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Chapter 1
Pay
Section 1
Main Federal Pay Schedules and Systems
General Schedule
The General Schedule is the federal government’s main pay system that sets the pay rates
for employees in most white-collar positions not at the senior executive or other senior
levels. The General Schedule is composed of 15 grades, or salary levels. Each grade includes
10 steps through which employees advance based on satisfactory job performance and
length of service. For all GS grades, the waiting periods to be advanced to each higher step
(that is, qualifying for a “within-grade increase”) are as follows: 52 calendar weeks to be
advanced to steps 2, 3, and 4; 104 calendar weeks to be advanced to steps 5, 6, and 7; and
156 calendar weeks to be advanced to steps 8, 9, and 10 (see 5 CFR 531.405). Performancebased “quality step increases” also are allowed. See Section 4 of this chapter.
Position classification standards, developed by the Office of Personnel Management
(OPM), are the legal basis for determining the series and grade—and consequently the
pay—for the majority of GS positions. In most cases, a GS employee’s basic pay reflects the
pay rate specified for the position’s grade and step in the locality where the worker is
employed. Disputes over the classification of a GS position that cannot be resolved within
the agency can be referred to OPM by either the employee or the agency. OPM is responsible for making the final decision on such an appeal, and its decision is final. See Position
Classification Appeals in Chapter 10, Section 1.
General Schedule jobs commonly are referred to according to one of the “PATCO” (for
professional, administrative, technical, clerical, and other) occupational categories:
Professional—Requires knowledge in a field of science or learning characteristically
acquired through education or training pertinent to the specialized field, as distinguished
from general education. The work of a professional occupation requires the exercise of
discretion, judgment, and personal responsibility for the application of an organized body
of knowledge that is constantly studied to make new discoveries and interpretations, and to
improve the data, materials and methods.
Administrative—Involves the exercise of analytical ability, judgment, discretion, and
personal responsibility, and application of a substantial body of knowledge, principles, concepts, and practices applicable to one or more fields of administration or management.
While these positions do not require specialized education majors, they do involve the types
of skills (analytical, research, writing, judgment) typically gained through a college level
general education or through progressively responsible experience.
Technical—Involves work that is non-routine in nature and is typically associated with,
and in support of, a professional or administrative field. Such occupations involve extensive
practical knowledge gained through on-the-job experience or specific training less than by
college graduation. Work in these occupations may involve substantial elements of the professional or administrative field but require less competence in the field involved.
Clerical—Involves structured work in support of office, business, field, or fiscal operations; duties are performed in accordance with established policies, experience or working
knowledge related to the tasks to be performed.
Other—Occupations that do not fall into the above categories.
Supervisors of other GS employees ordinarily are classified at least one grade higher than
those employees. However, this does not necessarily mean that supervisors will be paid
more than each of their subordinates. Supervisory differentials are paid in some cases to
keep the supervisor’s pay ahead (see Supervisory Differentials in Section 4 of this chapter).
Some white-collar employees below the senior levels are under pay banding—also called
broad banding—systems. In such systems, several GS grades are combined into one, and the
agency has greater leeway in setting starting salaries and increasing pay for various reasons,
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including for performance (see Section 5 of this chapter). Pay banding systems are common in
“demonstration projects” and other settings where exceptions to standard civil service rules
apply (see Chapter 8, Section 7).
Federal Wage System
Blue-collar occupations comprise the trades, crafts, and manual labor (unskilled, semiskilled, or skilled), including foreman and supervisory positions entailing trade, craft, or
laboring experience and knowledge as the paramount requirement.
The pay of the federal government’s blue-collar employees is set as an hourly rate in
accordance with procedures established under 5 U.S.C. 5343. The law requires that hourly
rates for these federal wage system employees—also commonly called wage grade or prevailing rate—be adjusted in accordance with pay rates in local markets. The most common
wage system schedule—that is, the wage grade schedule used for most non-supervisory
workers—contains 15 grades. Each of the grades includes five steps, which are set at 4 percent increments.
If the employee’s performance is above unacceptable, advancement to the second step
occurs after six months of employment, advancement to the third after an additional 18
months, to the fourth after an additional two years, and to the fifth after an additional two
years.
Occupations often cover more than one grade level, and many occupations typically are
represented at each grade. Differences in rates of pay among wage areas reflect the fact that
the prevailing cost of labor varies by region across the United States.
The wage system’s prevailing rate determinations are made on the basis of surveys by a
“lead agency”—the agency with the most blue-collar employees in an area, most commonly the Defense Department—of rates paid by private employers in each local wage area
for work similar to that performed by federal wage employees. Wage schedule adjustments
have been capped each year since fiscal year 1979 through the budget process. Because of
the pay cap, wage grade adjustments in an area cannot exceed the local General Schedule
pay increase (including both base GS and locality pay adjustments); in many years prior to
2004, federal wage system raises were capped at the GS national average. Wage schedules
are adjusted at different times of the year according to when the local lead agency conducts
the annual wage survey in each individual wage area.
U.S. Postal Service
As an independent establishment, the U.S. Postal Service operates its own pay system
that has two general types of salary structures, as well as a specialized structure for rural
letter carriers. The two general pay structures are: the PS (Postal Service) salary structure,
which covers bargaining unit personnel, such as most clerks and carriers, mail handlers,
nurses, and security personnel; and the EAS (Executive and Administrative Schedule)
structure, which covers executives, professionals, supervisors, postmasters, technical
and administrative employees, and other workers not covered by bargaining agreements. See Chapter 12, Section 3.
Executive Schedule, Congressional, and Judicial Pay
Salary levels of certain top officials of all three branches of government are linked. The
Executive Schedule, which governs the pay of Cabinet officers and other top federal
executives—almost all of them political appointees—is the basic underlying structure. It
includes five levels which are, in descending order:
• Level I, Cabinet-Level officials;
• Level II, deputy secretaries of departments, secretaries of military departments, and
heads of major agencies;
• Level III, under secretaries of departments and heads of middle-level agencies;
• Level IV, assistant secretaries and general counsels of departments, heads of smaller
agencies, members of certain boards and commissions; and
• Level V, administrators, commissioners, directors, and members of boards, commissions, or units of agencies.
Under the Ethics Reform Act of 1989, P.L. 101-194, the salaries of the Vice President,
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Chapter 1—Pay
the Chief Justice and the Speaker of the House are to be equivalent. Similarly, the salaries
of Cabinet officials (Level I) and certain congressional leaders are to be equivalent, as are
the salaries of those at Level II, most members of the House and Senate, and most federal judges. However, the actual figures do not track exactly because in some years salaries for Congress were frozen while raises were paid to Executive Schedule employees,
judges, or both.
Various Executive Schedule rates also are used to establish certain salary limits for
General Schedule employees, the Senior Executive Service, employees in senior-level and
senior scientific and technical jobs, administrative law judges, and certain other highly paid
positions. See the pertinent topics in this section.
The Ethics Reform Act of 1989 provided for an annual salary adjustment for leaders and
members of the Senate and House of Representatives, the Vice President, individuals in
positions on the Executive Schedule, and federal justices and judges. The adjustment is
based on the percentage change in the wages and salaries (not seasonally adjusted) for the
private industry workers element of the employment cost index (ECI), minus 0.5 percent,
using the December indicator. It becomes effective at the same time as, and at a rate no
greater than, the annual basic pay rate adjustment (that is, the across-the-board component
only and not counting the locality pay component) for federal employees under the
General Schedule. The adjustment cannot, however, be less than zero or greater than 5
percent. While the Ethics Reform Act sets the rate of the judicial pay adjustment, salary
increases for justices and judges must be enacted separately.
While judicial raises require an annual authorization, the congressional and Executive
Schedule pay raises are automatic unless Congress acts to prevent them—which has happened in some years. Although refusals to accept the raise primarily occur because of
sensitivity over congressional pay, the linkage often causes salaries of judges and Executive
Schedule officials to be frozen as well.
The President’s salary is set by law, 3 U.S.C. §102, at $400,000 and cannot be changed
during an incumbent’s term.
Senior Executive Service
The Senior Executive Service (SES) is a cadre of high-level supervisors, most of them
career employees although some are politically appointed. The SES pay system (see 5
U.S.C. Chapter 53, Subchapter VIII) features a pay range with a minimum rate of basic pay
starting at 120 percent of the rate for grade 15, step 1, of the base General Schedule (not
including locality pay). Agencies that demonstrate that their executive appraisal systems
make “meaningful distinctions based on relative performance,” as certified by the Office of
Personnel Management with concurrence by the Office of Management and Budget, may
pay up to Level II of the Executive Schedule. Most agencies have that certification; for those
that don’t, the cap is Level III of the Executive Schedule.
SES members in an agency with a certified executive performance appraisal system also
are subject to a higher aggregate compensation limit (that is, basic salary, plus performance
bonus for career SES members, and other allowances and incentives) equivalent to the pay
of the Vice President. Absent certification, the maximum annual aggregate compensation
is the rate for Level I of the Executive Schedule. See Aggregate Limit on Compensation in
Section 2 of this chapter for details of the certification procedure and what forms of compensation are counted toward the total compensation cap.
SES members do not receive annual across-the-board or locality pay adjustments. Pay
adjustments for SES members must be based on the employee’s individual performance
and/or contribution to the agency’s performance. See Section 9 in Chapter 8.
SES members paid at a rate of basic pay equal to or greater than 86.5 percent of the rate
for Level II are subject to certain additional post-employment restrictions. See Postemployment Restrictions in Chapter 10, Section 5.
The SES pay system took its current form in 2004 under Public Law 108-136, which
replaced a system that had six pay levels.
Other High-Level Systems
Administrative Law Judges—ALJs are hearing officers who hear cases brought by par-
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ties whose affairs are controlled or regulated by agencies of the federal government. They
operate under a merit system designed to protect the judge’s decisional independence
from undue agency influence and they have greater tenure protection than federal employees in general. They hear cases involving economic regulations, adjudication of claims to
benefits, and enforcement of actions brought by federal agencies against individuals or
organizations. Most work at the Social Security Administration.
The ALJ pay system consists of three levels, in descending order AL-1, -2 and -3; level
3 in turn is divided into six rates, A-F. ALJ positions are placed at levels AL-2 and AL-1 when
they involve significant administrative and managerial responsibilities. The minimum rate
for ALJ positions is 65 percent of Level IV of the Executive Schedule, and the maximum,
including locality adjustments, is Level III.
An ALJ who is appointed and placed in level AL-3 must be paid at the minimum rate A,
unless the ALJ is eligible for a higher rate, not to exceed the maximum rate F, because of
prior service, superior qualifications or reinstatement eligibility.
Administrative law judges must serve at least one year in each AL pay level, or in an
equivalent or higher level in positions in the federal service, before advancing to the next
higher level. Administrative law judges may advance only one level at a time. An ALJ in
level AL-3 is advanced automatically to the next higher rate upon completion of the
required waiting period—52 weeks each up to level D, and 104 weeks to advance to E
and to F.
Time previously served in the next lower rate will be creditable service towards completing the waiting period when an ALJ returns after a break in service to the same rate.
However, time under the administrative appeals judge pay system is not creditable service
in computing the required waiting period. Time in non-pay status is generally creditable
service in computation of a waiting period as long as it does not exceed, in the aggregate,
two weeks per 52 weeks of service. Absence due to uniformed service or compensable
injury is fully creditable upon re-employment.
On a one-time basis and with prior OPM approval, an agency may advance an ALJ in
an AL-3 position with added administrative and managerial duties and responsibilities to
the next higher rate, up to the maximum rate F.
ALJs may earn premium pay, subject to the applicable premium pay cap, but are not
eligible for recruitment, relocation, or retention incentives or for the student loan repayment program.
ALJs typically receive, by annual presidential directives, the same across-the-board and
pertinent locality pay raises as General Schedule employees.
Administrative Appeals Judges—The duties of an AAJ primarily involve reviewing decisions of administrative law judges and rendering final administrative decisions. The AAJ pay
system has six rates of basic pay: AA-1-6. These rates correspond to the rates of basic pay for
AL-3/A-F of the administrative law judge pay system.
Upon initial appointment, an agency must set the rate of basic pay of an AAJ at the minimum rate AA-1, unless the AAJ is appointed without a break in service from a General
Schedule position, or the employee is eligible for a higher rate because of prior service or
superior qualifications.
An AAJ is advanced automatically to the next higher rate upon completion of the required
waiting period—52 weeks to advance each level up to AA-4, and 104 weeks to advance to
levels 5 and 6. Time under the administrative law judge pay system is creditable service in
computing the required waiting period when an individual moves from that system to the
AAJ pay system without a break in service. Time previously served in the next lower rate will
be creditable service towards completing the waiting period when an AAJ returns after a
break in service to the same rate. Policies regarding time in non-pay status mirror those for
ALJs, and AAJs are similarly eligible for premium pay.
The rates of basic pay of the AAJ pay system are adjusted at the same time and in the same
manner as adjustments are made in the corresponding rates of basic pay for the ALJ system,
including locality payments, subject to a cap of Level III of the Executive Schedule.
Department of Defense Doctors—The Physician and Dentist Pay Plan (PDPP) establishes pay-setting policies, rules, and tables for physicians and dentists at the Department of
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Chapter 1—Pay
Defense. It formally began in 2011 after resolution of issues including the transition of many
affected positions into and then out of the National Security Personnel System (see Chapter
8, Section 7).
Under the PDPP, total salary includes two components: basic pay and market pay, both
of which count for purposes including retirement calculations and benefits such as life
insurance and lump-sum payments for unused annual leave on separation. Basic pay
grades under the PDPP are determined by the General Schedule. A market pay component is added to reflect the recruitment and retention needs for the specialty or assignment
of the position. Employees continue to receive any increase they may have received under
the GS system, including within-grade increases, quality step increases, and general pay
increases.
In determining ranges of annual pay for the PDPP, DoD mirrors the pay table and tier
structure established by the Veterans Affairs Department (see below). The ranges used by the
PDPP are based on data gathered from national surveys of pay for physicians and dentists.
PDPP pay tiers set the minimum and maximum amounts of annual pay by specialty
groups. Based on recruitment and retention considerations and labor market characteristics,
a pay table is a set of tiers for clinical specialties that are grouped together. A tier is a pay range
within a pay table that reflects the scope of work within a specialty. Employees are assigned
to a pay table based on their clinical specialties.
Factors considered when setting market pay include level of experience, agency need,
labor market forces, board certifications, accomplishments, and other qualifications or credentials. Compensation panels are designed to ensure consistency and propriety of market
pay decisions.
Department of Veterans Affairs Doctors—The Health Care Personnel Enhancement Act
of 2004 (Public Law 108-455) replaced the prior pay system for physicians and dentists in the
VA’s Veterans Health Administration with market-based, individually determined pay effective in 2006. Compensation consists of: a uniform nationwide base pay range with 15 steps
based on length of service with VA, increased annually by the General Schedule average
increase, plus an automatic step increase for longevity every two years; market pay determined according to the recruitment and retention needs for the specialty or assignment at a
particular facility, along with experience, board certifications, and other qualifications of the
individual physicians and dentists; and performance pay paid on the basis of the achievement
of specific goals and performance objectives.
Pay rates and ranges are set for five groupings of clinical specialties and two groupings of
administrative assignments (one for chiefs of staff, the other for positions such as chief officer
or network director). Within each specialty or assignment, there are between two and four
tiers, each with its own rate range and within which each individual has an annual pay
amount set.
Senior-Level/Senior Scientific and Technical Positions—These categories cover many
positions classified above GS-15 that are not eligible for the Senior Executive Service due to
the lack of supervisory duties; they sometimes are called “senior professional” positions.
Qualifications for the positions are determined by individual agencies and hiring often is done
without competitive examination on the basis of meeting qualification standards.
The senior scientific and technical (ST) system covers nonexecutive positions that involve
performance of high-level research and development in the physical, biological, medical, or
engineering sciences, or a closely-related field. ST positions may include some supervisory
and related managerial duties, provided that these duties occupy less than 25 percent of the
incumbent's time. The senior level (SL) system is for nonexecutive positions that do not
involve the fundamental research and development responsibilities that are characteristic of
the ST system, such as a high level special assistant or a senior attorney in a highly-specialized
field who is not a manager, supervisor, or policy advisor. All ST positions are in the competitive
service. So are most SL positions, with some in the excepted service.
Public Law 110-372, effective April 12, 2009, raised the basic salary cap and ended eligibility for locality pay in order to bring policies for senior professionals in line with policies
applying to senior executives. Previously they typically received, by annual Presidential order,
the same across-the-board and pertinent locality pay raises as General Schedule employees.
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On conversion, SL and ST employees retained their then-current pay, including any applicable locality pay. The converted rate became the employee’s rate of basic pay for all pay
computation purposes.
Salaries are set according to national minimum and maximum rates determined annually.
The minimum rate for these positions is 120 percent of the rate for grade 15, step 1 of the
base General Schedule (not including locality pay) and the maximum is Level II of the
Executive Schedule if the agency’s performance evaluation system is certified by OPM as
making “meaningful distinctions based on relative performance,” and Level III if there is no
such certification. Employees are guaranteed not to suffer a reduction in pay if they transfer
from an agency where salaries are capped at the higher amount to one where salaries are
capped at the lower amount.
The aggregate compensation limit (basic salary plus performance bonus and other allowances and incentives) is equivalent to the pay of the Vice President if the agency’s appraisal
system is certified, and Level I of the Executive Schedule if it is not. See Aggregate Limit on
Compensation in Section 2 of this chapter for details of the certification procedure and what
forms of compensation are counted toward the total compensation cap.
SL and ST employees paid at a rate of basic pay equal to or greater than 86.5 percent of
the rate for Executive Schedule Level II are subject to certain additional post-employment
restrictions. See Post-Employment Restrictions in Chapter 10, Section 5.
Special Salary Rates
The Office of Personnel Management (OPM) may establish higher rates of basic pay—special salary rates, more commonly simply called special rates—for a group or category of
General Schedule positions in one or more geographic areas to address existing or likely
significant difficulties in recruiting or retaining well-qualified employees. OPM may establish
special rates for nearly any category of employee—that is, by series, specialty, grade-level,
and/or geographic area. The statutory authority for special rates is found in 5 U.S.C. 5305.
Executive Order 12748 delegates to OPM the President’s authority to establish special rates.
Rules on establishing and adjusting special rates are at 5 CFR 530.304.
Special rates may be authorized whenever OPM finds that the government’s recruitment
or retention efforts are or are likely to be adversely affected by a variety of factors, including
significantly higher rates of pay offered by nonfederal employers, the remoteness of the job’s
area or location, undesirable working conditions or duties (including exposure to toxic substances or other occupational hazards), or other circumstance that OPM considers appropriate. Once established, each special rate is reviewed at least annually and adjustments made
as warranted according to existing labor market conditions and agency staffing needs.
Agencies may request OPM to establish special rates for their employees. Such requests must
be submitted to OPM by department headquarters and must be coordinated with other
federal agencies with employees in the same occupational group and geographic area.
An employee’s entitlement to a special rate is eliminated if the employee is entitled to a
higher rate of basic pay, such as a locality rate under 5 U.S.C. 5304 (see 5 U.S.C. 5305(h) and
5 CFR 530.303(d)). This action does not reduce the salaries of the affected employees, since
they already are receiving locality rates higher than the special rate.
There are about 250 special rate authorities established by OPM that cover some 39,800
employees. Certain categories of employees receive special rate pay under other authorities,
such as law enforcement officers (see below) and certain hospital workers in the Department
of Veterans Affairs under 38 U.S.C. 7455.
The minimum rate of a special rate range may exceed the maximum rate of the corresponding grade by as much as 30 percent. However, no special rate may exceed the rate for
Executive Level IV.
Special rates generally are basic pay for the same purposes as locality rates. Like a locality
rate, a special rate consists of a basic rate and a supplement. An agency may choose to
exclude its employees from coverage under a proposed or existing special rate schedule after
notifying OPM. Each year, OPM and agencies employing special rate employees conduct a
review to determine the amount by which special rates will be adjusted at the time of a
general increase in General Schedule rates. Agencies do not have to submit a certification
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Chapter 1—Pay
form for each special rate schedule. Instead, they must submit information to OPM only if
they are requesting a special rate adjustment greater than or less than the GS annual pay
adjustment. OPM reviews such agency submissions and makes a determination regarding the
appropriate adjustment in the affected special rate schedules. All other special rate schedules
are adjusted by the same percentage as the GS pay adjustment.
The special rate authority allows a lead agency, with the approval of OPM, to establish
rates above the regular federal wage system wage schedule rates for an occupation or group
of occupations experiencing or potentially experiencing recruitment or retention difficulties.
Special rates are established by occupation, grade, agency, and/or geographic location. These
rates will be paid by all agencies having positions for which the rates are authorized. The
special rate payable may not, at any time, be less than the unrestricted rate otherwise payable
for such positions under the applicable regular pay schedule.
Special rate employees are eligible for within-grade raises, raises related to a promotion,
and similar types of increases.
A listing of special rate tables for the General Schedule is at http://apps.opm.gov/
specialrates/index.html. A listing for wage grade employees is at www.cpms.osd.mil/wage/
wage_schedules.aspx.
Firefighters
‘Structural’ Firefighters—“Structural” firefighters are classified in the GS-081 series and
provide around-the-clock protection at certain federal facilities, mainly Defense Department
installations. In addition, they generally provide paramedic support and hazardous material controls. They typically work 24-hour shifts that include sleep, meals and other personal standby time. Most have a 72-hour workweek consisting of three 24-hour shifts.
Because sleep and personal time is included in their duty shift, firefighters whose regularly
established workweeks average at least 53 hours receive a lower hourly rate of basic pay
than other employees. The applicable GS annual rate is divided by a 2,756-hour factor (53
hours per week times 52 weeks) to derive their hourly rate.
GS-081 firefighters have no overtime pay entitlement until they have worked 53 hours
in a week or 106 hours in a biweekly pay period. For those who are exempt from the Fair
Labor Standards Act (FLSA), overtime pay is capped at one and one-half times the rate for
GS-10, step 1, or the employee’s regular rate of basic pay, whichever is higher. The overtime rate for GS-081 firefighters eligible for FLSA overtime is not similarly capped.
GS-081 firefighters are barred from receiving payment of any other premium pay,
including night pay, Sunday pay, holiday pay, and hazardous duty pay. Special computations are provided for firefighters whose regular tour of duty includes a basic 40-hour week.
Wildland Firefighters—Wildland firefighters are employed, primarily by the Forest
Service and Department of the Interior, to control, extinguish, prevent and manage wildland fires. While some wildland firefighters are employed year-round, most are employed
on a seasonal basis, and classified as GS-462 forestry technicians or GS-455 range technicians. While actively fighting fires, they must serve at the site of the fire and work shifts that
extend well beyond the eight-hour work day and must stay at a base camp during off-duty
hours for sleep and meals and other personal activities.
Wildland firefighters, whether FLSA-exempt or not, receive overtime pay after eight
hours in a day or 40 hours in a week. They are not subject to any cap on the hourly rate
of overtime pay while engaged in emergency wildland fire suppression activities. They are
eligible for hazard pay at the rate of 25 percent for all time in a pay status on any day when
they are exposed to a hazard.
Rules for firefighter pay are in 5 CFR Parts 410, 550, 551, and 630.
Law Enforcement Officers
Federal law enforcement officers (LEOs) are primarily involved in criminal and noncriminal
investigation, policing, corrections, court operations, security and protection. Most LEO
employees with arrest authority are covered by standard basic pay systems, primarily the
General Schedule.
LEOs within the GS system are entitled to higher rates of basic pay at grades GS-3 through
GS-10, which increase pay by 3 to 23 percent depending on grade level. These LEO special
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rates, established by Section 529 of Public Law 101-509, are used as basic rates in computing
locality payments. The GS system also allows law enforcement officers to receive various forms
of premium pay including hazardous duty pay, administratively uncontrollable overtime, night
pay, Sunday pay, and holiday pay (see Section 7 of this chapter).
A small percentage of LEOs receive other OPM-established special rate pay; most of these
are medical personnel working at correctional institutions. Further, while Department of
Veterans Affairs police officers are covered by the GS system, they may receive higher special
rates of basic pay established by VA under its Title 38 special rate authority, subject to OPM’s
concurrence.
Departments and agencies operating their own LEO salary systems include the U.S. Postal
Service, the Bureau of Engraving and Printing, the U.S. Mint, the National Security Agency, the
Department of Defense, the State Department (Bureau of Diplomatic Security) and the
Department of Homeland Security. The Judicial and Legislative Branches also operate separate
systems. The provisions of these systems may be established directly in law, by administrative
action, or in some cases by collective bargaining. There are significant variations in pay and
benefits entitlements among them.
Transportation Security Administration
The Transportation Security Administration (TSA), part of the Department of Homeland
Security, operates a pay system separate from the General Schedule under its authorizing
law, P.L. 107-71. TSA uses a pay banding system with minimum and maximum rates that
may be higher or lower than the closest GS grade equivalent. The accompanying table
shows rough equivalencies.
