is the Ad hoc Relief Allowance 2026?
It is a 7% allowance on the running basic pay under BPS-2026.
Will annual increments continue?
Yes. Eligible employees will continue to receive annual increments on 1 December each year.
What happened to the previous ad hoc allowances?
The Ad hoc Relief Allowances of 2022 and 2025 have been merged into the new Basic Pay Scale 2026.
Does the notification apply to provincial government employees?
This Office Memorandum specifically applies to Federal Government civil employees paid from civil and defence estimates
Summarize the major changes introduced in the 2026 pay scales.
- Merger of Ad-hoc Allowances: The BPS-2026 scales were created by merging the Ad-hoc Relief Allowance-2022 (previously 15% of BPS-2017) and the Ad-hoc Relief Allowance-2025 (previously 10% of BPS-2022) into the basic pay. Consequently, these specific allowances have ceased to exist
- Revised Pay Scale Minimums and Maximums: The consolidation has resulted in higher minimum and maximum pay levels across all grades. For example:
- BPS-1: The minimum pay increased from 13,550 to 16,280.
- BPS-17: The minimum pay increased from 45,070 to 54,140.
- BPS-22: The maximum pay increased from 244,130 to 293,350.
- Pay Fixation: Current employees will have their pay fixed in the new scales on a “point to point basis,” meaning they will be placed at the stage in the 2026 scale corresponding to the stage they occupied in the 2022 scale.
- Introduction of Ad-hoc Relief Allowance-2026: A new allowance has been introduced at a rate of 7% of the running basic pay of the BPS-2026. This allowance is subject to income tax and is admissible during leave (except extraordinary leave) but will not be counted toward pension or gratuity calculations.
- Freezing of Other Allowances: Most special pays and allowances calculated as a percentage of pay—including House Rent Allowance—have been frozen at the levels they reached on June 30, 2026
- Employee Options: Existing employees are required to provide an irrevocable written option within 30 days of the memorandum’s issuance to either stay in the BPS-2022 scheme or move to the BPS-2026 scheme Employees who do not communicate a choice will be automatically moved to the new 2026 scales.
- Annual Increments: These will continue to be awarded on December 1st each year, provided existing conditions are met.
Download the complete Basic Pay Scale Chart 2026 Notification
