Federal Employees Receive 1% Raise, Locality Rates See No Change | 2026 GS Pay Update

The U.S. Office of Personnel Management has confirmed a 1% increase in the General Schedule (GS) pay scale for 2026. Locality pay rates will remain the same, meaning base salaries rise while geographic adjustments are unchanged.

This adjustment affects millions of federal employees across agencies, ensuring incremental income growth amid inflation.

Who Is Eligible for the GS Raise

All federal employees under the GS pay scale are eligible for the 1% raise effective from January 2026. Employees in grade steps 1 through 15 will see proportional increases based on their current salary.

Locality-adjusted pay zones will not see additional increases, so total pay change depends on base GS pay only.

Impact of No Change to Locality Rates

Since locality rates remain constant, employees in high-cost areas like New York, San Francisco, and Washington D.C. will not see extra adjustments. The 1% increase applies only to base GS salaries, slightly narrowing the gap between base and total pay in high-cost regions.

Employees in non-locality areas will experience the full 1% increase in their total income.

GS Raise Table (Sample)

GS GradeCurrent Base Pay (2025)2026 Base Pay with 1% IncreaseLocality AdjustmentTotal Pay 2026
GS-1$20,300$20,503$2,500$23,003
GS-7$45,200$45,652$5,000$50,652
GS-12$78,000$78,780$10,000$88,780
GS-15$120,000$121,200$15,000$136,200

The table illustrates how the 1% GS raise affects base pay and the total compensation, with locality rates unchanged.

Effective Date and Payroll Implementation

The 1% increase is effective January 1, 2026, and will appear in employees’ February 2026 paychecks. Payroll offices will automatically adjust salaries based on the new GS tables.

Employees should review their pay stubs to confirm the increase is correctly applied and report discrepancies to HR.

Conclusion

The 2026 Federal GS Increase provides a 1% base pay raise while maintaining current locality rates, benefiting millions of federal employees. Awareness of the base pay adjustment and its impact on total pay helps employees plan budgets and understand the net benefit.

Disclaimer: This article is for informational purposes only. GS pay raises, locality rates, and payroll adjustments are subject to official U.S. Office of Personnel Management notifications. Federal employees should consult agency HR offices or the OPM portal for official salary details.

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