Assignment to a band is determined by qualifications. Unless otherwise determined by
the hiring official, employees newly hired to the TSA are paid at the minimum rate of the
pay band for the position. Former or current federal employees are not automatically
entitled to receive their highest previous rate
of pay upon hiring. Management may match
Rough GS
or exceed that rate on a determination that
TSA Grade Level
Equivalent
applicants have specialized experience that
demonstrates they possess superior skills and
SV-D
GS-4,5,6
abilities to perform the duties of the position.
SV-E
GS-7
To be considered for setting pay at a rate
SV-F
GS-8,9
above the minimum of the pay band, the
specialized experience must be in, or related
SV-G
GS-10,11
to, the work of the position to be filled.
SV-H
GS-12
Increases to basic pay can be made
under several circumstances:
SV-I
GS-13
• Increases for a promotion may range
SV-J
GS-14
up to 15 percent, or to the minimum rate for
SV-K
GS-15
the new band, regardless of the percentage.
• An employee who has been on TSA
rolls for at least 90 days may receive a reassignment increase of from 1 to 7 percent of basic pay when permanently assigned to a new
position within the same pay band as the current position.
• In-position increases of between 1 and 7 percent can be awarded to acknowledge
special circumstances such as an employee’s significant professional growth or increased
complexity of an employee’s current job.
• Salary increases and/or bonuses are paid under a pay for performance program, the
Performance and Accountability Standards System, applying to most employees (also see
Other Major Alternative Personnel Authorities in Chapter 8, Section 7).
Other Pay Systems
In addition to the pay schedules or systems described above, the federal government
operates numerous other pay systems, many of them unique to agencies or sub-agencies,
and many of them occupation-specific. Separate pay systems, for example, are used to set
salary levels for Foreign Service employees, air traffic controllers, and employees of “non-
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Chapter 1—Pay
appropriated fund instrumentalities,” which are self-funding facilities, such as post exchanges
or commissaries. These systems go by a variety of names, use differing nomenclature for classification levels, and vary in how they set and increase salaries. If you are under one of them,
check with your personnel office regarding the terms of the system.
Also, many agencies are operating under alternative pay structures that involve pay
banding and other non-standard practices (see Chapter 8, Section 7) and agencies have
various special pay-setting authorities available to them, some at their own discretion and
some upon approval from the Office of Management and Budget and/or OPM (see
Section 5 of this chapter).
Section 2
General Pay Computation Procedures
Most federal employees work schedules consisting of an eight-hour day, five-day,
40-hour workweek. Hourly rates of pay for General Schedule employees (which are used,
for example, for overtime-calculation purposes) are computed by dividing a worker’s
annual rate of pay by 2,087 and rounding to the nearest cent. To compute an employee’s
bi-weekly pay, the hourly rate must be multiplied by 80. If computing compensation for
fractional pay periods (that is, partially paid periods resulting from separations, retirements,
use of leave without pay, etc.), the amount of pay is determined by multiplying the employee’s hourly rate by the number of hours or fractions of hours.
The standard federal workday is eight hours. The law provides overtime for certain
employees for work in excess of eight hours in a day, or in excess of 40 hours in the workweek (see Section 6 of this chapter); special rules apply to employees who work under
alternative work schedules (see Chapter 8, Section 2). There are also pay differentials for
working at night, on Sundays, on holidays and for various other reasons (see Section 7 of
this chapter).
An employee must receive the greatest of the following rates of pay, as applicable:
• the scheduled annual rate of pay payable to the employee;
• a special rate under 5 CFR Part 530, subpart C, or a similar rate under other legal
authority (for example, 38 U.S.C. 7455);
• a locality rate under 5 CFR Part 531, subpart F, or a similar rate under other legal
authority; or
• a retained rate under 5 CFR Part 536 or saved rate under 5 CFR Part 359, subpart
G, or a similar rate under other legal authority.
A GS pay computation example is at www.opm.gov/oca/pay/html/computerates.asp.
Fact sheets on pay and hours of work are at www.opm.gov/oca/pay/html/factindx.asp.
Worksite for Location-Based Pay Purposes
Certain location-based pay entitlements (such as locality payments, special rate supplements, travel, transportation, and relocation benefits, and non-foreign area cost-ofliving allowances) are based on the location of the employee’s official worksite for his or
her position of record. Generally, the official worksite is the location of an employee’s
position of record where the employee regularly performs his or her duties or, if the
employee’s work involves regular travel or the employee’s work location varies on a daily
basis, where his or her work activities are based, as determined by the employing agency. An agency must document an employee’s official worksite on the employee’s
Notification of Personnel Action (Standard Form 50 or equivalent).
If an employee is in temporary duty travel status away from the official worksite for
the employee’s position of record and is eligible for temporary duty travel allowances
such as per diem, the employee’s pay entitlements based on that official worksite are not
affected.
If an employee is temporarily detailed to a position in a different geographic area and
is eligible for temporary duty travel allowances, the employee’s official worksite for his
or her position of record and associated pay entitlements are not affected.
If an employee is authorized to receive relocation allowances under 5 U.S.C. 5737
and 41 CFR Part 302-3, subpart E, in connection with long-term assignment (six to 30
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2012 Federal Employees Almanac
months), the work location for the long-term assignment is considered the employee’s
official worksite for pay purposes.
If an employee is temporarily reassigned or promoted to a position in a different geographic area, the work location for the position to which temporarily reassigned or promoted is considered the employee’s official worksite for pay purposes.
For telecommuters, an agency determines the official worksite on a case-by-case basis.
Also see Official Duty Station in Chapter 8, Section 1, and www.opm.gov/oca/pay/html/
Official_Duty_Station.asp.
Pay Caps
There are various limitations on the pay that employees may receive, including special
Maximum Pay Limitations
Type of Pay Limit
Maximum Limit
Reference
General Schedule (excluding
Level V of Executive Schedule
5 U.S.C. 5303(f)
any locality payment or
special rate supplement) General schedule plus special rate supplement (5 U.S.C. 5305)
Minimum rate may not exceed
30% of maximum rate for grade;
maximum rate may not exceed
level IV of the Executive Schedule
5 U.S.C. 5305(a) and
5 CFR 530.304(a)
General Schedule, plus locality
payment Level IV of the Executive Schedule
5 U.S.C. 5304(g)(1)
and 5 CFR 531.606a)
Biweekly limitation on premium Greater of biweekly rate for pay (see note 1)
GS-15, step 10 or level V
of Executive Schedule
5 U.S.C. 5547(a) and
5 CFR 550.105
Annual limitation on premium
pay for emergency work or for
work critical to the mission of
an agency (see note 2)
5 U.S.C. 5547(b)(1)
and (b)(2) and 5 CFR
550.106 and 550.107
Greater of annualized rate for GS-15, step 10, or level V of Executive Schedule
Aggregate limitation on pay
Level I of Executive Schedule
(see note 3)
Notes
5 U.S.C. 5307 and 5
CFR 530.203
1. Under 5 U.S.C. 5547(a) and 5 CFR 550.105, GS employees may receive certain types of premium pay in a pay period only to the extent that the aggregate of basic pay and premium pay for the pay period does not exceed the greater of
the biweekly rate for (1) GS-15, step 10 (including any applicable locality payment or special rate supplement), or (2) level
V of the Executive Schedule. (See notes 2 and 4 for exceptions to this rule.)
2. Under 5 U.S.C. 5547(b) and 5 CFR 550.106 and 5 CFR 550.107, the head of an agency may apply an annual pay
cap to certain types of premium pay for any pay period for (1) employees performing work in connection with an emergency, including work performed in the aftermath of such an emergency, or (2) employees performing work critical to the
mission of the agency. Such employees may receive certain types of premium pay only to the extent that the aggregate of
basic pay and premium pay for the calendar year does not exceed the greater of the annualized rate for (1) GS-15, step
10 (including any applicable locality payment or special rate supplement), or (2) level V of the Executive Schedule. (See 5
CFR 550.107(d) regarding method of computing this annualized rate.)
3. Except as described below, an employee may not receive any portion of any allowance, differential, bonus, award, or
other similar payment under Title 5, United States Code, in any calendar year, which when combined with the employee's
basic pay would cause the employee's aggregate compensation (including premium pay) to exceed the rate for level I of
the Executive Schedule at the end of the calendar year. See 5 CFR 530.202 for definitions of "basic pay" and "aggregate
compensation." For SES, SL and ST employees, the limit is the Vice President’s salary if they are working in an agency
whose performance plan for them is certified as making “meaningful distinctions based on relative performance.”
4. Section 1105 of P.L. 109-364, as later amended, authorizes the head of an agency to waive the premium pay cap
provisions under 5 U.S.C. 5547 for civilian employees who perform work while in an overseas location that (1) is in the
area of responsibility of the U.S. Central Command (Centcom) or (2) was formerly in the Centcom area of responsibility
but has been moved to the area of responsibility of the commander of the U.S. Africa Command. The overseas work must
meet one of two additional qualifying conditions: (1) performance of work in direct support of or directly related to a military operation, including contingency operation as defined in 10 U.S.C. 101(a)(13), or (2) performance of work in direct
support of or directly related to an operation in response to an emergency declared by the president. The annual limitation on basic pay and premium pay allowed under the waiver authority is the annual rate of salary payable to the Vice
President.
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Chapter 1—Pay
rules for special rates, locality pay and premium pay. See the accompanying Maximum Pay
Limitations table for General Schedule positions, the pertinent sections of Section 1 of this
chapter for other major salary systems, and Aggregate Limit on Compensation, below, for
special rules for certain high-level salary systems.
Biweekly and Annual Limits on Premium Pay—Under 5 U.S.C. 5547(a) and 5 CFR
550.105, General Schedule employees and other covered employees may receive certain
types of premium pay for a biweekly pay period only to the extent that the sum of basic
pay and premium pay for the pay period does not exceed the greater of the biweekly rate
payable for GS-15, step 10 (including any applicable locality payment or special rate supplement), or the rate payable for Level V of the Executive Schedule. The biweekly rate is
computed by dividing the applicable annual rate by 2,087 hours, rounding the resulting
hourly rate to the nearest cent, and multiplying the hourly rate by 80 hours.
For information on the annual limits on pay, see Aggregate Limit on Compensation,
below.
Under 5 U.S.C. 5547(a), an employee, including a law enforcement officer, may
receive premium pay in a pay period only to the extent that the aggregate of basic pay
and premium pay for the pay period does not exceed the greater of the biweekly rate for
(1) GS-15, step 10 (including any applicable special salary rate or locality rate of pay), or
(2) Level V of the Executive Schedule. (See 5 U.S.C. 5547(a), as amended, and 5 CFR
550.105.)
Under 5 U.S.C. 5547(b), the biweekly premium pay cap in section 5547(a) does not
apply in any pay period during which an employee, including a law enforcement officer,
receives premium pay for work in connection with an emergency (including a wildfire
emergency) that involves a direct threat to life or property. Work in connection with an
emergency includes work performed in the aftermath of the emergency. Such employees
may receive premium pay to the extent that the aggregate of basic pay and premium pay
for the calendar year does not exceed the greater of the annual rate for (1) GS-15, step
10 (including any applicable special salary rate or locality rate of pay), or (2) Level V of the
Executive Schedule.
Under 5 U.S.C. 5547(b), the head of an agency with discretionary authority may waive
the biweekly premium pay limitation in § 5547(a) for an employee, including a law
enforcement officer, who receives premium pay to perform work critical to the mission of
the agency. Such employees may receive premium pay to the extent that the aggregate of
basic pay and premium pay for the calendar year does not exceed the greater of the
annual rate for (1) GS-15, step 10 (including any applicable special salary rate or locality
rate of pay), or (2) Level V of the Executive Schedule.
The biweekly pay limitation in 5 U.S.C. 5547 is also a ceiling on compensatory time
off, which is an alternative form of payment for overtime work. Thus, the number of hours
for which an employee may receive monetary overtime pay is also the number of hours
of compensatory time off that may be credited in a pay period. An employee may not
exceed the biweekly pay limitation by choosing compensatory time off as a substitute for
monetary overtime pay.
Premium Pay for National Emergency—Agencies have authority under 5 U.S.C.
5547(b) and 5 CFR 550.106 to make exceptions to biweekly premium pay limitations for
civilian employees who perform emergency work in support of the National Emergency
declared by the Presidential Proclamation of September 14, 2001.
The head of an agency may apply an annual cap to certain types of premium pay for
any pay period for employees performing work in connection with an emergency, including work performed in the aftermath of such an emergency, or employees performing work
critical to the mission of the agency. Such employees may receive certain types of premium
pay to the extent that the aggregate of basic pay and premium pay for the calendar year
does not exceed the greater of the annual rate for GS-15, step 10 (including any applicable
special salary rate or locality rate of pay), or Level V of the Executive Schedule.
Note: Under 5 CFR 550.107, the following types of premium pay remain subject to a
biweekly limitation when other premium payments are subject to an annual limitation:
standby duty pay under 5 U.S.C. 5545(c)(1); administratively uncontrollable overtime pay
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2012 Federal Employees Almanac
under 5 U.S.C. 5545(c)(2); availability pay for criminal investigators under 5 U.S.C. 5545a;
and overtime pay for hours in a firefighter's regular tour of duty covered by 5 U.S.C. 5545b.
Waiver Authority—Under annual Defense Department authorization laws beginning
with Public Law 109-163, Section 1105, agencies may waive the annual aggregate pay
limitation, setting a limit of the Vice President’s salary instead, for employees assigned to an
overseas location in the area of responsibility of the Commander of the U.S. Central
Command (or that was formerly in that area of responsibility but has been moved to the
area of responsibility of the Commander of the U.S. Africa Command). The Defense and
State departments have exercised this authority department-wide; employees of other agencies should check their status. To be eligible, employees must remain in the command’s area
of responsibility for at least 42 consecutive calendar days (the period may overlap calendar
years) and perform work in direct support of, or directly related to, a military operation or
directly related to an operation in response to an emergency declared by the President.
Waiver authority primarily applies to employees assigned to Iraq or Afghanistan but also
includes several other countries. The Executive Schedule Level I aggregate limitation on pay
(see below) still applies. Amounts exceeding that cap up to the Vice President’s salary are
payable in the next calendar year. Guidance is in a March 3, 2011, memo at www.chcoc.
gov/transmittals.
Other Exceptions—Certain categories of employees are subject to different caps. For
example, a cap of 5 percent above the Executive Schedule Level IV rate applied to employees under DoD’s National Security Personnel System. When employees paid above that
rate were transferred out of NSPS due to its termination, they were allowed to retain their
salary rates (see Alternative Personnel Practices in Chapter 8, Section 7). Also, the cap
applying to Government Accountability Office employees in the top pay band there is the
Level III rate.
Aggregate Limit on Compensation
Under 5 U.S.C. 5307, there is a limit on total annual compensation for most federal
employees—the aggregate of basic pay, allowances, differentials, bonuses, awards, or
other similar cash payments (see below)—at the Level I rate of the Executive Schedule.
The limitation on pay applies to all Executive Branch employees, General Schedule (GS)
employees in the Legislative Branch, and GS employees in the Judicial Branch (excluding
those paid under 28 U.S.C. 332(f), 603, and 604). Certain Executive Branch employees
may be excluded from the aggregate limitation on pay under 5 U.S.C. 5307 by other laws
but may be subject to similar provisions administered by their agencies.
The limit for members of the Senior Executive Service (SES) and employees in senior
level (SL) and senior scientific or technical (ST) positions is the total annual compensation
payable to the Vice President under 3 U.S.C. 104 if the Office of Personnel Management,
with the concurrence of the Office of Management and Budget, certifies that the agency
has a performance appraisal system that makes “meaningful distinctions based on relative performance.” If an agency’s performance appraisal system has not been certified,
its aggregate limitation on compensation for those employees is the same as that for all
other employees, Level I of the Executive Schedule. Most agencies have that certification.
Basic pay is defined as the total amount of pay received at a rate fixed by law or administrative action for the position held by an employee, including any special rate under 5
CFR Part 530, subpart B, or any locality-based comparability payment under 5 CFR Part
531, subpart F, or other similar payment under other legal authority, before any deductions.
Basic pay includes night and environmental differentials for prevailing rate employees
under 5 U.S.C. 5343(f) and 5 CFR 532.511. Basic pay excludes additional pay of any other
kind.
Under 5 CFR 530.202, aggregate compensation for purposes of the cap is defined as:
• basic pay received as an employee of the Executive Branch or as an employee outside
the Executive Branch to whom the General Schedule applies;
• locality payments under 5 U.S.C. 5304; continued rate adjustments under 5 CFR Part
531, subpart G; or special pay adjustments for law enforcement officers under section 404
of the Federal Employees Pay Comparability Act of 1990 (Public Law 101-509);
12
Chapter 1—Pay
• premium pay under 5 U.S.C. Chapter 53, subchapter IV;
• premium pay under 5 U.S.C. Chapter 55, subchapter V;
• incentive awards and performance-based cash awards under 5 U.S.C. Chapters 45
and 53;
• recruitment, retention and relocation incentives under 5 U.S.C. 5753 and 5754;
• extended assignment incentives under 5 U.S.C. 5757;
• supervisory differentials under 5 U.S.C. 5755;
• post differentials under 5 U.S.C. 5925;
• danger pay allowances under 5 U.S.C. 5928;
• post differentials based on environmental conditions for employees stationed in nonforeign areas under 5 U.S.C. 5941(a)(2);
• physicians’ comparability allowances under 5 U.S.C. 5948;
• continuation of pay under 5 U.S.C. 8118;
• lump-sum payments in excess of the aggregate limitation on pay as required by §
530.204; and
• other similar payments authorized under Title 5, United States Code, excluding:
overtime pay under the Fair Labor Standards Act and 5 CFR Part 551; severance pay
under 5 U.S.C. 5595; lump-sum payments for accumulated and accrued annual leave
upon separation under 5 U.S.C. 5551 or 5552; back pay awarded to an employee under
5 U.S.C. 5596 because of an unjustified personnel action; student loan repayments
under 5 U.S.C. 5379; and non-foreign area cost-of-living allowances under 5 U.S.C.
5941(a)(1).
Payments in excess of the aggregate limitation on pay (other than basic pay) must be
deferred and are generally paid as a lump-sum payment at the beginning of the following
calendar year. Detailed policies on payment of excess amounts are at www.opm.gov/oca/
pay/HTML/aggregatelimitation.asp.
Certification Standards—Rules at 5 CFR Part 430 and 5 CFR Part 1330 establish
standards for OPM and OMB to assess whether performance appraisal systems make
meaningful distinctions based on relative performance for purposes of determining the
SES basic pay caps (see Senior Executive Service in Section 1 of this chapter) and the SES,
SL and ST aggregate compensation caps in an agency. “Relative performance” in this
context does not require ranking senior employees against each other; such ranking is
prohibited for the purpose of determining performance ratings. The factors require linkage between performance expectations and the agency’s mission and goals, involvement
of senior employees in their drafting, an emphasis on measurable results, performance
differentiation and high level oversight.
Agencies must apply for certification by supplying OPM with documents including a
sample of individual senior employee performance plans and ratings data for each senior
employee for the last two appraisal periods. Agencies may submit a single request for
certification of several SES and/or senior level and senior scientific and technical appraisal systems or requests for certification of each system.
Under some circumstances, provisional certification may be granted for one calendar
year with a possible one-year extension. Agencies with fully or provisionally certified
systems may set SES, SL and ST rates of basic pay up to the rate for Level II of the
Executive Schedule.
Military Retirees: Dual Compensation Rules
Military retirees who accept federal employment were subject, for many years, to
restrictions on the amount of “dual compensation” they could receive (that is, the combination of their military retirement pay and salary from their federal position). Generally, these
retirement pay restrictions applied to all retired, regular officers who became employed in
a civilian position. However, the fiscal year 2000 National Defense Authorization Act (P.L.
106-65) repealed that provision of the Dual Compensation Act effective October 1, 1999.
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2012 Federal Employees Almanac
Section 3
Annual Pay Adjustments
The Federal Wage System: Background
The federal wage system (FWS)—also known as the wage grade or prevailing rate system—is designed to make the pay of federal blue-collar workers comparable to prevailing
private sector local rates for similar positions. It is overseen by the Federal Prevailing Rate
Advisory Committee, made up of agency and labor union members and an independent
chairman, which studies matters pertaining to prevailing rate determinations and advises
OPM on pay policies for FWS employees.
The main FWS pay plan covers most trade, craft, and laboring employees in the
Executive Branch. It does not cover Postal Service employees. Special pay plans cover
certain employees in special circumstances. OPM authorizes special pay plans when
unusual labor market conditions seriously handicap agencies in recruiting and retaining
qualified employees.
Wage Grade Locality Pay Procedures
The FWS is a partnership among OPM, other federal agencies, and labor organizations.
OPM specifies procedures for agencies to design and conduct wage surveys, to construct
wage schedules, to grade levels of work, and to administer basic and premium pay for
employees.
To issue common job-grading standards for major occupations, OPM occupational
specialists follow specific steps to develop new standards and to update existing standards.
They make full occupational studies, which include onsite visits to interview employees,
supervisors, and union representatives. Specialists write standards and ask agencies and
unions for comments. Federal agencies are required to apply these standards.
OPM defines the geographic boundaries of individual local wage areas—there are
about 130 of them, with the number varying somewhat from time to time—and reviews
survey job descriptions to ensure that they are accurate and current. In addition, OPM
works with agencies and unions to schedule annual local wage surveys in each wage area.
Each FWS wage area consists of a survey area and an area of application. A survey area
includes the counties, townships, and cities where the lead agency in the wage area collects
and analyzes private sector wage data to produce a wage schedule for the wage area. An
area of application includes the survey area and nearby counties, townships, and cities
where the wage schedule also applies.
Wage grade raises are paid at differing times of a fiscal year, varying by locality. Wage
adjustments become effective in accordance with what is commonly referred to as the
45-day law. This law states that the government has 45 working days to put FWS pay
adjustments into effect after each wage survey starts. Each wage schedule has a uniform
effective date for all employees in a wage area, regardless of the agency. Normally, the
effective date is based on the pay period cycle for the largest employer in the wage area,
with the effective date set on the first day of the first pay period following the 45-day wage
survey period.
OPM does not conduct local wage surveys. For each wage area, OPM identifies a “lead”
agency—in almost all cases the Department of Defense—that employs the majority of
wage grade employees in the area. That agency is responsible for conducting wage surveys,
analyzing data, and issuing wage schedules under the policies and procedures prescribed
by OPM. Out-of-area data are used where the government has large numbers of employees in specialized occupations for which there are insufficient comparable private sector
jobs locally. All agencies in a wage area pay their hourly wage employees according to the
wage schedules developed by the lead agency.
Labor organizations also play a role in the wage determination process by providing
representatives at all levels of the wage determination process. The employee unions having the greatest number of wage employees under exclusive recognition designate two of
the five members of a lead agency’s national level wage committee. Locally, the union with
the most employees under exclusive recognition in a wage area designates one of the three
14
Chapter 1—Pay
members of each local wage survey committee. In addition, labor organizations nominate
half of the federal employees who collect wage data from private enterprise employers. A
team of one labor data collector and one management data collector visits each surveyed
employer.
Under the FWS, pay is based on what private industry is paying for comparable levels
of work in a local wage area. Employees are paid the full prevailing rate at step 2 of each
grade level. Step 5, the highest step in the FWS, is 12 percent above the prevailing rate of
pay. However, legislation may limit or delay annual wage adjustments for FWS employees.
This has been the practice in recent years, in which wage grade raises have been capped
at the national average (before 2004) or local (since 2004) General Schedule amount for
the fiscal year. Wage grade pay schedules are at www.cpms.osd.mil/wage/wage_schedules.
aspx.
GS Annual Increases: Background
The annual pay adjustment for most General Schedule employees consists of two parts:
a national, across-the-board increase, and a locality-based pay adjustment, both normally
effective at the start of the first full pay period each January.
Under Federal Employees Pay Comparability Act of 1990 (Section 529 of P.L. 101-509)
(FEPCA), the amount of the across-the-board increase is supposed to be based on a change
in the Employment Cost Index, less 0.5 percent. (The ECI is a statistical measure maintained
by the Bureau of Labor Statistics that measures changes in private sector labor costs.
Because of the lag time involved in the federal budget process, the period used is the 12
months ending with the September of the year prior to the year preceding the raise.)
Locality pay for General Schedule employees was first authorized for federal workers by
FEPCA. The locality pay increases (along with the across-the-board pay hikes) were
designed to address a gap between federal and nonfederal salaries that White House and
congressional leaders felt was imposing a hardship on employees and leaving the government unable to compete well in the labor market. The law’s goal was to bring federal pay
to within virtual comparability with the private sector—within 5 percent—over nine years
by using the ECI-based raises to keep federal employees generally apace with private sector
wage growth while the locality component closed the officially reported pay gap.
However, due to funding restrictions and disagreements regarding the data used to
compare federal versus private sector pay, locality pay adjustments have not reached the
levels indicated by the pay law’s formula. In practice, the annual federal raise has been
negotiated between Congress and the White House, typically using the pertinent ECI figure
as a starting point, with most of the total raise being designated as across-the-board pay
and the remainder as locality pay. The result has been that although there is variation in
pay by locality, the officially reported “pay gap” has not been narrowed nearly to the extent
envisioned by the law.
The system sets specific locality raises for metropolitan areas that meet certain standards
in terms of federal employment, plus a catchall “rest of the U.S.” (RUS) locality. The number
and boundaries of localities change over time.
GS employees in non-foreign areas outside the contiguous 48 states traditionally
received special allowances in lieu of locality pay. However, locality pay is being phased in
for those employees to replace those allowances over 2010-2012 (see Non-Foreign Area
Allowances and Differentials in Section 4 of this chapter). Under rules at 5 CFR Part 531,
effective in 2011 Alaska and Hawaii were established as separate locality pay areas, while
the RUS rate was applied to the other non-foreign areas. These changes had little practical
impact for 2011 and 2012 because of the federal salary schedule freeze for those two
years.
Employees in foreign areas do not receive locality pay but may be eligible for various
types of allowances. See Overseas Employment in Chapter 8, Section 1.
Note: See Chapter 8, Section 7 for information about alternative pay systems.
GS Locality Pay Procedures
The locality pay determination procedure starts with ongoing studies designed to calculate
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2012 Federal Employees Almanac
the pay gaps in each of the designated pay areas, plus the RUS locality, on which the raises
are based. These surveys are done by the Bureau of Labor Statistics of more than 100 occupational levels for pay comparability between federal and non-federal employment.
Each year the Federal Salary Council, a group made up of agency and labor union representatives and compensation experts, submits recommendations on local pay gaps to the
President’s Pay Agent, which consists of the Secretary of Labor, Director of the Office of
Management and Budget, and the Director of the Office of Personnel Management. The Pay
Agent decides the pay areas and reports on pay gaps to the President, recommending raises.
The President then formally announces the raises payable within the overall percentage set by
appropriations law, with payouts apportioned among localities according to the pay gap data.
The council also makes recommendations to the Pay Agent on issues including: setting
locality boundary lines, using criteria including local labor markets, commuting patterns and
the practices of other employers; adding to a locality an area adjacent to it; creation of new
localities or the dropping of existing ones; and the treatment of facilities that cross boundaries.
Annual reports of the Salary Council and the Pay Agent, including detailed explanations of
the methods used in comparing federal and non-federal pay, are at www.opm.gov/oca.
To determine an employee’s locality rate, agencies increase the employee’s “scheduled
Locality Raises of Recent Years
Pay Area
Atlanta
Boston
Buffalo1
Chicago
Cincinnati
Cleveland
Columbus, Ohio
Dallas–Fort Worth
Dayton
Denver
Detroit
Hartford
Houston
Huntsville
Indianapolis
Los Angeles
Miami
Milwaukee
Minneapolis
New York
Philadelphia
Phoenix1
Pittsburgh
Portland, Ore.
Raleigh, N.C.1
Richmond, Va.
Sacramento
San Diego
San Francisco
Seattle
Washington, D.C.
Rest of U.S.
2002
Raise
1.03
1.33
0.92
1.45
1.24
1.10
1.03
1.12
0.97
1.33
1.44
1.34
1.73
0.92
0.92
1.52
1.27
1.08
1.18
1.47
1.22
0.92
0.94
1.24
0.92
1.02
1.18
1.29
1.82
1.24
1.17
0.92
2003
Raise
1.04
1.30
0.93
1.41
3.24
1.09
1.01
1.12
0.99
1.30
1.40
1.31
1.67
0.93
0.93
1.47
1.25
1.08
1.18
1.43
1.21
0.93
0.94
1.23
0.93
1.02
1.20
1.25
1.77
1.24
1.17
0.93
2004
Raise
1.63
1.78
1.20
1.87
1.48
1.51
1.25
1.60
1.26
1.69
1.81
2.05
2.22
1.33
1.20
2.04
1.56
1.33
1.74
2.16
1.71
1.20
1.30
1.56
1.20
1.28
1.71
1.88
2.65
1.83
1.72
1.20
2005
Raise
1.15
1.31
0.76
0.76
0.86
1.00
0.76
1.10
0.76
1.23
1.17
1.43
1.36
0.86
0.83
1.37
1.09
0.89
1.11
1.46
1.20
0.76
0.86
1.11
0.76
0.93
1.18
1.34
1.80
1.26
1.21
0.76
2006
Raise
1.10
1.29
2.65
2.24
0.92
1.05
0.78
1.17
0.88
1.24
1.13
1.52
1.31
0.84
0.77
1.28
0.94
1.01
1.16
1.67
1.20
0.85
0.85
1.08
3.52
0.90
2.23
1.31
1.85
1.23
1.34
0.73
2007
Raise
0.70
0.83
0.56
0.54
0.26
0.48
0.13
0.83
0.39
0.45
0.45
0.96
0.23
0.22
0.14
0.70
0.40
0.71
0.75
1.32
0.70
0.51
0.31
0.41
0.54
0.23
0.93
0.98
1.30
0.56
0.94
0.11
2008
Raise
1.25
1.30
1.10
1.15
0.34
1.02
0.71
1.22
0.89
0.86
0.84
1.28
0.60
0.57
0.46
1.02
0.70
1.06
1.09
1.47
1.11
1.38
0.69
0.95
0.56
0.89
1.09
1.41
1.73
1.01
1.99
0.49
2009
Raise
1.10
1.23
0.91
1.09
0.45
0.92
0.73
1.05
0.57
0.85
0.86
0.92
0.72
1.11
0.65
1.03
0.95
0.81
0.80
1.30
0.95
1.20
0.83
0.86
0.49
0.62
1.10
1.21
1.41
1.13
1.88
0.62
2010 Cumulative
Raise Since 1994
0.74
19.29 0.82
24.80
0.59
16.98
0.63
25.10
0.27
18.55
0.52
18.68
0.54
17.16
0.72
20.67
0.34
16.24
0.49
22.52
0.53
24.09
0.74
25.82
0.43
28.71
0.56
16.02
0.45
14.68
0.65
27.16
0.58
20.79
0.45
18.10
0.60
20.96
0.76
28.72
0.54
21.79
0.68
16.76
0.51
16.37
0.64
20.35
0.26
17.64
0.37
16.47
0.67
22.20
0.75
24.19
0.80
35.15
0.75
21.81
1.12
24.22
0.30
14.16
To calculate the actual increase awarded federal employees each year, national raises (see the “General
Schedule Pay Raises Since 1958” table) must be added to the pertinent locality amounts listed here.
See text in GS Annual Increases: Background for information on areas outside the contiguous 48 states.
No raise in 2011 or 2012.
1
New locality in 2006. Part of RUS previously.
16
Chapter 1—Pay
annual rate of pay” by the locality pay percentage authorized by the President for the locality pay area in which the employee’s official worksite is located. The “scheduled annual rate
of pay” consists of: the General Schedule rate of basic pay for the employee’s grade and
step (or relative position in the rate range), excluding additional pay of any kind such as
locality payments or special rate supplements; a special base rate for law enforcement officers (LEOs) under section 403 of the Federal Employees Pay Comparability Act of 1990
(FEPCA); or for an employee in a category of positions described in 5 U.S.C. 5304(h)(1)(A)(D) for which the President (or designee) has authorized locality payments under 5 U.S.C.
5304(h)(2); the annual rate of pay fixed by law or administrative action, exclusive of any
locality-based adjustments (including adjustments equivalent to local special rate supplements under 5 CFR 530, subpart C) or other additional pay of any kind.
Locality pay is considered in applying various pay-setting rules (for example, maximum
payable rate, promotion, transfer, or pay retention). A locality rate may not be paid on top
of a retained rate, and an employee’s entitlement to a special rate is eliminated if the
employee is entitled to a higher rate of basic pay, such as a locality rate.
Locality pay is considered basic pay for purposes of: retirement deductions and benefits; life insurance premiums and benefits; premium pay and premium pay limitations;
severance pay; advances in pay; lump-sum payments for accrued and accumulated
annual leave; post differentials under 5 U.S.C. 5925(a) and danger pay allowances under
5 U.S.C. 5928 under certain circumstances; recruitment, relocation, and retention incentive payments, supervisory differentials, and extended assignment incentives; performancebased cash awards when such awards are computed as a percentage of an employee’s rate
of basic pay; GS pay administration provisions (for example, GS promotion provisions) to
the extent provided in 5 CFR Part 531, subpart B; pay administration provisions for prevailing rate employees which consider rates of basic pay under the GS pay system in setting
pay under certain circumstances; grade and pay retention to the extent provided in 5 CFR
Part 536; and for other provisions as specified in other statutes or OPM regulations, and
payments or benefits equivalent to those listed above under other legal authorities.
Eligibility for locality pay is based on where an employee works, not on where he or she
lives. Locality pay entitlement does not transfer with an employee who moves from one
pay zone to another. Relocating employees receive the rate of pay applying in their new
duty stations. Employees on details to a different pay area continue receiving their current
salaries while on such assignments. The key is the employee’s official duty station of
record—the employee receives the salary paid there.
Employees who receive special pay rates that exceed what they would get under the
locality pay formula continue to receive the full amount of their special adjustments. They do
not get extra pay due to locality increases until the locality pay in their areas exceeds any
special rates they already are receiving, at which time the special rate becomes moot.
The pay law allows, but does not require, the President to extend locality pay to certain
categories of employees not in the General Schedule. These include administrative law
judges, contract appeals board members, and Executive Branch positions where the rate of
basic pay is capped at the pay rate authorized for Level IV of the Executive Schedule. In
practice, Presidents have granted eligible employees the same locality increases as GS
employees since the system’s creation.
The President may not extend the locality payments to positions under the Executive
Schedule, senior executives, employees paid under the federal wage system, overseas
employees, or to certain other workers designated as “critical.” Employees in senior level
and senior scientific and technical positions were eligible for locality pay until a change in
pay law for them that took effect in 2009. See Other High-Level Systems in Section 1 of
this chapter.
GS Locality Pay Boundaries
The boundaries for the General Schedule locality pay system generally follow the lines of
metropolitan statistical areas and consolidated metropolitan statistical areas. (These are standard government measures used for many purposes.) In some cases, jurisdictions that lie just
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2012 Federal Employees Almanac
outside such areas are included because of the large numbers of federal employees working
there and the high rate of commuting between the core and adjacent areas—so-called “areas
of application.”
Metropolitan areas are designated because of their numbers of federal employees, not
because of the overall population. Thus, some larger cities with small federal populations fall
in the RUS locality, while some smaller cities that have a large federal presence have rates
specific to them. Following are the current boundaries for the locality pay areas. With the
exceptions of Alaska and Hawaii, the names of the localities are those of the statistical areas
that are the core of each area.
Alaska: The state of Alaska
Atlanta-Sandy Springs-Gainesville: In Georgia, Counties of Barrow, Bartow, Butts,
Carroll, Chambers, Cherokee, Clayton, Cobb, Coweta, Dawson, DeKalb, Douglas, Fayette,
Forsyth, Fulton, Gwinnett, Hall, Haralson, Heard, Henry, Jasper, Lamar, Meriwether, Newton,
Paulding, Pickens, Pike, Polk, Rockdale, Spalding, Troup, Upson, and Walton
In Alabama, Chambers County
Boston-Worcester-Manchester: In Massachusetts, Counties of Barnstable, Bristol, Essex,
Middlesex, Norfolk, Plymouth, Suffolk, and Worcester
In New Hampshire, Counties of Belknap, Hillsborough, Merrimack, Rockingham, and
Strafford
In Rhode Island, Counties of Bristol, Kent, Newport, Providence, and Washington
In Maine, part of York County
Buffalo-Niagara-Cattaraugus: Counties of Cattaraugus, Erie, and Niagara
Chicago-Naperville-Michigan City: In Illinois, Counties of Cook, DeKalb, DuPage,
Grundy, Kane, Kankakee, Kendall, Lake, McHenry, and Will
In Indiana, Counties of Jasper, Lake, LaPorte, Newton, and Porter
In Wisconsin, Kenosha County
Cincinnati-Middletown-Wilmington: In Ohio, Counties of Brown, Butler, Clermont,
Clinton, Hamilton, and Warren
In Kentucky, Counties of Boone, Bracken, Campbell, Gallatin, Grant, Kenton, and
Pendleton
In Indiana, Dearborn, Franklin, and Ohio Counties
Cleveland-Akron-Elyria: Counties of Ashtabula, Cuyahoga, Geauga, Lake, Lorain,
Medina, Portage, and Summit
Columbus-Marion-Chillicothe: Counties of Delaware, Fairfield, Fayette, Franklin, Knox,
Licking, Madison Marion, Morrow, Pickaway, Ross, and Union
Dallas-Fort Worth: Counties of Collin, Cooke, Dallas, Delta, Denton, Ellis, Fannin,
Grayson, Henderson, Hood, Hunt, Johnson, Kaufman, Palo Pinto, Parker, Rockwall,
Somervell, Tarrant, and Wise
Dayton-Springfield-Greenville: Counties of Champaign, Clark, Darke, Greene, Miami,
Montgomery, and Preble
Denver-Aurora-Boulder: Counties of Adams, Arapahoe, Boulder, Broomfield Clear
Creek, Denver, Douglas, Elbert, Gilpin, Jefferson, Larimer, Park, and Weld
Detroit-Warren-Flint: Counties of Genesee, Lapeer, Lenawee, Livingston, Macomb,
Monroe, Oakland, St. Clair, Washtenaw, and Wayne
Hartford-West Hartford-Willimantic: In Connecticut, Counties of Hartford, Middlesex,
New London, Tolland, and Windham
In Massachusetts, Counties of Franklin, Hampden, and Hampshire
Hawaii: The state of Hawaii
Houston-Baytown-Huntsville: Counties of Austin, Brazoria, Chambers, Fort Bend,
Galveston, Harris, Liberty, Matagorda, Montgomery, San Jacinto, Walker, and Waller
Huntsville-Decatur: Counties of Lawrence, Limestone, Madison, and Morgan
Indianapolis-Anderson-Columbus: Counties of Bartholomew, Boone, Brown, Grant,
Hamilton, Hancock, Hendricks, Henry, Jennings, Johnson, Madison, Marion, Montgomery,
Morgan, Putnam, and Shelby
Los Angeles-Long Beach-Riverside: Counties of Los Angeles, Orange, Riverside, San
Bernardino, Santa Barbara, and Ventura. Also includes all of Edwards Air Force Base.
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Chapter 1—Pay
Miami-Ft. Lauderdale-Pompano Beach: Counties of Broward, Miami-Dade, Monroe,
and Palm Beach
Milwaukee-Racine-Waukesha: Counties of Milwaukee, Ozaukee, Racine, Washington,
and Waukesha
Minneapolis-St. Paul-St. Cloud: In Minnesota, Counties of Anoka, Benton, Carver,
Chisago, Dakota, Goodhue, Hennepin, Isanti, McLeod, Ramsey, Rice, Scott, Sherburne,
Stearns, Washington, and Wright
In Wisconsin, Pierce and St. Croix Counties
New York-Newark-Bridgeport: In New York, Counties of Bronx, Dutchess, Kings, Nassau,
New York, Orange, Putnam, Queens, Richmond, Rockland, Suffolk, Ulster, and Westchester
In New Jersey, Counties of Bergen, Essex, Hudson, Hunterdon, Mercer, Middlesex,
Monmouth, Morris, Ocean, Passaic, Somerset, Sussex, Union, and Warren. Also includes all
of Joint Base McGuire-Dix-Lakehurst.
In Connecticut, Fairfield, Litchfield, and New Haven Counties
In Pennsylvania, Monroe and Pike Counties
Philadelphia-Camden-Vineland: In Pennsylvania, Counties of Berks, Bucks, Chester,
Delaware, Montgomery, and Philadelphia
In New Jersey, Counties of Atlantic, Burlington (except for portions there of Joint Base
McGuire-Dix-Lakehurst, all which is in the New York-Newark-Bridgeport locality), Camden,
Cape May, Cumberland, Gloucester, and Salem
In Delaware, Kent and New Castle Counties
In Maryland, Cecil County
Phoenix-Mesa-Scottsdale: Maricopa and Pinal Counties
Pittsburgh-New Castle: Counties of Allegheny, Armstrong, Beaver, Butler, Fayette,
Lawrence, Washington, and Westmoreland
Portland-Vancouver-Hillsboro: In Oregon, Counties of Clackamas, Columbia, Marion,
Multnomah, Polk, Washington, and Yamhill
In Washington, Clark and Skamania Counties
Raleigh-Durham-Cary: Counties of Chatham, Durham, Franklin, Harnett, Johnston,
Orange, Person, and Wake, and the Federal Correctional Complex at Butner, N.C.
Richmond: Counties of Amelia, Caroline, Charles City, Chesterfield, Cumberland,
Dinwiddie, Goochland, Hanover, Henrico, King and Queen, King William, Louisa, New
Kent, Powhatan, Prince George, and Sussex, cities of Colonial Heights, Hopewell,
Petersburg, and Richmond
Sacramento-Arden-Arcade-Yuba City: In California, El Dorado, Nevada, Placer,
Sacramento, Sutter, Yolo, and Yuba Counties
In Nevada, Counties of Douglas and Carson City
San Diego-Carlsbad-San Marcos: San Diego County
San Jose-San Francisco-Oakland: Counties of Alameda, Contra Costa, Marin, Monterey,
Napa, San Benito, San Francisco, San Joaquin, San Mateo, Santa Clara, Santa Cruz, Solano,
and Sonoma
Seattle-Tacoma-Olympia: Counties of Island, King, Kitsap, Mason, Pierce, Skagit,
Snohomish, Thurston, and Whatcom
Washington-Baltimore-Northern Virginia: District of Columbia
In Maryland, the Counties of Anne Arundel, Baltimore, Calvert, Carroll, Charles,
Frederick, Harford, Howard, Montgomery, Prince George’s, Queen Anne’s, St. Mary’s, and
Washington and Baltimore city
In Virginia, the Counties of Arlington, Clarke, Culpeper, Fairfax, Fauquier, Frederick, King
George, Loudon, Prince William, Spotsylvania, Stafford, Warren and the cities of Alexandria,
Fairfax, Falls Church, Fredericksburg, Manassas, Manassas Park, and the city of Winchester
In Pennsylvania, Adams and York Counties
In West Virginia, the Counties of Berkeley, Hampshire, Jefferson, and Morgan
Rest of U.S. (RUS): Portions of the contiguous states
Other Non-Foreign Areas: U.S. territories and possessions
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2012 Federal Employees Almanac
Section 4
Other Pay Increases, Allowances, or Actions
Within-Grade Increases
Within-grade increases are pay increases received by federal employees after they have
served a specified amount of time at a certain grade level and demonstrated at least an
acceptable level of performance. Within-Grade increases, which also are known as “step
increases,” are provided for by Title 5, Section 5335 of the U.S. Code. Regulations are at
5 CFR 531, subpart D.
Generally, employees who are not at the highest step of their grade are entitled to
receive the within-grade raise authorized for the next step of their position as long as they:
complete the required waiting period, have received at least a “fully successful” (or equivalent) rating for their most recent performance appraisal period, and did not receive an
equivalent increase during the waiting period. (For a definition of “equivalent increase,”
see 5 CFR 531.403 and 531.407.) They must also be occupying a permanent position,
which means a position filled by an employee whose appointment is not designated as
temporary and does not have a definite time limitation of one year or less. Permanent position includes a position to which an employee is promoted on a temporary or term basis
for at least one year.
A WGI waiting period begins upon first appointment in the federal service, receipt of
an equivalent increase, or after a period of non-pay status and/or a break in service in
excess of 52 calendar weeks.
Civilian employment in any branch of the federal government (Executive, Legislative, or
Judicial) or with a government corporation is creditable service in the computation of a
waiting period. Service credit is given for periods of annual, sick, and other leave with pay
and service under a temporary or term appointment. See 5 CFR 531.406 for special rules
regarding the crediting of military service, time in a non-pay status, time during which an
employee receives injury compensation, and certain other periods of service.
A within-grade increase is effective on the first day of the first pay period beginning on
or after the completion of the required waiting period.
Under 5 CFR 531.405, waiting periods for within-grade increases for General Schedule
grades are as follows:
• 52 calendar weeks to be advanced to steps 2, 3, and 4;
• 104 calendar weeks to be advanced to steps 5, 6, and 7; and
• 156 calendar weeks to be advanced to steps 8, 9, and 10.
For wage grade employees, the waiting periods are:
• six months to be advanced to step 2;
• 18 months to be advanced to step 3;
• two years to be advanced to step 4; and
• two years to be advanced to step 5.
For an employee who performs service under a non-GS federal pay system which is
potentially creditable towards a within-grade increase waiting period, an equivalent
increase is considered to occur at the time of any of the following personnel actions:
• a promotion to a higher grade or work level (unless the promotion is cancelled and
the employee’s rate of basic pay is redetermined as if the promotion had not occurred); or
• an opportunity to receive a within-level or within-range increase that results in (or
would have resulted in) forward movement in the applicable range of rates of basic pay,
meaning any kind of increase in the employee’s rate of basic pay other than an increase
that is directly and exclusively linked to (1) a general structural increase in the employee’s
basic pay schedule or rate range (including the adjustment of a range minimum or maximum) or (2) the employee’s placement under a new basic pay schedule within the same
pay system.
The personnel actions above must have occurred within the same pay system. That is,
even if an employee receives an increase in pay moving between pay systems, that “promotion” or other pay increase is not considered an equivalent increase.
An Office of Personnel Management memo to agencies dated June 8, 2011 (available
20
Chapter 1—Pay
at www.chcoc.gov/transmittals) stressed that within-grade increases are not automatic and
should not be granted to employees with ratings of record below the fully successful level.
Further information on eligibility requirements and payment procedures is at www.opm.
gov/oca/pay/html/wgifact.asp.
Quality Step Increases
Under 5 CFR 531, subpart E, a one-step increase to basic pay can be granted to recognize employees in the General Schedule who have received the highest available rating of
record and meet agency criteria, and provide faster than normal progression through the
step rates of the General Schedule. Unlike other forms of monetary recognition, quality
step increases permanently increase an employee’s rate of basic pay. No more than one
may be granted to an individual employee in the same 52-week period.
A quality step increase can only be granted to an employee whose most recent rating
of record is Level 5, or, if covered by an appraisal program that does not use a Level 5
summary, the employee receives a rating of record at the highest summary level used by
the program and demonstrates sustained performance of high quality significantly above
the “fully successful” level. Employees also must meet agency-specified criteria for qualifying for a quality step increase.
A separate written justification is not required. However, OPM strongly encourages
agencies to require some form of recorded justification. The agency should be able to show
that the proposed recipient has performed at a truly exceptional level to justify a permanent increase in his or her rate of basic pay.
Peer nomination for quality step increases is permissible. However, some process would
need to be set up to ensure that nominated employees meet the eligibility criteria. Also,
under Section 531.501 of Title 5, Code of Federal Regulations, final authority for granting
quality step increases remains with management.
A quality step increase does not affect the timing of an employee’s next regular withingrade increase unless the quality step increase places the employee in step 4 or step 7 of
his or her grade. In these cases, the employee becomes subject to the full waiting period
for the new step—104 weeks or 156 weeks, respectively—and the time an employee has
already waited counts towards the next increase. The employee receives the full benefit of
receiving a within-grade increase at an earlier date and has not lost any time creditable
towards his or her next within grade increase.
Pay Upon Promotion
General Schedule—An agency that promotes an employee from one General Schedule
(GS) grade to another grade must set the employee’s pay at a rate of the higher grade that
will pay at least the equivalent of a two-step increase in the grade from which the worker
was promoted (see 5 U.S.C. 5334(b) and 5 CFR Part 531.203 - 531.206, 531.214, and
531.243). When the two-step increase falls between step rates of the higher grade, the
higher of the two rates is paid. When an employee’s official worksite is changed to a new
location upon promotion where different pay schedules apply, the agency must convert the
employee to the applicable pay schedule(s) and rate(s) of basic pay for the new official
worksite based on the employee’s position of record before promotion before applying the
two-step promotion rule.
An agency may use the maximum payable rate provisions of 5 CFR 531.221 through
531.223 (see below) to set an employee’s pay at a higher rate upon promotion.
Also see www.opm.gov/oca/pay/html/promotion.asp.
Note: Competitive service GS employees in grades 5 and above must serve 52 weeks in a
grade before becoming eligible for promotion to the next grade.
Wage System—An agency that promotes an employee from one federal wage system
grade to a higher federal wage system grade must set the employee’s pay at a rate of the
higher grade that will pay at least 4 percent more than the payline rate (normally step 2) of
the grade from which promoted.
Maximum Payable Rate
The maximum payable rate rule (see 5 CFR 531.221-223 and www.opm.gov/oca/pay/
21
2012 Federal Employees Almanac
html/MPRRule.asp) allows an agency to set pay for a General Schedule employee at a rate
above the rate that would be established using normal rules, based on a higher rate of pay
the employee previously received in another federal job. The pay set under the maximum
payable rate rule may not exceed the rate for step 10 of the GS grade or be less than the rate
to which the employee would be entitled under normal pay-setting rules. The maximum
payable rate rule may be used in various pay actions, including re-employment, transfer,
reassignment, promotion, demotion, or change in type of appointment.
The highest previous rate must be a rate of basic pay received by an employee while serving on a regular tour of duty under an appointment not limited to 90 days or less, or for a
continuous period of not less than 90 days under one or more appointments without a break
in service. The highest previous rate is:
• the highest rate of basic pay previously received by an individual while employed in
a civilian position in any part of the federal government (including service with the government of the District of Columbia for employees first employed by that government before
October 1, 1987), without regard to whether that position was under the GS system; or
• the highest rate of basic pay in effect when a GS employee held his or her highest GS
grade and highest step within that grade.
If the highest previous rate is a locality rate, the underlying GS rate or a law enforcement
officer special basic rate associated with that locality rate must be used as the highest previous rate in applying the maximum payable rate rule.
An agency may use a GS employee’s special rate as the highest previous rate under
certain circumstances.
Grade and Pay Retention
The grade and pay retention provisions provide pay protection for employees whose
grade or pay is reduced due to a management action for which they are not responsible.
If an employee is under grade or pay retention prior to transferring to another agency, the
gaining agency generally must continue the employee’s grade or pay retention entitlement, absent the occurrence of one of the terminating events set forth in law and regulation, such as a break in service of one workday or more or demotion at the employee’s
request.
Grade Retention—An agency must provide grade retention (see 5 U.S.C. Chapter 53,
subchapter VI and 5 CFR Part 536) to an employee who moves from a position under a
covered pay system to a lower-graded position under a covered pay system as a result of
reduction-in-force (RIF) procedures or a reclassification process. An employee is eligible
for grade retention as a result of a RIF only if the employee has served for at least 52
consecutive weeks in one or more positions under a covered pay system at one or more
grades higher than the grade of the position in which the employee is placed. An employee is eligible for grade retention based on a reclassification of his or her position only if,
immediately before the reduction in grade, that position was classified at the existing
grade or a higher grade for a continuous period of at least one year.
An agency may provide grade retention to an employee moving from a position under
a covered pay system to a lower-graded position under a covered pay system when management announces a reorganization or reclassification decision in writing that may or
would affect the employee and the employee moves to a lower-graded position (either at
the employee’s initiative or in response to a management offer) on or before the date the
announced reorganization or reclassification is effected. An employee is eligible for
optional grade retention only if, immediately before being placed in the lower grade, the
employee has served for at least 52 consecutive weeks in one or more positions under a
covered pay system at one or more grades higher than that lower grade.
An employee is entitled to retain the grade held immediately before the action that
provides entitlement to grade retention for two years beginning on the date the employee
is placed in the lower-graded position, unless grade retention is terminated. Eligibility for
mandatory grade retention ceases or grade retention terminates if any of the following
conditions occur: the employee has a break in service of one workday or more; the
employee is reduced in grade for personal cause or at the employee’s request (based on
22
Chapter 1—Pay
the grade of the employee’s position of record rather than the employee’s retained grade);
the employee moves to a position under a covered pay system with a grade that is equal
to or higher than the retained grade (excluding temporary promotions); the employee
declines a reasonable offer of a position with a grade equal to or higher than the retained
grade; the employee elects in writing to terminate the benefits of grade retention; or the
employee moves to a position not under a covered pay system. An employee whose
grade retention benefits are terminated based on a declination of a reasonable offer of a
position the grade of which is equal to or higher than his or her retained grade may appeal
the termination to the Office of Personal Management under 5 CFR Part 536, subpart D.
An agency must treat an employee’s retained grade as the employee’s grade for almost
all purposes, including pay and pay administration and premium pay. If the employee’s
actual position of record is under a different covered pay system than the covered pay
system associated with the retained grade, the agency also must treat the employee as
being under the covered pay system associated with the retained grade for the same
purposes. For example, if an employee in a General Schedule position is placed in a
lower-graded wage system position as a result of a RIF and retains the grade of the GS
position, the agency must treat the employee as a GS employee for almost all purposes.
When an employee’s existing pay schedule is adjusted or a new pay schedule that
covers the employee’s existing position of record (for the retained grade) is established (for
example, establishment of a new special rate schedule) while the employee is entitled to
grade retention, the employee receives the same pay adjustments as any employee at the
same grade and step. An employee who is receiving a retained rate while entitled to grade
retention is entitled to 50 percent of the increase in the maximum rate of the highest
applicable rate range for the employee’s position and retained grade.
At the end of the two-year period, the grades of these employees will be lowered.
Should their pay at that time exceed the maximum rate of their new grades, they will
retain their current rate of pay except that their retained rate may not exceed 150 percent
of the top rate of the grade to which they are reduced. Thereafter, if a general federal pay
increase is awarded, the retained rate will be increased by 50 percent of the dollar
increase in the maximum rate (for example, step 10) of the employee’s grade.
Such employees are eligible to receive the full amount of any applicable locality payment, in addition to the retained rate. If or when their pay is lower than or equal to the
maximum rate of their new grades, they will be placed at the maximum rate and they will
then receive the full General Schedule pay increase.
An employee is not eligible for grade retention if the employee was serving under a
term or temporary appointment in the position from which he or she was downgraded as
a result of RIF procedures. However, the fact that the employee accepts a temporary or
term appointment in conjunction with being downgraded does not affect the employee’s
entitlement to grade retention.
Similarly, if an employee who is already under grade retention receives a temporary or
term appointment via reassignment or transfer, the employee would remain entitled to
grade retention, unless one of the terminating events specified in law and regulation
occur. (See 5 U.S.C. 5362(d) and 5 CFR 536.208.)
Also see www.opm.gov/oca/pay/html/grade_retention.asp.
Pay Retention—An agency must provide pay retention (see 5 U.S.C. Chapter 53,
subchapter VI and 5 CFR Part 536) to an employee who moves from a position under a
covered pay system whose payable rate of basic pay would be reduced (after application
of any applicable geographic conversion) as a result of: the expiration of the two-year
period of grade retention under 5 CFR Part 536, subpart B; a RIF or reclassification action
that places an employee in a lower-graded position when the employee does not meet
the eligibility requirements for grade retention under 5 CFR Part 536, subpart B; a management action that places an employee in a non-special rate position or in a lower-paid
special rate position from a special rate position; a management action that places an
employee under a different pay schedule; a management action that places an employee in a formal employee development program generally utilized government-wide, such
as upward mobility, apprenticeship, and career intern programs; the application of the
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2012 Federal Employees Almanac
promotion rule for GS or prevailing rate employees when the employee’s payable rate
of basic pay after promotion exceeds the maximum rate of the highest applicable rate
range; or a reduction or elimination of scheduled rates, special schedules, or special rate
schedules (excluding a statutory reduction in scheduled rates of pay under the General
Schedule or prevailing rate schedule). An agency may provide pay retention to an
employee not entitled to mandatory pay retention whose payable rate of basic pay otherwise would be reduced as a result of a management action.
An agency may not provide pay retention to an employee who: is reduced in grade
or pay for personal cause or at the employee’s request; was employed on a temporary
or term basis immediately before the action causing the reduction in grade or pay; is
entitled to receive a saved rate of basic pay under 5 CFR 359.705 because of removal
from the Senior Executive Service; moves from an Executive Schedule or equivalent position; or moves between positions not under a covered pay system or from a position
under a covered pay system to a position not under a covered pay system.
When the maximum rate of the highest applicable rate range for an employee’s position of record is increased while the employee is receiving a retained rate, the employee
is entitled to 50 percent of the amount of the increase in that maximum rate. This 50
percent adjustment rule applies only when the maximum rate increases are attributable
to the adjustment of the employee’s existing pay schedule or the establishment of a new
pay schedule that covers the employee’s existing position of record (for example, establishment of a new special rate schedule).
A newly established retained rate may not exceed 150 percent of the maximum payable rate of basic pay of the highest applicable rate range for the grade of the employee’s
position of record, or the rate for level IV of the Executive Schedule. In addition, a
retained rate may not exceed the rate for level IV of the Executive Schedule. The 150
percent limitation is applicable only when a retained rate is established.
A retained rate is considered to be an employee’s rate of basic pay for the purpose of
computing or applying retirement deductions, contributions, and benefits; life insurance
premiums and benefits; premium pay; severance pay; and General Schedule and prevailing rate pay administration provisions.
Eligibility for pay retention ceases or pay retention terminates if any of the following
conditions occurs (after applying any applicable geographic conversion): the employee
has a break in service of one workday or more; the employee is entitled to a rate of basic
pay under a covered pay system which is equal to or greater than the employee’s
retained rate (excluding a rate resulting from a temporary promotion or temporary reassignment); the employee declines a reasonable offer of a position in which the employee’s rate of basic pay would be equal to or greater than the employee’s retained rate;
the employee is reduced in grade for personal cause or at the employee’s request (based
on the grade of the employee’s position of record rather than the employee’s retained
grade); or the employee moves to a position not under a covered pay system.
Also see www.opm.gov/oca/pay/html/pay_retention.asp.
Superior Qualifications and Special Needs Pay-Setting Authority
Agencies may set the rate of basic pay of a newly appointed employee at a rate above
the minimum rate of the appropriate General Schedule grade because of the superior
qualifications of the candidate, or a special need of the agency for the candidate’s services (see 5 U.S.C. 5333 and 5 CFR 531.212). The authority extends to an employee
newly appointed (meaning first appointment to the federal government or reappointment
after a break in service of at least 90 days) to any General Schedule position, including
permanent and temporary positions in the competitive or excepted service.
Under the federal wage system, special qualification appointments allow an employing
agency to set pay at a rate above step 1 of the appropriate grade level for candidates with
highly specialized skills in an occupation.
Agencies must document: the superior qualifications of the individual or special
agency need for the candidate’s services that justifies a higher minimum rate; the factor(s)
and supporting documentation that were used to justify the rate at which the employee’s
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Chapter 1—Pay
pay is set; and the reason(s) for authorizing a higher minimum rate instead of or in addition to a recruitment incentive under 5 CFR Part 575, subpart A.
Also see www.opm.gov/oca/pay/html/SQAFacts.asp.
Incentive Awards and Payments
The basis for a federal agency granting an award to an individual or a group is that the
contribution made benefits the government by reducing costs or improving government
operations or services. Such awards may range from honorary recognition, such as a
certificate or medal, to a cash award. Cash awards may be based on overall high-level
performance, a special act or service, or a suggestion. Awards of over $10,000 are subject to OPM approval (except at the IRS and the Department of Defense), while those
over $25,000 are subject to Presidential approval.
Regulations governing awards are at 5 CFR 451. Also see www.opm.gov/perform.
Awards for suggestions, inventions, and special acts or services can be determined on
the basis of benefits to the government, either tangible (measurable in dollars) or intangible (such as improved services to the public). When benefits to the government can be
measured in dollars—such as reduction in production time, staff-hours, supplies, equipment, and/or space—awards sometimes are based on money saved during the first year
the suggested improvement or other contribution is in effect. Performance-Based cash
awards, because they reward overall performance of assigned duties, typically represent
a percentage of the employee’s basic pay and are granted as a lump-sum cash award.
However, there are certain restrictions that apply when these awards are calculated as a
percentage of basic pay.
In designing their award programs, agencies have a responsibility to look beyond the
award regulations themselves and make sure that the specific reward and incentive programs that are being proposed do not conflict with other laws or regulations. Examples
of other rules that can be directly related to incentive/reward schemes are procurement,
travel, Fair Labor Standards Act, and tax withholding.
Relative comparisons among individuals or groups, such as rank ordering or categorizing employees, can be used for making decisions about distributing awards. For example,
agencies may limit awards to the top three producers or teams, or limit awards to those
individuals or groups that exceeded certain goals. Agencies can also establish criteria for
categories of awards that are given only to a selected number of recipients who best fit
the criteria, although the criteria might have been met by more than one person or team.
In addition to the forms of recognition described below, some agencies have developed awards to recognize individual and organizational achievement. These are used, for
example, to emphasize the need for paperwork reduction, to improve safety, to increase
productivity, as well as to support other management objectives. Also, a number of agencies use competitive-based awards to encourage further excellence in the performance of
duties. Examples of these special awards include “Employee of the Year,” “Supervisor of
the Year,” “Writer of the Year,” etc.
A June 10, 2011, memo from the Office of Personnel Management and the Office of
Management and Budget capped the total amount an agency may spend on individual
performance awards for Senior Executive Service and for senior-level employees at no
more than 5 percent of the aggregate salaries for such employees, effective on that date
through fiscal year 2012. Performance awards and individual contribution awards for all
other employees were capped at 1 percent of aggregate salaries. The limits were applied
only to spending for individual awards including rating-based performance awards and
individual special act awards. Other awards and incentives were frozen at 2010 spending
levels, except for travel savings and foreign language awards. Recruitment, retention, and
relocation incentive payments were capped government-wide for 2011 and 2012 at the
2010 level. The memo is at www.chcoc.gov/transmittals.
Rating-Based Awards—A performance-based cash award, commonly known as a
rating-based award, is a lump-sum cash payment authorized by 5 U.S.C. 4505a and 5
CFR 451.104 of up to $10,000 without OPM approval and up to $25,000 with OPM
approval. It requires only the most recent rating of record as the sole justification for the
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2012 Federal Employees Almanac
award. Agencies may calculate the awards as a lump-sum dollar amount, a percentage of
base pay, or may use some other method such as assigning shares to rating levels.
If agencies grant rating-based awards, they must base such awards on a rating of record
of “fully successful” (or equivalent) or higher and they must ensure that the awards make
meaningful distinctions based on levels of performance. That is, employees with higher
ratings of record must receive higher dollar amounts than those with lower ratings of
record. For example, an award program must grant GS-9s who receive an outstanding
rating a higher dollar amount than GS-9s who receive a fully successful rating. Agencies
may use their discretion whether to pay rating-based awards as a lump-sum dollar amount
or a percentage of base pay. Agencies using pass/fail programs must ensure that employees
who receive a rating-based award for a “pass” rating performed at the equivalent of fully
successful performance or better.
Agencies have the flexibility to establish their own policies, which may include specifying the rating level(s) needed to receive a rating-based award. There is no entitlement to
any award.
Group Incentive Awards—Agencies can support continuing progress toward organizational goals by using gainsharing or goalsharing incentive programs. Gainsharing awards
are designed to promote higher levels of performance through the involvement and participation of employees. As productivity improves, employees share in a portion of the
financial gain. Goalsharing awards are triggered by reaching goals established for the
group or organization as a whole.
Suggestion Programs—Some agencies have programs to reward employee ideas and
innovations such as saving time, materials, or paperwork; simplifying procedures or processes; or improving services, although suggestion award programs are not specifically
required by law or regulation. However, Congress established the suggestion award
authority as the foundation of all employee incentive award authorities. Further, the program is rooted in a presumption that government-wide—not just agency-wide—benefits
are to be determined and rewarded. Therefore, agencies are expected to cooperate when
suggestions are referred to them from other agencies for evaluation and possible adoption,
even if the receiving agency has curtailed formal procedures for its own employees.
Other Cash Awards—Federal agencies also can make other types of cash awards to
recognize exceptional performance or a significant achievement on the part of an individual employee or group of workers. Types of recognition and examples of the kind of
contributions that can earn recognition include:
• Special Act or Service Awards—These usually are lump-sum cash awards to recognize
specific accomplishments that are in the public interest and have exceeded normal job
requirements. Special act or service awards are based on contributions such as work on a
special project, performance exceeding job requirements on a particular assignment or
task, a scientific achievement, or an act of heroism. These awards can be for individual or
group contributions. On-the-spot awards are special act or service awards which normally
provide immediate recognition for employees.
• Quality Step Increases—Quality step increases are one-step increases to basic pay as
a form of performance recognition. See Quality Step Increases, above.
• Presidential Rank Awards—Members of the Senior Executive Service (SES) compete
for Meritorious or Distinguished Rank Awards of 20 or 35 percent of basic pay (senior
executives are also eligible for performance bonuses of 5 to 20 percent of their basic pay).
See Awards and Bonuses in Chapter 8, Section 9. Agency heads may nominate senior level
(SL) or senior scientific or technical (ST) employees to be awarded the ranks of Distinguished
Senior Professional for sustained extraordinary accomplishment and Meritorious Senior
Professional for sustained accomplishment, in a manner similar to the nominations of
career members of the SES. The eligibility criteria are consistent with criteria for the SES.
To be eligible for a rank award, an SES, SL or ST employee must hold a career appointment and be an employee of the agency on the nomination deadline and have at least
three years of career or career-type federal civilian service at that level (service need not
be continuous but does not include non-career, limited term, or limited emergency
appointments).
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Chapter 1—Pay
Agencies nominate individuals for rank awards in accordance with OPM criteria and
instructions. OPM reviews the recommendations and recommends to the President which
of those individuals should receive rank awards. Each agency may nominate up to 9 percent of its SES, SL or ST career appointees for rank awards. During any fiscal year the
number of employees awarded the rank of Meritorious may not exceed 5 percent of the
total number of career appointees in those positions and the number of employees
awarded the rank of Distinguished may not exceed 1 percent.
Receipt of the Distinguished rank award entitles the individual to a lump-sum payment
of an amount equal to 35 percent of annual basic pay, in addition to the basic pay paid
under 5 U.S.C. 5376 or 5382, or any award paid under 5 U.S.C. 5384. Receipt of the
Meritorious rank award entitles the individual to a lump-sum payment of an amount equal
to 20 percent of annual basic pay, in addition to the basic pay paid under 5 U.S.C. 5376
or 5382, or any award paid under 5 U.S.C. 5384. Payment of rank awards must comply
with the restrictions on annual aggregate compensation at 5 U.S.C. 5307.
Cash Surrogates—Cash surrogates are an option for cash awards, subject to the limitations and requirements that apply to cash awards. Examples of cash surrogates are “award
vouchers” created by the agency itself that can be exchanged for currency through its
imprest fund and “gift cheques” that are purchased through a vendor and that are easily
and widely redeemable for cash, not merchandise. Recipients of cash surrogates must
have the same freedom and control over how that award may be used as they would have
over any currency or U.S. Treasury check they might otherwise receive as a cash award,
including the option of saving the money or turning it over to any third party (for example,
a charity or other individual).
Time-off Awards (TOAs)—A TOA is a grant of time off without charge to leave or loss
of pay to an employee as an individual or member of a group. A TOA may not be converted to cash.
Technically, there is no legal bar to offering employees a choice between cash and
time-off award. However, OPM strongly recommends that agencies not offer such a
choice. To do so would put the employee who opts for time-off in “constructive receipt,”
for tax withholding purposes, of the cash award offered. Appropriate withholding based
on the cash award offered would have to be done at the time the choice is offered (that
is, when the employee reasonably would be expected to receive the cash), rather than
based on the pay associated with the time off when the time off is actually taken.
Training or Equipment as an Award—An agency may provide training or purchase
equipment as a form of award within a recognition program that contemplates such forms
of recognition. It would be subject to all relevant training and procurement regulations,
limitations, and requirements.
Honorary Awards—An honorary award is a gesture of respect given to an employee
to recognize his or her performance and value to the organization. Honorary awards are
generally symbolic. Many agencies include as part of their overall incentive awards programs a traditional form of high-level, formal “honor awards.” A listing of honor awards
sponsored by a variety of federal and nonfederal organizations is at www.opm.gov/
perform/honorawd.asp.
Often, such honor award programs do not use monetary recognition, but emphasize
providing formal, symbolic recognition of significant contributions and publicly recognizing employees as examples for other employees to follow. They typically involve formal
nominations, are granted in limited numbers, and are approved and presented by senior
agency officials in formal ceremonies. The items presented, such as engraved plaques or
gold medals, are principally symbolic in nature. Many honorary awards are provided
along with cash or time-off awards. As mementos, such non-monetary honorary award
items may be of only nominal value (for example, simple certificates in inexpensive
frames, lapel pins, paperweights). Nonetheless, all items used as honorary awards must
meet specific criteria.
Informal Recognition Awards—Informal recognition awards are a type of award that
may be given to reward performance that otherwise might not merit an award such as
cash, time-off, or an honorary award. Agencies use these awards to provide more frequent
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2012 Federal Employees Almanac
and timely informal recognition to employees. Items presented as informal recognition
awards must be of nominal value and must take an appropriate form to be used in the
public sector and to be purchased with public funds.
Referral Bonuses—Agencies can use the incentive awards authority (5 U.S.C. 4503
and 5 CFR Part 451) to establish a referral bonus program that provides incentives to
employees who bring new talent into the agency. A referral bonus goes to the person
who refers a job applicant who is selected and successfully employed, not to the new
employee.
Referral bonuses can take the form of cash awards or grants of paid time off. For
example, a certain amount might be granted for making a referral, an increased amount
if the person is hired and an additional increase if the person works for the agency for a
defined period. Amounts also may increase for making subsequent referrals.
Each agency must determine whether and under what circumstances using referral
bonuses is appropriate. OPM guidance says these bonuses might be suitable for employees whose regular job duties do not include recruitment, but who promote employment
with their agency and refer potential new employees to their human resources offices. An
agency must ensure that its referral bonus program does not violate the legal requirements
for broad public awareness of job openings; recruitment from appropriate sources to seek
a workforce drawn from all segments of society; and hiring selections based solely on
relative ability, knowledge, and skills after a fair and open competition that assures equal
opportunity to all candidates. See www.opm.gov/perform/referralbonuses.asp.
Agencies may recognize the outstanding accomplishments of their employees whose
job is to recruit and hire new employees through their regular awards processes.
Non-Foreign Area Allowances and Differentials
Section 5941 of Title 5, United States Code, authorizes federal agencies to pay cost-ofliving allowances (COLAs) of up to 25 percent of basic pay to certain employees stationed
in Alaska, Hawaii, Guam and the Northern Mariana Islands, Puerto Rico, and the U.S.
Virgin Islands. The rates for these “non-foreign area” COLAs are based on periodic surveys
by the Office of Personnel Management comparing living costs of workers in allowance
areas with living costs of workers in Washington, DC Most of the affected employees are
in the General Schedule, but the program also applies to employees in several high-level
salary systems such as the Senior Executive Service as well as to employees paid under the
Postal Service Schedule.
P.L. 111-84 of 2009 ordered replacing over 2010-2012 these non-foreign COLAs with
locality pay under the same system applying to employees in the contiguous 48 states, with
a guarantee that employees would not lose ground financially. The COLAs are being
phased out on a schedule intended to preserve the take-home salaries of those employees
as their nontaxable COLA is replaced with taxable locality pay. For every dollar an employee receives in locality pay, 65 cents of his or her non-foreign COLA pay will be removed.
A non-foreign COLA, therefore, continues to be paid, but the allowance shrinks each year
The rates are:
Anchorage, Alaska*....................................................................................... 23%
Fairbanks, Alaska*.......................................................................................... 23%
Juneau, Alaska*............................................................................................. 23%
Rest of the State of Alaska............................................................................. 25%
Honolulu County, Hawaii.............................................................................. 25%
Hawaii County, Hawaii.................................................................................. 18%
Kauai County, Hawaii.................................................................................... 25%
Maui and Kalawao Counties, Hawaii
25%
Guam and the Northern
Mariana Islands.............................................................................................. 25%
Puerto Rico.................................................................................................... 14%
U.S. Virgin Islands.......................................................................................... 25%
* Including city and 50-mile radius by road.
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Chapter 1—Pay
so that the employee’s post-tax pay is equal to or higher than what the employee’s takehome pay would have been if the transition did not occur.
Under rules at 5 CFR Part 531, effective in 2011, Alaska and Hawaii were established
as separate locality pay areas, while the “rest of the U.S.” locality rate was applied to the
other non-foreign areas.
Under the law, certain employees of the Postal Service did not convert to locality pay
and they continue to receive COLAs, but calculations of COLAs for those employees equal
the greater of either the COLA in effect in 2009 or the locality pay applicable there currently for federal employees who converted to locality pay. Other special provisions affect
employees who receive special rates, members of the Senior Executive Service, and those
in agency-specific personnel systems.
A non-foreign area COLA does not count toward retirement benefits but locality pay
does. Employees who retire within the phase-in period may elect to treat any amount of
COLA they receive during that period as part of their base pay as if it were locality pay,
although they have to pay additional retirement contributions on that amount. See Nonforeign Area Service in Chapter 3, Section 4.
Non-Foreign post differentials are allowances of up to 25 percent of the employee’s
basic pay, paid to compensate employees required to work in areas where there are
extraordinarily difficult living conditions, excessive physical hardship, or notably unhealthful conditions. The current rates are 25 percent in American Samoa and its island group,
Johnston Island, Sand Island, Midway Islands and Wake Island, and 20 percent in Guam
and the Northern Mariana Islands. Where OPM has authorized both a cost-of-living allowance and a post differential, the government pays the full COLA and a partial differential,
up to 25 percent of the employee's hourly rate of basic pay.
Post differentials are subject to income tax. They do not count for federal retirement
purposes. See www.opm.gov/oca/cola/postdifferential.asp.
Extended Assignment Incentives
Under 5 U.S.C. 5757 and 5 CFR 575, subpart E, agencies may pay an extended assignment incentive (EAI) to eligible federal employees assigned to positions located in a territory or possession of the United States, the Commonwealth of Puerto Rico, or the
Commonwealth of the Northern Mariana Islands to assist the agencies in retaining experienced, well-trained employees in these locations for a longer period than the employee’s
initial tour of duty.
The incentive is payable if the employee has completed at least two years of continuous
service in one of those areas and the agency determines that replacing the employee would
be difficult and that it is in the best interest of the government to encourage the employee
to complete a specified additional period of employment with the agency in one of the
covered locations. The employee must sign a written service agreement to complete a
specified period of additional employment; the total amount of service an employee may
perform in a particular territory, possession, or commonwealth under one or more EAI
service agreements with an agency may not exceed five years.
The payment may not exceed the greater of 25 percent of the annual rate of basic pay
or $15,000 per year in the service period. An EAI is not considered part of an employee’s
rate of basic pay for any purpose. See www.opm.gov/oca/pay/html/EAIFacts.asp.
Danger Pay
The Secretary of State authorizes danger pay under 5 U.S.C. 5928 for locations in foreign areas in which civil insurrection, terrorism, wartime conditions and similar conditions
threaten physical harm or imminent danger to the health or well being of employees.
Danger pay is authorized at rates of up to 35 percent, in 5 percentage point increments.
Danger pay is payable to eligible civilian employees accompanying military members
authorized to receive imminent danger pay by the Secretary of Defense. This allowance is
the same amount paid to uniformed military personnel, calculated on a daily basis. A list
of currently authorized danger pay allowances is at http://aoprals.state.gov/web920/
danger_pay_all.asp.
Under 5 CFR 531, a locality rate of pay is considered basic pay for the purpose of com-
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2012 Federal Employees Almanac
puting danger pay allowances for certain employees temporarily assigned to work in foreign areas for which the Department of State has established a danger pay allowance.
Foreign Post (Hardship) Differential
The State Department authorizes a foreign post differential under 5 U.S.C. 5925 when
it determines that an overseas location involves extraordinarily difficult living conditions,
excessive physical hardship, or notably unhealthful conditions affecting the majority of
government employees assigned to the location. Living costs are not considered in the differential determination.
A foreign post differential is authorized at rates of up to 35 percent, in 5 percentage
point increments. The differential is payable as a percentage of pay, including applicable
locality rates, to individuals officially assigned to a post who are also eligible for a living
quarters allowance. Additionally, the differential is payable to employees on detail to such
posts after 42 consecutive days at the post. A list of currently authorized foreign post differentials is at http://aoprals.state.gov/web920/hardship.asp.
Foreign Language Proficiency Pay
Some departments and agencies offer foreign language proficiency pay—in some cases,
the programs are known by different but similar names—for employees in positions in
which proficiency in a language is important to the duties. Terms of the programs vary. In
some cases employees are required to pass oral or written proficiency tests and have their
fluency rated on a scale.
The pay is given at management’s discretion and may be awarded in terms of a dollar
amount per pay period or as a percentage of basic pay up to a cap, commonly 5 percent.
The amount can vary according to the level of proficiency, the level of need for proficiency
in that language, the difficulty in recruiting and retaining proficient speakers, the extent to
which the position requires proficiency, the number of languages in which the employee
is proficient, and other factors. In some cases certain terms of the programs are subject to
collective bargaining agreements.
The Defense and Homeland Security departments as well as certain intelligence agencies make the greatest use of such pay. The pay is not considered basic pay for any purposes and thus does not count toward retirement, insurance, or any other benefit related
to pay.
Hostile Fire Pay
Title 5, U.S.C. 5949 provides the head of an executive agency with discretionary authority to pay an employee hostile fire pay for any hostile action that took place on or after
September 11, 2001. The law provides agencies with the authority to pay hostile fire pay
at a rate of $150 for any month in which the employee is:
• subject to hostile fire or explosion of hostile mines;
• on duty in an area in which the employee was in imminent danger of being exposed
to hostile fire or explosion of hostile mines and in which, during the period of duty in that
area, other employees were subject to hostile fire or explosion of hostile mines; or
• killed, injured, or wounded by hostile fire, explosion of hostile mine, or any other
hostile action.
Agencies may pay hostile fire pay to an employee hospitalized for the treatment of an
injury or wound for not more than three additional months during which the employee
is hospitalized. Section 5949 prohibits the payment of hostile fire pay for periods during
which an employee receives post differentials, because of exposure to political violence,
or danger pay allowances.
Evacuation Payments
Evacuation payments (see 5 U.S.C. 5522-5524, 5 U.S.C. 5526-5527, and 5 CFR Part
550, subpart D) are made to employees or their dependents, or both, who are ordered to
be evacuated from or within the United States and certain non-foreign areas in the national interest because of natural disasters or for military or other reasons that create imminent
danger to the lives of the employees, their immediate family, or their dependents (note:
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Chapter 1—Pay
under a Presidential memo of June 2, 2010, employees’ same-sex domestic partners and
their children qualify). The applicable non-foreign areas are listed in the definition of
“United States area” in 5 CFR 550.402. Evacuation payments may be made to dependents
16 years of age or older, or to designated representatives, only with prior written authorization from the employee.
When an employee has been ordered to evacuate, agency heads may make advance
payments of pay, allowances, and differentials to cover up to 30 calendar days, provided
the agency head or designated official determines the payment is required to defray immediate expenses incidental to the evacuation. The initial evacuation payment may cover up
to 60 days of pay, allowances, and differentials, including the period covered by the
advance payment.
Evacuation payments may be made to cover a total of up to 180 calendar days (including the number of days for which payment has already been made) when employees
continue to be prevented from performing their duties by an evacuation order. Employees
may also receive additional allowance payments for travel expenses and subsistence
expenses (per diem) to offset added expenses they incur as a result of their evacuation or
the evacuation of their dependents. (See 5 CFR 550.405.)
Not later than 180 days after the effective date of the order to evacuate, or when the
emergency or evacuation is terminated, whichever is earlier, an employee must be
returned to his or her regular duty station or reassigned to another duty station. Also see
www.opm.gov/oca/pay/html/EVAC.asp.
Under 5 CFR 550.409(b), an agency may provide evacuation payments to an employee
who is ordered to evacuate from his or her regular worksite and directed to work from
home or an alternative location mutually agreeable to the agency and the employee during
a pandemic health crisis. An employee need not have a telework agreement when directed to work from home. Policy on payments in this situation is at www.opm.gov/oca/pay/
html/pandevac.asp.
A separate authority applies to employees in foreign areas paid under Chapter 600 of
the Department of State Standardized Regulations at http://aoprals.state.gov/web920.
Evacuation payments consist of a subsistence allowance to help cover the costs of lodging,
meals, laundry, and dry cleaning; local transportation at the safe haven; and an air freight
replacement allowance if air freight is not shipped from post. Subsistence amounts are
based on the safe haven’s per diem rate if the family is occupying commercial quarters, and
vary based on family size. Meals and incidental expenses payments decrease over time.
Evacuation payments terminate no later than 180 days after the evacuation order is issued.
Generally, the United States is designated as the official safe haven, and evacuees are
required to return to the U.S. to receive allowances. An employee may request designation
of an alternate foreign safe haven for special family needs but approval is not guaranteed.
Supervisory Differentials
A supervisory differential may be paid to a supervisor under the General Schedule
where a subordinate not under the General Schedule, such as a federal wage system
employee, otherwise would be earning an equal or greater salary. The supervisor must be
providing direct, technical supervision of the subordinate to qualify. Regulations at 5 CFR
475.405 define what types of compensation are used in the comparison.
The differential may not exceed 3 percent of the subordinate’s salary and must be
ended when the continuing pay of the supervisor (not including the supervisory differential)
exceeds the continuing pay of the highest paid subordinate whose position is not under the
General Schedule. The differential also may be terminated or reduced when the agency
deems it appropriate under its procedures, such as when the subordinate leaves his or her
position or suffers a pay reduction. The reduction or termination of a supervisory differential may not be appealed.
A supervisory differential is not considered part of the supervisor’s rate of basic pay for
any purpose.
Physicians Comparability Allowances
Agencies may pay physicians comparability allowances to recruit and retain highly
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2012 Federal Employees Almanac
qualified government physicians. In return, the physician must sign at least a one-year
service agreement with the agency. The head of an agency determines the size of the allowance, which may not exceed $14,000 yearly for a physician who has served as a government physician for 24 months or less or $30,000 annually for a physician who has served
as a government physician for more than 24 months. Office of Management and Budget
approval is required. Physicians comparability allowances are basic pay for retirement
purposes if certain criteria are met (5 U.S.C. 5948; 5 CFR Part 595). Also see www.opm.
gov/oca/pay/html/pca.asp.
Uniform Allowances
Under 5 U.S.C. 5901(a), when federal employees are required to wear a uniform in the
performance of their duties—such as police officers, firefighters, customs and border patrol
officers and some medical personnel—agencies must pay a uniform allowance, typically of
up to $800 a year, or furnish a uniform at a cost not to exceed a similar amount. Agencies
have discretionary authority to establish a higher initial (but not recurring) uniform allowance under 5 CFR 591.104. Also see www.opm.gov/oca/pay/html/uniform.asp.
Remote Worksite Allowances
Under 5 U.S.C. 5942, an agency must pay a remote worksite allowance, also known as
remote duty pay, of up to $10 a day to an employee who is assigned to non-temporary
duty at a site that the agency determines is so remote from the nearest established communities or suitable places of residence as to require an appreciable degree of expense,
hardship, and inconvenience beyond that normally encountered in metropolitan commuting. Rules at 5 CFR 591.306(a) also provide for payment of the allowance where daily
commuting is impractical because the location of the duty post and available transportation
are such that agency management requires employees to remain at the duty post for their
workweek as a normal and continuing part of the conditions of employment.
Garnishment
What is Subject to Garnishment—Under 5 CFR Parts 581 and 582, the types of active
employee payments that are subject to garnishment pursuant to an order for child support,
alimony, or commercial garnishment include virtually all forms of pay, ranging from basic
pay to various forms of premium pay, special allowances and awards, overtime, differentials, special pay adjustments, incentives, and severance pay. Also subject to garnishment
are retirement benefits, dependents’ or survivors’ benefits, refunds of retirement contributions, employee and government contributions to the Thrift Savings Plan, and injury compensation payments.
However, certain types of payments are not subject to garnishment. These include
compensation for death under any federal program, benefit payments under “black lung”
programs, and Department of Veterans Affairs-paid pensions and service-connected disability or death benefits. Also exempt are reimbursements for expenses incurred by an
individual in connection with employment such as travel, transportation, relocation and
storage expenses, per diem, along with such allowances and payments as post differentials
and allowances, and allowances for uniforms, living in foreign areas, education for dependents, maintenance, home service transfer, quarters, and remote worksites.
In determining the amount of disposable income that can be garnisheed, certain mandatory payments are excluded. These include payments for debts owed to the United
States, mandatory retirement deductions, Medicare deductions, health insurance premiums, and deductions for Basic (but not optional) life insurance under the Federal
Employees’ Group Life Insurance program.
Funds deducted to pay for benefits under the Federal Employees Dental and Vision
Insurance Program are excluded when calculating pay subject to garnishment because 5
CFR 581.105(d) and 5 CFR 582.103(d) exclude amounts which are “deducted as health
insurance premiums.” However, funds deducted and deposited in a health savings account
are not excluded because an HSA is not considered insurance but rather a savings product
that offers consumers another way to pay for their health care (see IRS Publication 969).
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Chapter 1—Pay
Therefore, monies allotted by employees to fund HSAs are included when calculating pay
subject to garnishment.
Additional restrictions apply to certain federal benefit payments, including federal retirement and Social Security benefits, that are paid by direct deposit. When a financial institution receives a garnishment order against an account holder who receives such benefits,
the institution must leave in the account an amount equal to the lower of: the account
balance at that time or the sum of such benefit payments deposited to the account in the
prior two months. The provisions affecting federal retirement are at 5 CFR Parts 831 and
841, and those affecting Social Security are at 20 CFR Parts 404 and 416. The same policy
applies to certain veterans’ benefits under 38 CFR Part 1.
Debt Owed to the Government—Agencies are allowed to make deductions, within
certain limits, from an employee’s wages to help pay a debt owed by the worker to the
federal government. Generally, under section 5514 of Title 5, U.S. Code, as amended by
the Debt Collection Act of 1982, P.L. 97-365, federal agencies are authorized to liquidate
an employee’s government indebtedness by making installment deductions, or requiring
the debtor’s employing agency to make such deductions, in amounts not to exceed 15
percent of the employee’s disposable pay. Section 652 of Public Law 110-181 extended
this authority to employees of a non-appropriated fund instrumentality of the Department
of Defense or United States Coast Guard.
Before any deductions may be withheld, however, the agency generally must notify the
employee of its intention to collect the debt by setoff. Before making or requiring such
debt-payment deductions, an agency generally must also provide notification of the
employee’s right to request reconsideration or a waiver of the indebtedness, and of the
employee’s right to an administrative hearing conducted by an individual who is not subject to the control of the head of the claiming agency. (If an agency chooses this alternative,
the hearing is before an administrative law judge.)
In the event a debtor-employee retires or resigns or otherwise terminates employment
before the amount of the indebtedness is completely collected, agencies are authorized to
make deductions from later payments of any nature due the individual (for example, from
lump-sum payments for leave or retirement contributions; see 5 CFR §550. 1101 et seq.).
The agency head may (with some exceptions) waive the repayment of an erroneous
overpayment of pay or allowances (under 5 U.S.C. §5584). Employees also may question
the validity of their indebtedness by filing an appeals claim.
In addition, under §124 of P.L.97-276, the government is authorized to enforce a civil
judgment against a federal employee involving debts owed the U.S. government through a
setoff action against the worker’s pay, without having to resort to the administrative procedures applicable to a debt collection action under 5 U.S.C. §5514. The limitation on offsets
of pay under a civil judgment pursuant to §124 is 25 percent of an employee’s pay. Should
the employee retire, resign, or terminate employment before the collection is completed,
deductions may be made from later payments due the individual, such as lump-sum leave
or retirement payments.
Regulations at 5 CFR §831.1801 govern setoff of an agency debt against money payable
to the debtor from the Civil Service Retirement and Disability Fund. OPM’s regulations
require certification by the agency claiming the debt that it has complied with the applicable administrative procedures before the setoff can be carried out. Under current regulations, no more than 50 percent of a retiree’s net annuity will be withheld, except in cases
of fraud or misrepresentation.
Regulations at 5 CFR Part 831, subpart R govern recovery of an overpayment of annuity. In such a situation, OPM generally notifies the annuitant of the amount of the overpayment, the reason(s) it occurred, the right to request reconsideration, waiver and/or compromise, and entitlement to a hearing, if any exists. There is no set limitation on the
amount that may be deducted from annuity payments to recover an overpayment of
annuity.
Some departments and agencies participate in the Treasury Offset Program, www.fms.
treas.gov/debt/top.html, a centralized debt collection program to assist agencies in the collection of delinquent debts owed to the federal government. Delinquent account informa-
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2012 Federal Employees Almanac
tion is reported to the Department of Treasury on accounts having no payments received
within 62 days of the date of the initial debt notification letter. Under the program, delinquent accounts are subject to administrative offset of government funds due individuals
from various sources such as federal income tax refunds, federal salary offset, and payments
from other government agencies. Administrative offset is authorized of 100 percent of the
balance of the debt from federal income tax refunds, and 15 percent of monthly disposable
income from federal annuity and Social Security Administration payments.
Child Support or Alimony—To enforce alimony and child support obligations, the
salaries of federal and postal employees, as well as retirees’ annuity payments and Social
Security benefits, are subject to garnishment. See Chapter 7, Section 6.
General or Commercial Garnishment—Federal employee pay can be docked to satisfy private debts and state and local tax indebtedness, under 5 U.S.C. 5520a and 15 U.S.C.
1673 (see 5 CFR Part 582). Under the law, federal employees are entitled to similar legal
protections (except for cases of tax indebtedness) afforded private sector workers under the
Consumer Credit Protection Act. That law specifies legal procedures to be followed and
places limits on the percentage of an employee’s salary that can be dunned.
Agencies must honor orders (writs) from any “court of competent jurisdiction,” in most
cases meaning state courts.
A writ must be served on the proper agency officials, who will have to notify the
employee within 15 days. Agencies will have to honor writs for the collection of any legal
debt of the employee and for recovery of attorney’s fees, interest and court costs.
In most cases, such orders specify the total amount that must be taken from the employee’s salary. Agencies will have to honor those orders up to the limits set by the consumer
protection law. Generally this is up to 25 percent of net salary. In some places, however,
state law sets different limits.
The percentage limits apply after mandatory deductions such as retirement contributions and taxes are taken out. Virtually all forms of pay except for suggestion awards will be
counted toward the salary base.
Child support and alimony orders take priority over orders for collecting private, nonfederal debts. If more than one writ is being served, the first one will take priority.
The law applies to Executive Branch, postal, Legislative, and Judicial employees, but not
to retiree annuities. Annuities can be docked only for child support, alimony and debts
owed to the government.
Back Pay Awards
Regulations at 5 CFR Part 550, subpart H, carry out section 5596 of Title 5, United
States Code, which authorizes the payment of back pay, interest, and reasonable attorney
fees for the purpose of making an employee financially whole when the employee is found
by an appropriate authority—such as an appeals agency or a decision arising from an unfair
labor practice complaint or a grievance—to have been affected by an unjustified or unwarranted personnel action that resulted in the withdrawal, reduction, or denial of all or part
of the pay, allowances, and differentials otherwise due to the employee.
In such cases, the agency must compute for the period covered by the corrective action
the pay, allowances, and differentials the employee would have received if the unjustified
or unwarranted personnel action had not occurred. The amount is reduced by deductions
of the type that would have been made from the employee’s pay such as retirement contributions, Social Security, Medicare and other taxes, and insurance premiums.
Interest begins to accrue on the date or dates (usually one or more pay dates) on which
the employee would have received the pay, allowances, and differentials if the unjustified
or unwarranted personnel action had not occurred. Applicable interest rates, which are set
quarterly, and a calculator program are at www.opm.gov/oca/pay/backpay/backpay.asp.
Section 5
Pay Flexibilities
Agencies have authority to provide additional direct compensation in certain circumstances to support their recruitment, relocation, and retention efforts. Some of these are at
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Chapter 1—Pay
an agency’s sole discretion while others require approval of the Office of Personnel
Management and/or the Office of Management and Budget. The following summarizes the
main compensation flexibilities.
Agency-Based Discretionary Authorities
Highest Previous Rate—Upon re-employment, transfer, reassignment, promotion,
demotion, or change in type of appointment, agencies may set the rate of basic pay of an
employee by taking into account a rate of basic pay previously received by the individual
while employed in another civilian federal position (with certain exceptions). This rate may
not exceed the maximum rate of the employee’s grade. (5 U.S.C. 5334(a); 5 CFR 531.202
(definition of “highest previous rate”) and 531.203(c) & (d) for General Schedule employees.
See 5 U.S.C. 5343 and 5 CFR 532.405 for the federal wage system.)
Premium Pay, Exceptions to the Biweekly Limitation—An agency may make an
exception to the GS-15, step 10, biweekly limitation on premium pay during emergencies
involving a direct threat to life or property. If the agency determines that such an emergency exists, the premium pay paid to an employee performing work in connection with
that emergency, when added to the employee’s rate of basic pay (including any locality
payment or special salary rate), must not cause his or her total pay to exceed the rate for
GS-15, step 10 (including any locality payment or special salary rate), on a calendar year
basis. (Note: A different limitation applies to law enforcement officers. This limitation does
not apply to overtime pay earned under the Fair Labor Standards Act, or to the federal
wage system.) (5 U.S.C. 5547(b); 5 CFR 550.106)
Superior Qualifications/Special Needs—Agencies have the authority to set pay for
new appointments or reappointments of individuals to General Schedule positions above
step 1 of the grade based on superior qualifications of the candidate or a special need of
the agency. Under the federal wage system, special qualification appointments allow an
employing agency to set pay at a rate above step 1 of the appropriate grade level for candidates with highly specialized skills in an occupation. Agencies must have documentation
and record keeping procedures on making superior qualifications or special qualifications
appointments in place to make such appointments. (5 U.S.C. 5333; 5 CFR 531.203(b) for
General Schedule employees. See 5 U.S.C. 5341 and 5 CFR 532.403(b) for the federal
wage system.) Also see Superior Qualifications and Special Needs Pay-Setting Authority in
Section 4 of this chapter.
Travel and Transportation Expenses for Interviews and/or New Appointments—An
agency, at its discretion, may pay the travel or transportation expenses of any individual
candidate for a pre-employment interview or pay travel and transportation expenses for a
new appointee to the first post of duty. For either payment, a decision made for one
vacancy does not require a like decision for any similar future vacancies. Before authorizing
any payments, the agency must consider factors such as availability of funds, desirability of
conducting interviews, and feasibility of offering a recruiting incentive. (5 U.S.C. 5706b; 5
CFR Part 572)
Waiver of Dual Pay Limitation—Agencies have authority to waive the limitation (40
hours per week) on aggregate basic pay, when “required services cannot be readily obtained
otherwise” and “under emergency conditions relating to health, safety, protection of life or
property, or national emergency.” This authority enables an agency to employ a full-time
federal employee in a second job or to schedule a part-time agency employee with multiple
part-time appointments to work more than an aggregate of 40 hours during a week. The
agency pays overtime only when an individual works more than eight hours per day or 40
hours per week for the same agency. (5 U.S.C. 5533; 5 CFR Part 550, subpart E)
Authorities Available with OPM and/or OMB Approval
Critical Position Pay Authority—Under 5 CFR Parts 531, 535, and 536, the Office of
Personnel Management, in consultation with the Office of Management and Budget, may
increase the rate of basic pay for a position subject to the limit on aggregate compensation
established by 5 U.S.C. 5307 and 5 CFR Part 530, subpart B. Under this authority, employing agencies request such authority and OPM can approve rates of pay typically up to the
rate for Level II of the Executive Schedule—Level I in exceptional circumstances and above
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2012 Federal Employees Almanac
Level I in rare cases. Critical position pay may be authorized for a position that requires
expertise of an extremely high level in a scientific, technical, professional, or administrative
field and that is critical to the agency’s successful accomplishment of an important mission.
It may be granted only to the extent necessary to recruit or retain an individual exceptionally well qualified for the position and only if an agency documents why it could not otherwise fill the position with someone who could perform the duties in a manner sufficient
to fulfill the mission. This authority applies to General Schedule employees, senior-level
and senior scientific and technical employees, members of the Senior Executive Service,
Executive Schedule officials, and certain other designated positions. It does not apply to
federal wage system employees. Approval of critical position pay for a position does not
change other conditions of employment. The pay is creditable as basic pay for all purposes
except pay retention and certain adverse action provisions. It is payable to no more than
800 employees government-wide—no more than 30 of them in the Executive Schedule—
at any time. (See 5 U.S.C. 5377 and www.opm.gov/oca/pay/html/CriticalPositionPay.asp.)
Recruitment, Relocation, and Retention Incentive Payments—Upon the request of
an agency, OPM may approve enhanced recruitment, relocation and retention incentives.
See Recruitment, Relocation, and Retention Payments, below.
Special Rates—OPM may establish higher rates of basic pay for an occupation or group
of occupations nationwide or in a local area based on a finding that the government’s
recruitment or retention efforts are, or would likely become, significantly handicapped
without those higher rates. See Special Salary Rates in Section 1 of this chapter.
Increased Minimum Hiring Rate (Federal Wage System)—The increased minimum
hiring rate authority allows a lead agency to establish any federal wage system scheduled
rate above step 1 as the minimum rate at which a new employee can be hired. When there
is an increased minimum rate authorization for an occupation and grade at a particular
location, all appointments must be made at the authorized increased minimum rate. (5
U.S.C. 5341; 5 CFR 532.249)
Special Schedules (Federal Wage System)—The special schedule authority allows
OPM to establish a federal wage system schedule of rates that are broader in scope than
would normally be authorized under the special rates program. Special schedules are
established for specific occupations within a geographic area when rates of pay under
regular wage schedules prove insufficient for an agency to recruit or retain employees. (5
U.S.C. 5341; 5 CFR 532.254)
Unrestricted Rate Authority (Federal Wage System)—Upon the request of an agency,
OPM may approve exceptions to statutory limitations on annual federal wage system pay
adjustments for an occupation or group of occupations in a wage area or part of a wage
area. (Requires specific authority in the pay limitation legislation; 5 CFR 532.801)
Physicians Comparability Allowance—Agencies may pay physicians comparability
allowances to recruit and retain highly qualified government physicians. See Physicians
Comparability Allowances in Section 4 of this chapter.
Title 38 Flexibilities for Health Care Employees—Upon the request of the head of an
agency, OPM may delegate the discretionary use of certain Department of Veterans Affairs’
personnel authorities under Chapter 74 of Title 38, U.S. Code, to help recruit and retain
employees in health care occupations performing direct patient-care services or services
incident to direct patient care. (5 U.S.C. 5371)
Recruitment, Relocation, and Retention Payments
Recruitment, relocation, and retention payments—dubbed the “three Rs”—were authorized by the Federal Employees Pay Comparability Act of 1990 (P.L. 101-509). While these
payments were originally and primarily intended for General Schedule positions, the Office
of Personnel Management also has approved them (see 5 CFR Part 575) for certain other
positions, including senior level (SL), senior scientific or technical (ST), career Senior
Executive Service, Federal Bureau of Investigation and Drug Enforcement Administration
SES, Executive Schedule, law enforcement officer, and prevailing rate positions (see special
eligibility rules for group retention incentives, below).
OPM may approve additional specific categories upon written request from an employ-
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Chapter 1—Pay
ing agency. A list of the approved categories of employees is at www.opm.gov/3rs/fact/3Rs_
extensions.asp; other information is at www.opm.gov/3Rs.
The incentives may not be paid to: Presidential appointees; non-career appointees in the
Senior Executive Service; those in positions excepted from the competitive service by reason
of their confidential, policy-determining, policy-making, or policy-advocating natures;
agency heads; or those expected to receive an appointment as an agency head.
The authority is in 5 U.S.C. 5753 and 5754. These payments are subject to the limit on
aggregate compensation established by 5 U.S.C. 5307 and 5 CFR Part 530, subpart B.
Before paying an incentive, an agency must establish a plan that must include the designation of officials with authority to review and approve the payment of incentives, the categories of employees who may not receive incentives, the required documentation for
determining eligibility, the amount, the payment methods that may be authorized, requirements governing service agreements, and record keeping requirements.
An agency may determine that a position is likely to be difficult to fill if the agency is
likely to have difficulty recruiting candidates with the competencies (that is, knowledge,
skills, abilities, behaviors, and other characteristics) required for the position (or group of
positions) in the absence of a recruitment or relocation incentive based on a consideration
of the factors listed in 5 CFR 575.206(b). An agency may also determine that a position is
likely to be difficult to fill if OPM has approved the use of a direct-hire authority applicable
to the position.
For the purpose of calculating an incentive, an employee’s rate of basic pay includes a
special rate under 5 CFR Part 530, subpart C, a locality payment under 5 CFR Part 531,
subpart F, or similar payment under other legal authority, but excludes additional pay of any
other kind, such as night pay and environmental differential pay under the federal wage
system.
An incentive is not part of an employee’s rate of basic pay for any purpose.
Before receiving an incentive, an employee generally must sign a written agreement to
complete a specified period of employment with the agency (see the exception under
Retention Incentives, below). The service agreement must specify the length, commencement, and termination dates of the service period; the amount of the incentive; the method
and timing of incentive payments; the conditions under which an agreement will be terminated by the agency; any agency or employee obligations if a service agreement is terminated (including the conditions under which the employee must repay an incentive or
under which the agency must make additional payments for partially completed service);
and any other terms and conditions.
An agency may unilaterally terminate a service agreement based solely on the management needs of the agency, in which case the employee is entitled to incentive payments
attributable to completed service and to retain any payments already received that are
attributable to uncompleted service. An agency must terminate a service agreement if an
employee is demoted or separated for unacceptable performance or conduct, receives a
rating of record lower than “fully successful” or equivalent during the service period, or
otherwise fails to fulfill the terms of the service agreement. In such cases, the employee may
retain any incentive payments attributable to completed service, but must repay any portion
of the incentive attributable to uncompleted service.
An agency must notify an employee in writing when it terminates a service agreement.
The termination of a service agreement is not grievable or appealable.
Note: Under Compensation Policy Memorandum 2009-11, agencies must certify that the
incentives are paid only when necessary to support agency mission and program needs. CPM
2010-04 set additional standards for justifying payments, ordered agencies to more closely
monitor their programs with greater scrutiny of costs and benefits, and began a program of OPM
tracking usage on an ongoing basis. CPM 2011-10 limited government-wide spending on the
incentives for calendar years 2011 and 2012 at 2010 levels. See www.chcoc.gov/transmittals.
Recruitment Incentives—An agency may pay a recruitment incentive to a newly
appointed employee if the agency has determined that the position is likely to be difficult
to fill in the absence of an incentive. “Newly appointed” refers to the first appointment
(regardless of tenure) as an employee of the federal government, an appointment following
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2012 Federal Employees Almanac
a break in service of at least 90 days from a previous appointment as a federal employee,
or, in certain cases, an appointment following a break in service of less than 90 days.
For each determination to pay a recruitment incentive, an agency must document in
writing the basis for determining that the position is likely to be difficult to fill in the absence
of a recruitment incentive, the amount and timing of the incentive payments, and the length
of the service period. The determination to pay a recruitment incentive must be made
before the prospective employee enters on duty in the position for which recruited.
An agency may target groups of similar positions that have been difficult to fill in the past
or that are likely to be difficult to fill in the future and may make the required determination
to offer a recruitment incentive on a group basis.
A recruitment incentive may not exceed 25 percent of the employee’s annual rate of
basic pay in effect at the beginning of the service period multiplied by the number of years
(including fractions of a year) in the service period (not to exceed four years). With OPM
approval, this cap may be increased to 50 percent (based on a critical agency need), as long
as the total incentive does not exceed 100 percent of the employee’s annual rate of basic
pay at the beginning of the service period. (See 5 CFR 575.109(c).) The incentive may be
paid as an initial lump-sumpayment at the beginning of the service period, in installments
throughout the service period, as a final lump-sum payment upon completion of the service
period, or in a combination of these methods. An incentive may be paid to an individual
not yet employed who has received a written offer of employment and signed a written
service agreement.
The employee’s required service period may not be less than six months and may not
exceed four years. The service period must begin upon the commencement of service with
the agency and end on the last day of a pay period. The commencement of the service
period may be delayed under certain conditions described in 5 CFR 575.110(b).
Relocation Incentives—An agency may pay a relocation incentive to a current employee who must relocate (permanently or temporarily) to accept a position in a different geographic area if the agency determines that the position is likely to be difficult to fill in the
absence of an incentive. A relocation incentive may be paid only when the employee’s rating of record under an official performance appraisal or evaluation system is at least “fully
successful” or equivalent.
A position is considered to be in a different geographic area if the worksite of the new
position is 50 or more miles from the worksite of the position held immediately before the
move. If the worksite of the new position is less than 50 miles away, but the employee must
relocate to accept the position, an authorized agency official may waive the 50-mile requirement and pay the employee a relocation incentive. In all cases, an employee must establish
a residence in the new geographic area before the agency may pay the employee a relocation incentive.
For each relocation incentive authorized, an agency must document in writing the basis
for determining that the position is likely to be difficult to fill in the absence of a relocation
incentive, the amount and timing of the incentive payments, the length of the service period, and that the worksite of the new position is in a different geographic area than the
previous position. The determination to pay a relocation incentive must be made before the
employee enters on duty in the position at the new duty station.
An agency may waive the case-by-case approval requirement when the employee is a
member of a group of employees subject to a mobility agreement or when a major organizational unit is being relocated to a new duty station.
A relocation incentive may not exceed 25 percent of the employee’s annual rate of basic
pay in effect at the beginning of the service period multiplied by the number of years
(including fractions of a year) in the service period (not to exceed four years). With OPM
approval, this cap may be raised to 50 percent (based on a critical agency need), as long as
the total incentive does not exceed 100 percent of the employee’s annual rate of basic pay
at the beginning of the service period. (See 5 CFR 575.209(c).) The incentive may be paid
as an initial lump-sum payment at the beginning of the service period, in installments
throughout the service period, as a final lump-sum payment upon completion of the service
period, or in a combination of these methods.
The service period must begin upon the commencement of service at the new duty sta-
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Chapter 1—Pay
tion and end on the last day of a pay period. The commencement of the service period may
be delayed under certain conditions described in 5 CFR 575.210(b).
Retention Incentives—An agency may pay a retention incentive to a current employee
if the agency determines that the unusually high or unique qualifications of the employee
or a special need of the agency for the employee’s services makes it essential to retain the
employee and that the employee would be likely to leave in the absence of a retention
incentive. This determination must be documented in writing.
An agency may pay a retention incentive to an employee who would be likely to leave
for a different position in the federal service before the closure or relocation of the employee’s office, facility, activity, or organization, but not because the employee is likely to leave
for another agency for any other reason. Incentives also may be paid to an entire group of
employees under the same standards. See www.opm.gov/3rs/fact/RETINCFED.asp.
A retention incentive may be paid only when the employee’s rating of record under an
official performance appraisal or evaluation system is at least “fully successful” or equivalent.
An agency must establish a single retention incentive rate for the employee, expressed as
a percentage of the employee’s rate of basic pay, not to exceed 25 percent. With OPM
approval, this cap may be increased to 50 percent (based on a critical agency need). (See 5
CFR 575.309(e).) The incentive may be paid in installments after the completion of specified
periods of service within the full period of service required by the service agreement or in a
single lump sum after completion of the full period of service required by the service agreement. An agency may not pay a retention incentive as an initial lump-sum payment at the
start of a service period or in advance of fulfilling the service period for which the retention
incentive is received. A retention incentive installment payment may be computed at the
full retention incentive percentage rate or at a reduced rate with the excess deferred for
payment at the end of the full service period.
An agency may not offer or authorize a retention incentive for an individual prior to
employment with the agency. An agency may not begin paying a retention incentive during
the service period established by an employee’s recruitment or relocation incentive service
agreement. However, a relocation incentive may be paid to an employee who is already
receiving a retention incentive.
For retention incentives that are paid in biweekly installments when no service agreement is required, an agency must review each determination to pay the incentive annually
to determine whether payment is still warranted and certify this determination in writing.
An agency must reduce or terminate the retention incentive whenever payment at the
original level is no longer warranted. In addition, an agency must terminate a retention
incentive authorization when no service agreement is required if the employee is demoted
or separated for cause, receives a rating of record of less than “fully successful” or equivalent,
or the agency assigns the employee to a different position. (See 5 CFR 575.311(g).)
Group Retention Incentives—Group-based retention incentives may be paid under 5
CFR 575 subpart C to eligible individuals who are in General Schedule, law enforcement
officer, or prevailing rate positions or other categories for which the payment of retention
incentives has been approved by OPM at the request of the head of an employing
agency.
An agency may pay a retention incentive to a group or category of current employees
if the agency determines that the unusually high or unique qualifications of the employees
or a special need of the agency for the employees’ services makes it essential to retain the
employees in the group and that there is a high risk that a significant number of employees
in the targeted group would be likely to leave in the absence of a retention incentive. This
determination must be documented in writing. A retention incentive may be paid to an
employee only when the employee’s rating of record under an official performance
appraisal or evaluation system is at least “fully successful” or equivalent.
An agency must narrowly define the targeted group of employees to be paid a group
retention incentive using factors that relate to the employees’ unusually high or unique
qualifications or the special need for the employees’ services that makes it essential to
retain the employees in the group and their likelihood to leave. Appropriate factors may
be occupational series, grade level, distinctive job duties, unique competencies, assign-
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2012 Federal Employees Almanac
ment to a special project, minimum agency service requirements, organization or team
designation, geographic location, and required rating of record.
An agency must establish a single retention incentive rate for each group of employees,
expressed as a percentage of the employee’s rate of basic pay, not to exceed 10 percent.
With OPM approval, this cap may be increased to 50 percent (based on a critical agency
need). (See 5 CFR 575.309(e).)
An agency may pay a group-based retention incentive to any individual in the targeted
group if all other conditions and requirements for payment of a retention incentive are met.
Pay Banding
In pay banding, also called broad banding, agencies collapse the 15 GS grades into a
smaller number of pay ranges or bands. For example, an agency might establish four bands
encompassing the GS 1-5, the GS 6-11, the GS 12-13, and the GS 14-15 levels. The number
of bands and the way the grades are assigned to the bands vary according to the organization’s mission, values, and culture.
Pay banding gives managers more flexibility in pay setting by creating pay ranges much
broader than those of single GS grades. The aim is to enable agencies to hire promising
applicants at a higher rate of pay and to retain high-performing employees by increasing their
pay at a faster pace than is possible under the GS scale.
The agency determines how employees move within and across pay bands. In pay banding
systems, the amount of a pay increase within a band is based on the employee’s skills or
competencies, job performance, contributions, or similar measures; most do not have automatic increases within a band. Monies earmarked in the GS system for within-grade, general,
and quality step increases often is pooled and used to fund the pay increases determined by
employee performance evaluations. Commonly, money in the pay pool is paid out according
to a shares system, with each share worth a given dollar amount and with higher-rated employees being given more shares. Employees who have already reached their pay band’s cap may
receive a bonus, which does not count toward retirement crediting, rather than a pay raise,
which does.
A high performing employee could move to the top salary of a pay band much more
quickly than is possible in the GS system. In contrast, a low or marginal employee might get
no incentive pay, and only part—or even none—of a general increase.
An employee might move to the next higher band through promotion, or even without a
promotion, depending on how the pay banding system is defined.
Another typical feature of pay banding systems is occupational groupings. Similar to the
consolidation of General Schedule grades, there typically is consolidation of job classifications
into a small number of career paths—for example, science and engineering research; professional and administrative management; engineering, scientific and medical support; business
and administrative support; and others as pertinent to the agency. The pay bands for each
vary in number but typically correspond to what is deemed under GS classification systems
to be entry level, apprentice, journeyman, full performance, and senior level accomplishment
in those occupational groups, with a managerial level often added on top.
Also see Section 7 in Chapter 8.
Note: When an employee moves, without a break in service, to a General Schedule position
from a non-GS pay system that features pay banding, and that system provides that an employee
will be converted to GS equivalent rates immediately before leaving the non-GS pay system, the
employee is considered a GS employee in applying the pay-setting provisions of 5 CFR Part 531,
subpart B, and the grade and pay retention provisions of 5 CFR Part 536. The conversion-out
procedures under these systems vary.
Section 6
Overtime Pay
General Overtime Pay Rights
Overtime pay entitlements for federal employees generally arise under either the Fair
Labor Standards Act or Title 5 of the U.S. Code. Most non-supervisory General Schedule
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Chapter 1—Pay
and wage system employees, as well as postal employees, law enforcement personnel, and
certain employees covered by other federal pay systems, are eligible, whether they are
full-time, part-time, or intermittent employees.
In most cases, overtime is paid at a time-and-a-half rate for work performed in excess
of daily (eight-hour) or weekly (40-hour) limits, as long as the work is officially ordered and
approved by the worker’s supervisor or other management official. Exceptions exist for
workers in certain categories—for example, employees for whom the first 40 hours is the
basic workweek, employees on an alternative work schedule, and employees receiving
annual premium pay (see Administratively Uncontrollable Overtime and see Availability
Pay in Section 7 of this chapter).
Note: Special overtime rules apply to firefighters (see Firefighters in Section 1 of this chapter)
and non-career employees under Schedule C appointments (see Compensation Policy
Memorandum 2009-13 at www.chcoc.gov/transmittals).
In contrast to overtime pay, premium pay is the general term used to describe the
additional pay provided to federal employees who work extra hours or whose work
involves unusual situations or requirements such as hazardous duties or night work. See
Section 7 of this chapter.
Overtime Pay: Exempt and Nonexempt Status
The Fair Labor Standards Act divides positions into “exempt” and “nonexempt” status.
Nonexempt employees are those covered by the act and thus eligible for overtime pay.
Exempt employees are not covered by the act’s provisions and thus are not eligible.
The designation of an employee as FLSA exempt or nonexempt rests on the duties actually performed by the employee, not merely occupational or organizational title. One
exception to the job duties test is that any employee, including a supervisory employee,
whose annual rate of basic pay is less than $23,660 is eligible for overtime except under
certain conditions.
Under the FLSA, employees in executive, administrative, and professional positions, as
well as employees in foreign areas, are considered exempt. Rules governing exempt and
nonexempt status for federal employees are at 5 CFR Part 551. They specify that:
• An executive is someone who customarily and regularly directs the work of two or
more other employees, and has the authority to hire or fire other employees or whose suggestions and recommendations as to the hiring, firing, advancement, promotion or any
other change of status of other employees.
• An administrative employee is an employee whose primary duty is the performance of
office or non-manual work directly related to the management or general business operations of the employer or the employer’s customers, and whose primary duty includes the
exercise of discretion and independent judgment with respect to matters of significance.
• A professional employee is one whose primary duty is the performance of work
requiring knowledge of an advanced type in a field of science or learning customarily
acquired by a prolonged course of specialized intellectual instruction or requiring invention, imagination, originality or talent in a recognized field of artistic or creative endeavor,
including learned professionals, creative professionals, and computer employees.
• The foreign exemption applies when an employee is permanently stationed in an area
outside the United States or certain U.S. territories and possessions, or spends all hours of
work in a given workweek in one or more such areas.
Performing different work or duties for a temporary period may affect an employee’s
exemption status.
These policies, set by the Office of Personnel Management, generally mirror those the
Labor Department applies for the private sector. However, in the federal government some
FLSA-exempt employees, mainly certain managers and supervisors, are compensated for
overtime under Title 5 of the U.S. Code. This is commonly known as “Title 5 overtime.”
Also, federal law enforcement officers and firefighters are covered by separate statutes
and may be eligible for overtime under those laws even though those in comparable
positions outside the federal government would not be eligible under the Labor
Department rules. However, law enforcement employees receiving availability pay (see
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2012 Federal Employees Almanac
Section 7 of this chapter) are ineligible.
See 5 CFR 551.210-213.
Total Hours of Work:
52 hrs
Basic Overtime Pay
Computations
Overtime Work:
12 hrs
Night Work:
40 hrs
Sunday Work:
For overtime work in excess of eight
hours a day or 40 hours a week, eligible
(that is, nonexempt) employees generally
are paid one and a half times their “regular
rate” of basic pay. (An exception applies to
employees who are exempt under FLSA but
who are nonetheless compensated for their
overtime work under Title 5, United States
Code; they are limited to the greater of one
and one half times the hourly rate of a
GS-10, step 1, or the hourly rate of their
basic pay, whichever is greater. See
Overtime Caps, below).
Under the FLSA, overtime pay is determined by multiplying the employee’s
“straight time rate of pay” by all overtime
hours worked plus one-half of the employee’s “hourly regular rate of pay” times all
overtime hours worked. All overtime work
that is ordered or approved or “suffered or
permitted” must be compensated. (See 5
CFR Part 551.)
An employee’s regular rate of pay for
determining “total remuneration” and
“straight time rate of pay” when computing
overtime pay under the FLSA includes basic
pay, locality-based comparability payments,
special salary rates, special law enforcement
adjusted rate of pay. An employee’s regular
rate also includes various forms of premium
pay (see Section 7 of this chapter), such as
pay for Sunday, night, or holiday work, and
hazardous/environmental differentials. The
“hourly regular rate” is computed by dividing the “total remuneration” paid to an
employee in the workweek by the number
of hours in the workweek for which such
compensation is paid.
Exempt employees may not receive premium pay that will cause their aggregate
pay for a biweekly period to exceed the
maximum rate of GS-15, step 10. A separate GS-15, step 10 annual limitation on
premium pay applies to employees who are
determined to be performing emergency
work involving a direct threat to life or
property. The maximum biweekly or annual
earnings limitations on Title 5 premium pay
do not apply to FLSA overtime pay.
The straight time rate of pay is multiplied
by all overtime hours worked plus one-half
Hourly Rate of Basic Pay:
(Straight Time Rate of Pay)
$35,752 / 2,087 = $17.13
8 hrs
= $17.13
Total Remuneration:
Basic Pay (40 hrs)
$17.13 x 40 hrs = $685.20
= $685.20
Night Pay (40 hrs)
.10 x $17.13 = $1.71
$1.71 x 40 hrs = $68.40
= $68.40
Sunday Premium Pay (8 hrs)
.25 x $17.13 = $4.28
$4.28 x 8 hrs = $34.24
= $34.24
Straight Time Pay
$17.13 x 12 hrs
= $205.56
Total Remuneration
= $993.40
Hourly Regular Rate of Pay:
$993.40 / 52 hrs
= $19.10
FLSA Overtime Pay:
Straight Time Rate of Pay x
All Overtime Hours Worked = $205.56
$17.13 x 12 = $205.56
One-half x Hourly Regular
Rate of Pay x All Overtime
Hours Worked
0.5 x $19.10 = $9.55
$9.55 x 12 = $114.60
= $114.60
Total FLSA Overtime Pay
= $320.16
Weekly Pay:
42
Basic Pay
= $685.20
Night Pay
= $68.40
Sunday Premium Pay
= $34.24
FLSA Overtime Pay
= $320.16
Total Weekly Pay
=$1,108.00
Chapter 1—Pay
of the employee’s hourly regular rate of pay times all overtime hours worked. (See 5 CFR
551, subpart E.)
The accompanying example of overtime pay computation is based on an annual basic
pay rate of $35,752, roughly a mid-level rate for a GS-5 position.
Overtime Caps
Some employees, mainly certain managers and supervisors, are exempt from the FLSA
but may receive overtime pay under Title 5, U.S. Code (“Title 5 overtime”). They are limited in overtime to either one and one half times the hourly rate of a GS-10, step 1, or the
hourly rate of the employee's basic pay, whichever is greater, under 5 U.S.C. 5542(a)(2)).
The limitation does not apply to overtime pay calculations resulting from extra hours
worked by employees considered nonexempt under the FLSA. In addition:
• Department of Interior and Agriculture employees engaged in wildland fire suppression activities receive 150 percent of their hourly pay for overtime hours regardless of their
hourly pay rate under 5 U.S.C. 5542(a)(5).
• Transportation Department non-managerial employees in positions GS-14 or
lower who the Secretary determines are critical to the operation of the air traffic control
system receive 150 percent of their hourly rate of pay for overtime work under 5 U.S.C.
5542(a)(3).
• Law enforcement officers earn at least their hourly rate of basic pay for overtime
work under 5 U.S.C. 5542(a)(4)(B), and firefighters compensated under 5 U.S.C. 5545b
earn at least their firefighter hourly rate of pay for all overtime work under 5 U.S.C.
5542(f)(2).
Overtime vs. Compensatory Time Off
Compensatory time off is time off with pay in lieu of overtime pay for irregular or
occasional overtime work, or when permitted under agency flexible work schedule programs, time off with pay in lieu of overtime pay for regularly scheduled or irregular or
occasional overtime work. Compensatory time off may be approved in lieu of overtime
pay for irregular or occasional overtime work for both FLSA exempt and nonexempt
employees who are covered by the definition of “employee” at 5 U.S.C. 5541(2).
Compensatory time off can also be approved for a federal wage system employee, as
defined at 5 U.S.C. 5342(a)(2).
See Compensatory Time Off in Chapter 5, Section 1.
Overtime for Training
Time spent in apprenticeship or other entry-level training outside regular working
hours is not considered hours of work, provided no productive work is performed during
such periods. However, under 5 CFR 551.423(a)(1), time spent in training during regular
working hours is considered hours of work. “Regular working hours” means the days and
hours of an employee’s regularly scheduled administrative workweek.
For example, if FLSA-covered employees are scheduled in advance of the administrative workweek to attend a six-day entry-level training class for a specified number of
hours, those regularly scheduled training hours the sixth day are “regular working hours”
and are considered hours of work for overtime pay purposes.
An employee may not receive compensatory time off in lieu of overtime pay for
attending an extended training session or course. Compensatory time off may be
approved instead of overtime pay only for irregular or occasional (unscheduled) overtime
hours of work. If an employee is scheduled in advance of his or her administrative workweek to attend an extended training course, such training would not be irregular or
occasional (unscheduled) overtime hours.
Employees on flexible work schedules may earn compensatory time off for regularly
scheduled overtime hours. However, employees usually are not on flexible work schedules
during periods of training.
FLSA Claims
Employees who believe they were incorrectly denied overtime pay may file a Fair Labor
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2012 Federal Employees Almanac
Standards Act claim with either their employing agency or with the Office of Personnel
Management, but cannot pursue the same claim with both the agency and OPM at the
same time. Employees who get an unfavorable decision on an administrative FLSA claim
from the agency may still file a claim with OPM. However, the reverse is not true.
An FLSA pay claim is subject to a two-year statute of limitations, except in cases of a
willful violation, where the statute of limitations is three years.
For more information, see Section 1 in Chapter 10 and www.opm.gov/FLSA/index.asp.
Section 7
Premium Pay
The term “premium pay” extends to most types of additional pay received by federal
employees for working extra hours or performing work that involves unusual situations or
requirements such as hazardous duties or night work. Senior Executive Service employees
are not entitled to premium pay under any circumstances.
General Schedule employees may receive certain types of premium pay in a pay period
only to the extent that the aggregate of basic pay and premium pay for the pay period does
not exceed the greater of the biweekly rate payable for (1) GS-15, step 10 (including any
applicable locality payment or special rate supplement), or (2) level V of the Executive
Schedule. However, the head of an agency may apply an annual pay cap to certain types
of premium pay for any pay period for (1) employees performing work in connection with
an emergency, including work performed in the aftermath of such an emergency, or (2)
employees performing work critical to the mission of the agency. See Pay Caps in Section
2 of this chapter for details of these and certain other exceptions.
Each separate entitlement to premium pay is computed separately as a percentage of
an employee’s rate of basic pay. No compounding occurs if an employee is entitled to
more than one type of premium pay for the same hour of work.
Rules for premium pay are at 5 CFR Part 550, subpart A. Fact sheets are at www.opm.
gov/oca/pay/HTML/factindx.asp.
Sunday Pay
General Schedule and wage grade workers whose regular schedules require them to
work on a Sunday are entitled to their rate of basic pay, plus premium pay computed at a
rate of 25 percent of their basic pay rate. This Sunday premium rate generally is applicable
to all non-overtime work (that is not in excess of eight hours per shift), although it also may
apply where employees work in excess of eight hours under a fixed compressed work
schedule. The Sunday work must be part of an employee’s regularly scheduled basic workweek; intermittent employees may not receive Sunday premium pay because, by definition, they do not perform regularly scheduled work.
An employee on a flexible work schedule who performs regularly scheduled nonovertime work during a period of duty, a part of which is performed on Sunday, is entitled
to Sunday pay for the entire period of duty, not to exceed eight hours. A full-time employee on a compressed schedule who performs non-overtime work during a period of duty,
a part of which is performed on Sunday, is entitled to Sunday pay for the entire period of
duty on that day.
In cases where employees work rotating shifts and the “late hour” Saturday shift
extends into Sunday or an “early” Monday tour actually starts on Sunday, such workers
are entitled to premium pay for the entirety of both shifts—not to exceed eight hours for
each shift—even though a part of the shift work was not actually performed on Sunday.
The maximum number of hours of Sunday premium pay that an employee can be paid
for one Sunday is 16 hours.
Federal employees must actually perform work on a Sunday in order to be eligible for
Sunday premium pay. Employees are not entitled to Sunday premium pay for periods
when no work is performed, such as paid leave time, excused absences, holidays, compensatory time off, or time off granted as an incentive or performance award.
Sunday premium pay is not paid for overtime hours of work. An employee under a
standard work schedule is entitled to overtime pay for hours of work on Sunday in excess
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Chapter 1—Pay
of eight hours in a day or 40 hours in a week. An employee whose flexible work schedule
includes work on Sunday is entitled to overtime pay for hours of work in excess of eight
hours in a day or 40 hours in a week and which are officially ordered in advance. An
employee whose compressed work schedule includes work on Sunday is entitled to overtime pay for hours of work in excess of the employee’s compressed work schedule on that
day.
See 5 U.S.C. 5544(a), 5546(a), and 6128(c) and 5 CFR 550.
Part-Time Employees—A May 26, 2009, decision by the U.S. Court of Appeals for the
Federal Circuit ruled that part-time employees are entitled to Sunday premium pay for
work performed on Sundays under 5 U.S.C. 5546(a), overturning OPM policy in effect up
to that time. CPM 2009-21 of 2009, available at www.chcoc.gov/transmittals, ordered that
agencies pay part-time employees Sunday premium pay when they meet the requirements, including retroactive pay starting from the date of the court decision.
In addition, employees may file claims with the agency that employed them seeking
back pay, with payments covering as long as six years before the claim was filed. The
employee must establish that he or she worked part-time, worked on a Sunday during the
claims period, and did not receive an appropriate amount of premium pay. Claimants
must specify the dates they performed Sunday work without receiving Sunday premium
pay and submit evidence such as the employee’s orders, certification of attendance, time
and attendance records, employee affidavits, supervisory records or other documents.
Those who have retired or separated may file a claim with their former employing agency.
Final regulations revising 5 CFR Parts 532 and 550 to reflect the change in eligibility
were published in 2011.
Holiday Pay
Full-Time employees who are not required to work on a holiday receive their rate of basic
pay for the applicable number of holiday hours. Employees under flexible work schedules are
credited with eight hours towards their 80-hour basic work requirement for the pay period.
Employees under compressed work schedules are generally excused from all of the nonovertime hours they would otherwise work on that day and which apply to their “basic work
requirement.”
A part-time employee is entitled to a holiday when the holiday falls on a day when he or
she would otherwise be required to work or take leave. Those standard work schedules are
generally excused from duty for the number of basic (non-overtime) hours they are regularly
scheduled to work on that day, not to exceed eight hours. Those under compressed work
schedules are generally excused from all of the non-overtime hours they would otherwise
work on that day and which apply to their “basic work requirement.”
Employees who work on a holiday during hours that correspond to their normal tour of
duty are entitled to receive holiday premium pay equal to their rate of basic pay. If employees
work in excess of eight hours on the holiday or if full-time employees work during hours that
do not correspond with their normal tour, they are entitled to receive their regular overtime
rate of pay for hours worked in excess of eight in a day or 40 in a week.
This means that employees who work on a holiday that falls on one of their regular workdays must be paid twice their rate of basic pay for not more than eight hours of such work.
Any hours worked outside an employee’s regularly scheduled tour of duty on a holiday
would be paid at the employee’s overtime rate. An employee who is assigned to duty during
holiday hours is entitled to pay for at least two hours of holiday work. An employee on a fixed
compressed work schedule who is required to work on a holiday is entitled to holiday premium pay for all non-overtime hours of work.
Premium pay for holiday work also will be paid in addition to night pay differential for
regularly scheduled non-overtime work at night, as well as for regularly scheduled nonovertime Sunday work when an employee performs work on a holiday that occurs on a
Sunday.
Presidents occasionally issue executive orders closing federal agencies for part or all of a
workday. Employees are excused from duty during such periods unless they are “emergency
employees,” as determined by their agencies. Such orders often provide that the time off will
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2012 Federal Employees Almanac
be treated like a holiday for pay and leave purposes. Employees who are required to work
during their basic tour of duty on such days are entitled to holiday premium pay.
See 5 U.S.C. 6103, 6104, and 6124, and 5 CFR 550 and 610.
Night Differential Pay
General Schedule—Night pay is a 10 percent differential paid to a General Schedule
employee for regularly scheduled work performed at night. It is computed as a percentage
of the employee's rate of basic pay (including any applicable locality payment or special rate
supplement). This generally involves work scheduled before the beginning of the administrative workweek. However, night pay is also paid for night work on a temporary assignment
to a different daily tour of duty during the administrative workweek. Generally, night work
must be performed between the hours of 6 p.m. and 6 a.m., including night work under a
compressed work schedule. For posts located outside the United States, the head of an
agency may designate a time after 6 p.m. and before 6 a.m. as the beginning and end,
respectively, of night work to accommodate the customary hours of business in the locality.
An employee is entitled to night pay for paid leave only when the total amount of paid leave
during a biweekly pay period is less than eight hours. An employee is entitled to night pay
when excused from night work on a holiday or another non-workday, although not for an
alternative work schedule non-workday.
If a flexible work schedule includes eight or more hours available for work between 6
a.m. and 6 p.m., the employee is not entitled to night pay for voluntarily working flexible
hours between 6 p.m. and 6 a.m., including while earning credit hours. An employee also
is entitled to night pay for those hours that must be worked between 6 p.m. and 6 a.m. to
complete an eight-hour daily tour of duty, and for any non-overtime work performed
between 6 p.m. and 6 a.m. during designated core hours.
Night pay is paid in addition to overtime, Sunday, or holiday premium pay. It is not basic
pay for any purpose.
See 5 U.S.C. 5545(a) and 6123(c), 5 CFR 550.121-122 and www.opm.gov/oca/pay/html/
night.asp.
Wage Grade—Wage grade employees receive night shift differential at the rate of 7.5
percent of their hourly rate for non-overtime work when a majority (five or more hours) of
the scheduled hours occur between 3 p.m. and midnight, or 10 percent of their hourly rate
for non-overtime work when a majority of the scheduled hours occurs between 11 p.m. and
8 a.m. Night shift differentials are paid for the entire shift and are included in basic pay rates
for purposes of computing overtime pay, Sunday pay, holiday pay, severance pay, and
amounts of deductions for retirement and life insurance.
A prevailing rate employee regularly assigned to a night shift will receive a night shift differential during periods of leave with pay and is entitled to the differential for periods of
excused absence on a holiday, while in official travel status during the hours of the employee’s regular night shift, or on court leave. An employee regularly assigned to a night shift will
continue to receive his or her regular night shift differential during a temporary assignment
to a day shift or to another night shift with a lower differential.
See 5 U.S.C. 5343 and www.opm.gov/oca/pay/html/night_wg.asp.
Environmental Differential Pay
Wage system employees are entitled under 5 U.S.C. 5343(c)(4) to environmental differentials for duty involving unusually severe working conditions or unusually severe hazards, and for any hardship or hazard related to asbestos, as determined by the Office of
Personnel Management. The categories justifying environmental differentials are in
Appendix A of 5 CFR Part 532, subpart E. Eligibility due to exposure to asbestos is determined by the permissible exposure limits established by the Occupational Safety and
Health Administration.
The amount of the differential is equal to the percentage rate approved by OPM for the
particular job category, multiplied by the rate of pay for WG-10, step 2 for the appropriated fund employees and the rate of pay for NA-10, Step 2 for the non-appropriated
employees. For example, a wage system employee working on a structure at least 100 feet
above the ground, deck, floor or roof of a facility or in the bottom of a tank or pit receives
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Chapter 1—Pay
a differential of 25 percent, while another wage system worker performing ground work
beneath a hovering helicopter is eligible for a 15 percent differential. Employees entitled
to a differential based on actual exposure will be paid a minimum of one hour’s differential
pay for the exposure. For exposure beyond one hour, workers are paid in increments of
one quarter hour for each 15 minutes or portion thereof in excess of 15 minutes.
Employees entitled to a differential based on hours in a pay status will be paid for all hours
in the pay status on the day they are exposed.
Environmental differentials are included as part of a wage system employee’s basic rate
of pay for computation of overtime, holiday pay, Sunday premium, and the amount of
retirement, Thrift Savings Plan, and life insurance deductions. It is not part of basic pay for
purposes of lump-sum leave payments and severance pay.
Hazardous Duty Pay
General Schedule employees are entitled under 5 U.S.C. §§ 5545(d) to a hazardous
duty pay differential for duty involving unusual physical hardship or hazard, and for any
hardship or hazard related to asbestos, as determined by the Office of Personnel
Management, that have not already been accounted for in the job classification. The categories justifying hazardous duty pay are in Appendix A of 5 CFR Part 550, subpart I.
Eligibility due to exposure to asbestos is determined by the permissible exposure limits
established by the Occupational Safety and Health Administration.
“Physical hardship” means a duty that may not in itself be hazardous, but causes
extreme physical discomfort or distress and is not adequately alleviated by protective or
mechanical devices. Examples of such duties are tasks involving exposure to extreme temperatures for a long period of time, arduous physical exertion, or exposure to fumes, dust,
or noise that causes nausea, skin, eye, ear, or nose irritation. Similarly, a “hazard” is a job
situation or duty in which an employee runs the risk of suffering an accident that could
result in serious injury or death.
Pay differentials for these types of assignments range up to 25 percent, with the majority
being set at 25 percent. For example, an employee working in a confined space that is
subject to temperatures in excess of 110 degrees is eligible for a 4 percent differential, while
an employee arming or disarming a propulsion system will receive a 25 percent differential.
Regulations at 5 CFR 550.904 allow an agency to approve payment of hazardous duty
pay when the hazardous duty or physical hardship has not been taken into account in the
classification of the position (that is, the knowledge, skills, and abilities required to perform
the duty are not considered in the classification of the position). If the hazardous duty has
been taken into account in the classification of the position, an agency may authorize payment of hazardous duty pay only when the actual circumstances of the specific hazard or
physical hardship have changed from that taken into account and described in the position
description; and, when using the knowledge, skills, and abilities required for the position
and described in the position description, the employee cannot control the hazard or
physical hardship; thus, the risk is not reduced to a less than significant level.
Hazardous duty pay may be paid only to employees who are assigned hazardous duties
or duties involving physical hardship for which a differential is authorized. It may not be
paid to an employee who undertakes to perform a hazardous duty on his or her own,
without proper authorization, either expressed or implied.
When an employee performs a duty for which a hazard pay differential is authorized,
the agency must pay the hazard pay differential for all of the hours in which the employee
is in a pay status on the day on which the duty is performed. The pay is not included as
part of the employee’s basic rate of pay for computation of overtime, holiday pay, Sunday
premium, or the amount of retirement, Thrift Savings Plan, and life insurance deductions.
Administratively Uncontrollable Overtime
“Administratively uncontrollable overtime” refers to work in a job that unpredictably
requires substantial amounts of irregular or occasional overtime, and in which the employees generally are responsible for recognizing, without supervision, circumstances that
require them to remain on duty. GS employees, other than certain criminal investigators (see
Availability Pay below) may be granted AUO premium pay on an annual basis if their job
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2012 Federal Employees Almanac
requires substantial amounts of irregular or occasional overtime work that cannot be controlled administratively. AUO premium payments are set as a percentage of an employee’s
basic pay, but cannot be less than 10 percent or more than 25 percent. Employees who are
receiving AUO pay are not eligible for any other kinds of premium pay for irregular or occasional overtime work.
The rate of AUO pay authorized for a position is based on the average number of hours
of irregular or occasional overtime work performed per week. For example, a 25 percent
rate is authorized for a position that requires an average of over nine hours per week of
irregular or occasional overtime work. (See 5 CFR 550.154.) Agency reviews of the percentage of AUO pay paid to employees must be conducted “at appropriate intervals,” commonly every three to six months. The percentage of annual premium pay may be revised
or, if appropriate, discontinued. (See 5 CFR 550.161(d).) An employee who receives AUO
pay may also receive overtime pay on an hourly basis for regularly scheduled overtime work.
Regularly scheduled overtime work creates an entitlement to overtime pay on an hour-forhour basis and generally must be officially ordered or approved by a supervisor or manager
in advance of the employee’s regularly scheduled administrative workweek. (See 5 U.S.C.
5542(a).)
If an employee who is engaged in law enforcement activities (including security personnel in correctional institutions) receives AUO pay and is nonexempt from (covered by) the
overtime pay provisions of the Fair Labor Standards Act, he or she is entitled to additional
overtime pay equal to 0.5 times the employee’s hourly regular rate of pay for all hours of
work in excess of 42.75 hours in a week, including meal periods within the tour of duty.
Other nonexempt employees who receive AUO pay and who are not engaged in law
enforcement activities are entitled to additional FLSA overtime pay equal to 0.5 times their
hourly regular rate of pay for all hours of work in excess of 40 hours in a week, not including meal periods.
Detailed guidance on the relationship between FLSA overtime pay and AUO pay is at
www.opm.gov/oca/pay/HTML/flsaovertime.htm.
An employee receiving AUO pay may not receive any other premium pay (for example,
night Sunday and holiday pay) for irregular and occasional overtime hours that are compensated by AUO pay. (See 5 CFR 550.163(b).) In addition, hazardous duty pay may not
be paid for irregular and occasional overtime hours of work that are compensated by AUO
pay. (See 5 CFR 550.905(b).)
Temporary Assignments—Rules at 5 CFR 550.162(c)(1) provide that an agency may
continue to pay AUO pay for a period of not more than 10 consecutive workdays on a
temporary assignment to other duties in which conditions do not warrant AUO pay and for
a total of not more than 30 workdays in a calendar year while on such a temporary assignment. An agency must discontinue an employee’s AUO pay when a temporary assignment
exceeds these time limits.
However, rules at 5 CFR Part 550.162 authorize payment of AUO pay during a temporary
assignment that would not otherwise warrant the payment of AUO pay if the temporary
assignment is directly related to a national emergency declared by the President. Under those
rules, an agency may continue to pay AUO pay for a period of not more than 30 consecutive
work days for such a temporary assignment and for a total of not more than 90 workdays in
a calendar year while on such a temporary assignment. Time during which an employee
continues to receive AUO pay under those provisions is not considered in computing the
weekly average number of irregular overtime hours used in determining the amount of an
employee’s future AUO payments.
Availability Pay
Availability pay is premium pay rate granted to certain law enforcement personnel who
have criminal investigation responsibilities (see 5 U.S.C. 5542(d) and (e), 5 U.S.C. 5545a, and
5 CFR 550.181-187, 5 CFR 550.103 and 5 CFR 550.111(f)), replacing the use of administratively uncontrollable overtime (AUO) pay for employees in this category.
Under Section 633 of Public Law 103-329, qualified criminal investigators are entitled to
availability pay, which is fixed at 25 percent of basic pay (including locality pay). Eligible
categories include employees in the GS-1811 (criminal investigations) and GS-1812 (game
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Chapter 1—Pay
law enforcement) series, certain pilots employed in customs enforcement, and special agents
in the Diplomatic Security Service of the Department of State (under section 407 of Public
Law 105-277). Higher graded law enforcement officers may be entitled to a lesser amount if
their availability pay causes them to exceed the maximum earnings limitation for law enforcement officers. That limitation is 150 percent of the lesser of the minimum rate of GS-15
(including a special rate of pay or locality pay) or the rate of pay for level IV of the Executive
Schedule.
Availability pay must be paid to qualified criminal investigators who meet the legal definition of a “law enforcement officer.” An annual certification must be made by both the
criminal investigator and an appropriate supervisory official. The annual certification must
stipulate that the investigator works, or is available to work, an annual average of two hours
of “unscheduled duty” per regular workday as requested by the employing agency.
An agency may not pay a criminal investigator receiving availability pay annual premium
pay for administratively uncontrollable overtime work or regularly scheduled standby duty, or
overtime pay under the Fair Labor Standards Act. Receipt of availability pay does not affect
a criminal investigator’s entitlement to other types of premium pay (including Title 5 overtime
pay) based on regularly scheduled duty hours. However, a criminal investigator receiving
availability pay may not be paid any other premium pay based on unscheduled duty hours.
Title 5 overtime pay is authorized only for overtime work scheduled in advance of the administrative workweek that is either in excess of 10 hours on a day containing part of the basic
40-hour workweek or on a day that does not include part of the basic 40-hour workweek.
Availability pay is considered basic pay only for purposes of calculating advances in pay,
severance pay, workers’ compensation, life insurance and retirement benefits, and Thrift
Savings Plan contributions. Also see www.opm.gov/oca/pay/HTML/AP.asp.
Standby-Duty/On-Call Time
Under the Federal Employees Pay Act, 5 U.S.C. 5544-45, employees in positions requiring
them regularly to remain at, or within the confines of, his station during longer than ordinary
periods of duty, a substantial part of which consists of remaining in a standby status rather
than performing work, receive premium pay for the duty. The rules on standby duty are
found in 5 CFR 550.112(k), for employees who are exempt from the Fair Labor Standards
Act (FLSA), and in 5 CFR 551.431, for FLSA-covered employees.
Regulations at 5 CFR 550.143(a) provide that, in order to trigger an entitlement to premium pay under FEPA, the requirement to remain at, or within the confines of the station
must be definite and the employee must be officially ordered to remain at his station. The
employee’s remaining at his station must not be merely voluntary, desirable, or a result of
geographic isolation, or solely because the employee lives on the grounds.
The regulation further provides that the statutory phrase “at, or within the confines of his
station,” may mean in an employee’s living quarters, when designated by the agency as his
duty station and when his whereabouts are narrowly limited and his activities are substantially restricted. This condition exists only during periods when an employee is required to
remain at his living quarters and is required to hold himself in a state of readiness to answer
calls for his services. This limitation on an employee’s whereabouts and activities is distinguished from the limitation placed on an employee who is subject to call outside his tour of
duty but may leave his quarters provided he arranges for someone else to respond to calls or
leaves a telephone number by which he can be reached should his services be required.
If an employee is actually on duty for a 24-hour shift and meets the requirements in
OPM’s regulations for standby duty pay, he or she is entitled to receive pay for at least 16
hours (eight hours of basic pay and eight hours of overtime pay) of the 24-hour shift. Up to
eight hours of sleep and meal time may be excluded from a 24-hour shift as long as the
employee has a reasonable opportunity to sleep. (See 5 CFR 550.112(m) and 5 CFR
551.432.) Employees receiving overtime pay for standby duty continue to be subject to the
biweekly and annual limitations on premium pay. See Pay Caps in Section 2 of this chapter.
If an employee is relieved from duty with minimal restrictions on personal activities,
although limited in where he or she may go, the employee may be placed off duty. If an
employee is off duty, the off-duty hours are not compensable. Periods during which an
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2012 Federal Employees Almanac
employee is required to remain at a work location are not considered compensable hours of
work if the employee is detained for reasons not under the control of the agency or not
related to work requirements.
General Schedule employees may be eligible for annual standby duty pay if their tour of
standby duty is established on a regularly recurring basis over a substantial period of time
(generally at least a few months). Annual standby pay rates range from 5 percent up to 25
percent per year of an employee’s basic pay that doesn’t exceed the GS-10, step 1 cap,
including any locality pay. The actual amount authorized depends on the nature of an
employee’s standby schedule. Employees receiving annual standby duty pay are not eligible
for overtime, night, and holiday pay, other than pay for irregular or occasional overtime work.
Call-Back Pay
This type of premium payment is provided to wage system employees who get called back
to the worksite to work extra hours after completing a tour of duty. Employees who are called
back must receive a minimum of two hours of overtime pay, even if they are sent home
without working that amount of time. Call-Back pay rights extend to overtime work performed after hours and on an employee’s scheduled day off. If the call-back occurs during
regularly scheduled non-overtime work on a holiday, employees must be paid two hours of
holiday premium pay instead of overtime.
Similarly, General Schedule employees who are called back to the worksite to work overtime after completing their tour of duty must receive at least two hours of overtime pay or
compensatory time off. This includes overtime work after hours and on days off. If the callback occurs on a holiday, the two hour minimum also applies and the employee must be
paid at least two hours of holiday premium pay. However, if a full-time employee is called
back on the holiday outside the normal tour of duty, either before or after, the employee is
entitled to receive a minimum of two hours of overtime pay.
Section 8
Severance Pay
General Rights and Procedures
Permanent employees who have been employed continuously for at least 12 months
and who lose their jobs through no fault of their own generally are entitled to severance
pay under 5 CFR 550, subpart G. This includes employees who are separated in a reduction in force because of abolishment of their positions, or who decline to accompany their
positions in a transfer of function to another commuting area.
Resignations, except for resignations pending separation (see below), are considered
voluntary separations and do not carry entitlement to severance pay.
Also, if a separated employee has declined a “reasonable offer” (generally, a position in
the same agency, in the same commuting area, of the same tenure and work schedule, and
not more than two grades or pay levels below the employee’s current position), the
worker usually will not be entitled to severance pay. In addition, severance pay is not paid
to an employee who is entitled to an immediate annuity at the time of separation, a
reduced annuity under a voluntary employee retirement authority, a disability annuity, or
restricted pay earned as a member of the uniformed services. Further, severance pay is not
paid to those who separate, either with or without eligibility to retire, and take a voluntary
separation incentive payment (“buyout”).
The continuous service may consist of one or more civilian federal positions held over
a period of 12 months without a single break in service of more than three calendar days.
The positions held must have been under one or more qualifying appointments; one or
more non-qualifying temporary appointments that precede the current qualifying appointment; or an appointment to a position in a non-appropriated fund instrumentality of the
Department of Defense or the Coast Guard that precedes the current qualifying appointment in the Department of Defense or the Coast Guard, respectively.
The following appointments are qualifying appointments for severance pay eligibility:
• a career or career-conditional appointment in the competitive service or the equivalent in the excepted service;
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Chapter 1—Pay
• a career appointment in the Senior Executive Service;
• an excepted appointment without time limitation, except under Schedule C or an
equivalent appointment made for similar purposes;
• an overseas limited appointment without time limitation;
• a status quo appointment, including one that becomes indefinite when the employee is promoted, demoted, or reassigned;
• a time-limited appointment in the Foreign Service, when the employee was assigned
under a statutory authority that carried entitlement to re-employment in the same agency,
but this right of re-employment has expired; and
• a time-limited appointment (or series of time-limited appointments by the same
agency without any breaks in service) for full-time employment that takes effect within
three calendar days after the end of a qualifying appointment.
For those separating employees who are eligible, the basic severance pay allowance is
computed on the basis of the following formula:
• one week of pay at the rate of basic pay for the position held by the employee at the
time of separation for each full year of creditable service through 10 years;
• two weeks of pay at the rate of basic pay for the position held by the employee at
the time of separation for each full year of creditable service beyond 10 years; and
• 25 percent of the otherwise applicable amount for each full three months of creditable service beyond the final full year.
For employees who are over age 40, an age adjustment allowance is added to the basic
allowance. This over-40 age adjustment calls for computing 2.5 percent of the basic severance allowance for each full three months of age over age 40.
“Rate of basic pay” means the rate of pay fixed by law or administrative action for the
position held by the employee, including, as applicable, annual premium pay for standby
duty, law enforcement availability pay, straight-time pay for regular overtime hours for
firefighters, night differential for prevailing rate employees, locality payments, and special
rate supplements. Rate of basic pay does not include additional pay of any other kind.
The weekly rate of basic pay for employees with variable work schedules is determined
based on the weekly average for the last position held by the employee during the 26
biweekly pay periods immediately preceding separation. The regulations at 5 CFR
550.707(b) provide specific instructions on calculating the weekly rate for various types of
variable work schedules, including part-time work and seasonal work.
The following types of service are creditable for computing an employee’s severance
pay:
• civilian service as an employee (as defined in 5 U.S.C. 2105), excluding time during
a period of non-pay status that is not creditable for annual leave accrual purposes under
5 U.S.C. 6303(a);
• service performed with the United States Postal Service or the Postal Rate
Commission;
• military service, including active or inactive training with the National Guard, when
performed by an employee who returns to civilian service through the exercise of a restoration right provided by law, Executive order, or regulation;
• service performed by an employee of a non-appropriated fund instrumentality of the
Department of Defense or the Coast Guard and who moves to a civilian position with the
Department of Defense or the Coast Guard, respectively, without a break in service of
more than three days; and
• service performed with the government of the District of Columbia by an individual
first employed by that government before October 1, 1987, excluding service as a teacher or librarian of the public schools of the District of Columbia.
Severance pay accrues on a day-to-day basis following the recipient’s separation from
federal employment. Severance payments: must be made at the same pay period intervals
that salary payments would be made if the recipient were still employed (except for
Defense Department employees, who may elect to receive it as a lump-sum under 5
U.S.C. 5595(i)); are computed using the recipient’s rate of basic pay in effect immediately before separation; are subject to appropriate deductions for income and Social
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2012 Federal Employees Almanac
Security taxes; and are the responsibility of the agency employing the recipient at the time
of the involuntary separation that triggered the entitlement.
The total severance pay an employee is eligible to receive is limited to one year’s pay
at the rate of pay received immediately before separation. This is a lifetime limitation.
Therefore, if an employee becomes eligible to receive severance pay for the second time
in his federal career, the worker’s severance pay entitlement ends once the sum of the two
severance periods reaches 52 weeks.
Severance Payments and Re-Employment
Severance payments end if a recipient is re-employed by the federal government
(including the U.S. Postal Service) on a non-temporary basis. Upon such re-employment,
the individual begins building severance credits on top of the unpaid, residual severance
amount for potential future use.
In the case of temporary federal re-employment, severance payments are suspended.
However, they resume when the temporary appointment expires, and continue until new
federal re-employment is obtained or the severance payments are exhausted.
If the temporary appointment is full-time and begins within three days after separation
from a qualifying non-temporary appointment, severance pay is terminated, not suspended. However, this type of temporary appointment is qualifying for severance pay upon the
expiration of the appointment.
In the case of a former federal employee who gains nonfederal employment, the
worker’s entitlement to federal severance pay continues until the payments are exhausted.
Resignations Pending Separation—Under 5 CFR 550.706, employees who resign
because they expect to be involuntarily separated are considered to have been involuntarily separated for severance pay purposes only if they resign after receiving: a specific
written notice stating that the employee will be involuntarily separated by a particular
action (for example, a reduction in force) on a particular date; or a general written notice
of reduction in force or transfer of function that announces that all positions in the competitive area will be abolished or transferred to another commuting area by a particular
date no more than one year after the date of the notice. If the specific or general notice is
cancelled before the resignation is effected, the resignation would not be qualifying for
severance pay purposes. Other types of resignations do not create an entitlement to severance pay.
Inability to Perform Duties—An employee who is removed for inability to perform his
or her duties may receive severance pay if the inability is caused by a medical condition
that is beyond the employee’s control. This determination should be made by the employing agency based on acceptable medical documentation provided by the employee.
Section 9
Flexible Spending Accounts
Flexible spending accounts, or FSAs, are employer-established benefit plans that reimburse employees for specified expenses. They are funded through salary reduction arrangements under which employees receive less take-home pay in exchange for tax-advantaged
contributions to their accounts.
Most federal employees are eligible to enroll in the FSAFEDS program of health care and
dependent care FSAs, administered under contract with the Office of Personnel Management
by SHPS Inc. Certain agencies operate similar programs independently.
All employees with qualified dependents may elect to enroll in a dependent care FSA
except temporary employees with no fixed work schedule (“when actually employed”
employees) whose tour of duty is six months or less. Annuitants and military personnel are
not eligible.
Employees whose appointment conveys eligibility for Federal Employees Health Benefits
program coverage generally may elect to enroll in a health care FSA. One exception is that
temporary employees are eligible for health care FSAs only after completing one continuous
year of service; there is no such restriction on dependent care FSAs.
Participation in both, either or neither type of account is voluntary. Participation, or lack
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of it, in the government’s premium conversion program—through which FEHB premiums
can be paid with pretax money—does not affect participation in FSAs. Nor does participation or lack of it in any other voluntary government benefit program.
A calculator to assist in estimating the FSA contributions and potential annual tax savings,
based on individual situations, is at www.fsafeds.com/fsafeds/fsa_calculator.asp.
Note: Because of tax code restrictions, employees enrolled in a Federal Employees Health
Benefits program plan with a health savings account (see Chapter 2, Section 1) are generally
not eligible for health care FSAs—the exception is “limited” accounts as described below
under Health Care Accounts—although they remain eligible for dependent care FSAs.
Federal agencies absorb the fees SHPS charges to operate accounts.
Elections
Open seasons are conducted concurrent with the annual FEHB open season each
autumn, with employee elections effective on a calendar year basis. Enrollment is available
through (877) 372-3337, TTY (800) 952-0450, or at www.fsafeds.com. A newly hired
employee eligible for FSAFEDS has 60 days from the date of hiring, or until October 1,
whichever is earlier, of any plan year to make an election to participate in either of the types
of accounts, with the election effective upon its receipt by FSAFEDS. Those hired on or after
October 1 are ineligible to participate in that plan year, but can elect an FSA during the open
season held that fall for the following plan year.
Belated enrollments are considered on a case-by-case basis from those unable to enroll
due to circumstances beyond their control.
Employees must re-enroll each year—enrollment is not carried over from one year to the
next—and must elect annually each year how much to put into their accounts. There is no
employer contribution.
The maximum annual contribution to a dependent care FSA is $5,000 a year ($2,500 if
married but filing separately). The maximum annual contribution to a health care FSA is also
$5,000 a year (P.L. 111-148 as amended by P.L. 111-152 will reduce the maximum annual
contribution to a health care FSA to $2,500 effective in 2013). If an employee has another
health care FSA available through a spouse’s employment, the combined health care FSA
allotments to the two accounts may exceed $5,000. Combined amounts for dependent care
FSAs may not exceed $5,000. The minimum amount for each type of account is $250 per
plan year. SHPS translates the annual elected amounts into pay date allotments and arranges with agency payroll office to deduct them and remit them for deposit into the employees’
FSA accounts.
Erroneous Elections—If an employee enrolls in one type of account meaning to enroll
in the other, under IRS rules those elections can be corrected via account funds transfer if
there is “clear and convincing evidence” that the election was indeed mistaken. Employees
discovering such an error should contact SHPS at the contact points listed at the end of this
section (in some cases SHPS discovers the error and informs the enrollee).
However, if an employee and his or her spouse both electing a dependent care account
with combined elections exceeding the tax law maximum of $5,000 per family, it does not
qualify as a mistaken election.
In such cases, the couple may receive reimbursement up to the full election of each
person and then resolve the withholding error when they file their federal tax return for that
year. They would need to complete IRS Form 2441 and add the excess pretax election back
into income. They may be able to use the additional amount to claim a dependent care tax
credit.
Changing Elections—In general, elections for a year cannot be changed except when a
“qualifying life event” occurs. These include:
• a change in legal marital status, for example due to marriage, divorce, death of a
spouse, legal separation, or annulment;
• a change in number of eligible dependents, for example due to birth or adoption of a
child, death of a dependent, or a dependent child turns age 13;
• a change in employment status (for employee, spouse or dependent) that affects your
eligibility for benefits;
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2012 Federal Employees Almanac
• entering leave without pay status to perform military service;
• a change in cost or coverage, such as a significant increase charged by your current day
care provider, or a change in your provider (applies to dependent care accounts only); and
• a change in the number of tax dependents you have (for example, a parent now living
with you).
A period of leave without pay itself is not considered a qualified status change unless it
is due to military deployment. See Leave Without Pay in Chapter 5, Section 4 for considerations regarding unpaid leave.
SHPS determines whether events qualify for changes in FSAs. An enrollment or change
of elections due to a qualifying life event must be consistent with the event—for example,
increasing a dependent care account on the birth of a child. A change due to the birth or
adoption of a child is retroactive to the pertinent date.
You are not permitted to reduce the election to a point where the total allotment for the
plan year is less than the amount already reimbursed or on deposit in your account for the
plan year.
Only decreases in elections are allowed after September 30 of any year.
Enrollees wishing to make a change due to a change in status must notify SHPS between
31 days prior to the event and 60 days afterward by completing a Qualifying Life Event form
available at www.fsafeds.com/forms/qscform.pdf or by calling (877) 372-3337, TTY (800)
952-0450.
How Accounts Work
Contributions are not subject to either income or employment taxes. Participation in
FSAs reduces the taxable wage base for calculation of Social Security benefits although not
for civil service retirement benefits. However, in most cases the reductions are relatively
minor compared with the tax savings to the individual.
Money put in FSAs is available on a “use or lose” basis. That is, any money remaining
in the account after payment of all claims covering that plan year, plus a 2 1⁄2 month “grace
period” into the following calendar year (see Claims, below) is forfeited. Thus, participants
need to plan carefully regarding how much money they put into the accounts.
However, the entire amount in health care accounts is available from the start of a plan
year, regardless of how much the employee has yet put in through payroll withholding.
Thus, a participant could use up the entire amount available in the account and leave
employment with no obligation to pay back the difference between what was paid in and
what was drawn out in that plan year.
Money in a dependent care account is available on an accrual basis. Claims cannot
exceed what the employee has contributed to that account in the plan year at the date of
the claim submission.
Dependent Care Accounts
For dependent care expenses, money is typically drawn out from an FSA on a regular
basis as costs are incurred, such as through monthly tuition charged by day care programs.
Eligible costs are those incurred on behalf of a dependent listed on the participant’s tax
return that allow the enrollee and a spouse to work, look for work, or attend school fulltime. Eligible dependents include:
• dependent children under age 13; and
• a person of any age whom you claim as a dependent on your federal income tax
return and who is mentally or physically incapable of caring for himself or herself.
An adult (for example, parent, grandparent, adult disabled child) may qualify as a
dependent if the employee is providing more than half of that person’s maintenance for
the year.
See www.fsafeds.com/fsafeds/eligibleexpenses.asp for a listing of eligible expenses.
The expenses must be paid to a provider—including a day care center, at-home provider, after school program, adult day care or similar providers—that pays federal income
taxes on the income they receive for providing the care. The participant must show the
provider’s tax identification number. In addition, up-front fees paid to obtain care
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through employing a dependent care provider, such as an au pair, also are reimbursable,
proportionately over the duration of the employment agreement.
Federal employees receiving subsidized child care through their agencies (see Child
Care in Chapter 8, Section 4) must deduct the amount of the subsidy from the maximum
amount they are eligible to set aside as a dependent care FSA. Thus, an individual getting
a $2,000 annual child care subsidy would be eligible only for a $3,000 dependent care
FSA.
Health Care Accounts
For health care accounts, money is typically withdrawn on a sporadic basis as costs are
incurred on behalf of the enrollee or eligible family members.
In general, allowable reimbursable costs under the medical and dental accounts mirror
costs that can be deducted on an individual’s federal tax return when they exceed 7.5
percent of adjusted gross income in a year. These expenses are described in IRS Publication
502, Medical and Dental Expenses. One exception is that while premiums for long-term
care insurance are deductible above that threshold, they cannot be paid from pretax FSA
accounts.
Reimbursable expenses are those that are:
• tax-deductible;
• related to the diagnosis, treatment or cure of a medical condition, mitigation or prevention of disease that affects any part or function of the body;
• primarily to alleviate or prevent a physical or mental defect or illness;
• not reimbursed by FEHB or any other source; and
• incurred by the enrollee, spouse and/or any eligible child.
The definition of eligible children was changed by the 2010 Affordable Care Act, P.L.
111-148, effective in calendar year 2011. An employee enrolled in FSAFEDS may request
reimbursement for eligible health care expenses incurred by a natural child, stepchild,
adopted child, eligible foster child, or a child who is placed with the employee for legal
adoption. The child does not need to reside with the employee or qualify as the employee’s tax dependent. Prior to 2011, eligible children were limited to those who could be
claimed as dependent(s) on the enrollee’s federal tax return.
The ACA also extended the age of a child who may incur eligible expenses under an
employee’s health care FSA. Expenses of an employee’s child are covered through the taxable year prior to the taxable year in which the child turns age 27.
Allowable costs include out-of-pocket charges under FEHB such as co-payments and
deductibles, certain medical procedures not covered or only partly covered by FEHB, and
certain other health-related expenses such as transportation necessary for medical care,
home or automobile renovations to accommodate a disability, certain legal fees and other
costs. Over-the-counter drugs or medicines are covered only if prescribed by a doctor, with
the exception of insulin, for which no prescription is needed. (The ACA added the general
requirement for a prescription effective with the 2011 plan year; previously no prescription
was required so long as the over-the-counter drug or medicine was used to treat injuries or
illnesses and was not merely cosmetic in nature or merely beneficial to general health). Other
eligible over-the-counter items that are not drugs or medicines do not require a prescription.
Insurance premiums of any kind—non-FEHB coverage, Medicare Part B, Tricare, etc.—
do not qualify for reimbursement. While premiums under the Federal Long Term Care
Insurance Program cannot be paid from an FSA account, long-term care type expenses that
are not reimbursed, such as costs incurred above the daily amount chosen for the FLTCIP
coverage, can be reimbursed from an FSA.
See www.fsafeds.com/fsafeds/eligibleexpenses.asp for a listing of eligible expenses.
'Limited' Accounts—FEHB enrollees in high-deductible health plans with a funded
health savings account (see Chapter 2, Section 1) are ineligible for a standard health care
FSA. However, they may enroll in a “limited expense” health care FSA if their FEHB carrier offers one and may set aside up to $5,000 for a year in pretax FSA dollars, the same
as non-HSA enrollees. The account can cover eligible dental and vision expenses only,
including out-of-pocket costs for such service as cleanings, fillings, crowns, orthodontics,
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2012 Federal Employees Almanac
refractions, eyeglasses, contact lenses, and vision correction procedures, as well as certain
other related expenses. Other expenses covered by a standard health care FSA are not
covered. For more information, go to www.fsafeds.com/fsafeds/summaryofbenefits.
asp#LFSA.
FEDVIP Coverage—IRS rules do not allow for reimbursement from an FSA of expenses
reimbursed by another insurance program, such as the Federal Employees Dental and
Vision Insurance Program. FSAFEDS enrollees who also are enrolled in FEDVIP should not
submit claims to FSAFEDS until they are sure that their FEDVIP carrier will not pay the
expense. Claims may be submitted to FSAFEDS if an enrollee has used all the benefits
available through FEDVIP, or certifies on the FSAFEDS claim form that the expenses will not
be submitted to FEDVIP for consideration.
Qualified Reservist Distributions—Section 114 of Public Law 110-245, effective
January 1, 2009, allows reservists to receive a distribution, known as a qualified reservist
distribution, of unused health care flexible spending account or limited expense health care
flexible spending account funds if they are called to active duty for 180 days or more or for
an indefinite time. They may wish to do this rather than risk losing funds under the “use or
lose” rule if they believe they might not incur sufficient eligible expenses to deplete the
account for the benefit period. Covered reservists are those in the Army National Guard,
Air National Guard, Army Reserve, Navy Reserve, Marine Corps Reserve, Air Force
Reserve, Coast Guard Reserve or Reserve Corps of the Public Health Service.
A QRD refunds the balance of FSAFEDS allotments in the requestor's account as of
the date of the request. This return of funds is taxable income in the year in which it is
received. Receipt of a QRD closes the FSAFEDS health-care account for that benefit
period. Employees receiving a QRD cannot submit additional claims for that benefit
period and cannot re-enroll until the next open season. A QRD can be requested during
the period beginning with the date of the order or call to active duty and ending on the
last day of the grace period for the FSAFEDS benefit period during which the order or
call to active duty occurs.
Employees desiring a QRD from a health care FSA should call FSAFEDS at (877) 3723337 and be prepared to submit a copy of the order or call to active duty. Employees
desiring a QRD from a limited expense health care FSA should contact the plan to inquire
about its procedures.
Claims
When you incur an eligible expense, complete and sign a claim form (available at
www.fsafeds.com under Claim Forms), attach the required information as explained on
that form, and submit your claim to SHPS. Claims can be submitted by fax to (866) 6432245, or by mail to FSAFEDS Program, P.O. Box 36880, Louisville, KY 40233.
Note: Some FEHB and FEDVIP carriers offer paperless reimbursement systems in which
FSAFEDS will automatically reimburse out-of-pocket expenses associated with the claim.
FSAFEDS enrollees can choose this option during enrollment and must re-enroll every year.
There are differences among the types of claims and services each plan submits. Participating
plans and other details are at www.fsafeds.com/forms/paperlessreimb.pdf.
Health Care Expenses—In addition to completing the claim form, the documentation under either item below must be attached:
• Explanation of Benefits statement (EOB). This is the statement you receive each time
you, or a health care provider, submit medical, dental, or vision claims for payment to
your health, dental, or vision care plan. The EOB will show the amount of expenses paid
by the plan and the amount you must pay. For expenses that are partially covered by
your (or your dependent’s) medical, dental or vision plans, you must attach the EOB. If
you are covered under a HMO or PPO indicate “Co-Pay” on Part II of the SHPS claim
form under “type(s) of service.”
• All Other Expenses. For expenses not covered at all by your (or your dependent’s)
medical, dental or vision plans, reimbursement requests will not be processed without
acceptable evidence of your expenses. A cancelled check alone is not considered
acceptable evidence. Acceptable evidence includes detailed receipts, which contain the
following information: type of service or product provided; date the expense was
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Chapter 1—Pay
incurred; name of employee or dependent for whom the service/product was provided;
person or organization providing the service; and amount of expense. For the health care
FSA, you can receive reimbursement for claims that exceed the current amount in your
account, as long as the total doesn’t exceed the total amount of your annual contribution.
Dependent Care Expenses—For allowable dependent care expenses, attach a copy
of the bill or signed receipt, or have the provider complete the “Dependent Care
Affidavit and Reimbursement Request” for SHPS. Requests will not be processed without
the Tax ID Number or Social Security Number for all providers.
For the dependent care FSA, you can only receive reimbursement up to the current
amount in your account at the time you submit your claim.
Submitting Claims—You may submit claims at any time during the plan year, and up
to April 30 of the following year. To be eligible for reimbursement, the expense must
have been incurred in the plan year or no later than 21⁄2 months after the end of the plan
year (the “grace period”)—typically by March 15 of the following year.
Claims for either health care or dependent care must be for eligible services already
rendered and must be submitted by April 30 of the year following the plan year to be
considered for reimbursement.
Note: If a plan year’s account balance is not sufficient to reimburse in full an eligible expense
incurred during the grace period, the unpaid balance will roll forward to any account the
employee established for the succeeding year. If the employee does not have an account in
the succeeding year, the expense will not be reimbursed in full.
FSAFEDS reimburses your eligible expenses from your FSA via electronic funds transfer or check payment. On average, turnaround from claim receipt to claim payment is
within 10 business days. Payment will be held until your reimbursement due reaches
$25, or until the end of the quarter, whichever comes first.
You will receive an Explanation of Benefits (EOB) statement in the mail anytime your
claim is not paid in full. Likewise, if you did not provide an e-mail address during enrollment, FSAFEDS will mail you a paper copy of the EOB. If you provided an e-mail
address, FSAFEDS will e-mail your EOB. The EOB details how your claim was paid.
Regardless of whether or not you have submitted claims, you will receive information
no later than October 31 in the plan year and no later than January 31, after the end of
the plan year, notifying you of how much remains in your FSA, as well as summarizing
claims paid to date. You have the right to appeal a claim for benefits that has been denied
in whole or in part by writing to SHPS and requesting reconsideration. All written appeal
requests should be sent to FSAFEDS Program, P.O. Box 36880, Louisville, KY 40233, fax
(866) 643-2245, within 60 days of the initial decision. Include an explanation of why you
disagree with the denial and cite specific provisions of the program or IRS rules, documents that support your claim such as a physician’s letter of medical necessity, explanation
of benefits statement or similar evidence. If FSAFEDs denies that request, you have an
additional 30 days to request review by the FSAFEDS appeal committee. Its decision is
subject to review by an independent third party, whose decision is final and binding.
An automated telephone service is available at (877) 372-3337 to check account balances and the status of a claim, and enrollees can set up an online account with those and
other features at www.fsafeds.com.
Status on Separation
If you separate (for retirement or other purposes) before the end of a plan year, a health
care FSA terminates on separation. Any expenses incurred before separation will still be
reimbursable, even if claims are submitted after separation. Any remaining balance in an
account is not refunded.
A dependent care account balance will still be available for any eligible expense incurred
within the plan year.
If you return to work for the government, your FSA can be reinstated. If you return to
work for a participating federal agency within 60 days and before the end of the same
calendar year, your previous election will be reinstated. You will not be permitted to
change the amount of your allotment unless you experienced a qualified status change
within the 60 days.
57
2012 Federal Employees Almanac
If you return in another plan year, you may make a new election.
For More Information
SHPS, not federal personnel offices, is the main point of contact for questions about the
program, account balances, status of claims and other administrative matters. Contact
FSAFEDS Program, P.O. Box 36880, Louisville, KY 40233, phone (877) 372-3337, TTY
(800) 952-0450, fax (866) 643-2245, online www.fsafeds.com, e-mail [email protected].
The online site has features including a calculator, sign-up for electronic funds transfer and
downloadable forms.
Section 10
Deductions from Pay
Compensation paid to federal employees is subject to a number of benefit-related
deductions. Most types of compensation are subject to federal, state, and local (if applicable) tax withholding.
Mandatory Deductions
Federal Retirement—For CSRS employees, the biweekly gross basic pay, based on a
40-hour week, is multiplied by 7 percent to determine the civil service retirement deduction. For FERS and CSRS Offset employees, the deduction is 0.8 percent. For employees
covered by the retirement systems for air traffic controllers, firefighters, and law enforcement officers, an additional 0.5 percent is deducted. Only pay from which retirement
deductions are taken is creditable for retirement purposes.
Social Security—The Social Security FICA (Federal Insurance Contributions Act) portion (normally 6.2 percent; 4.2 percent in 2011 through February 2012, subject to further extension at the lower level) applies to the wages of FERS and CSRS Offset employees up to the Social Security taxable maximum ($110,100 for 2012). Above that threshold, CSRS Offset employees pay a 7 or 7.5 percent deduction as applicable but the
money goes into the Civil Service Retirement and Disability Fund, not the Social Security
Trust Fund. FERS employees pay only their civil service portion above the maximum
wage base.
Medicare—A deduction of 1.45 percent of salary applies under all retirement systems
with no limitation on salary.
Also see Chapter 3, Section 2.
Tax Withholding
Federal Income Tax—IRS Publication 15-T (at www.irs.gov/pub/irs-pdf/p15t.pdf)
shows how to calculate the federal income tax withholding on an employee’s biweekly
gross wages. The federal government uses the percentage method of computing withholding. To determine your biweekly income tax withholding, take into account personal exemptions, Federal Employees Health Benefits program and Federal Employees
Dental and Vision Insurance Program premiums paid pretax under “premium conversion,” Thrift Savings Plan personal investments including “catch-up contributions,” if
eligible, flexible spending account contributions, deductible IRA contributions, and other
deductions for which you qualify; see Circular E and Form W-4 for detail. Subtract the
appropriate amount from your regular biweekly gross wages and use the result to calculate your withholding tax using the bi-weekly gross wage table in that publication.
State and Local Taxes—Section 5517 of Title 5, U.S.C., provides for withholding for
state income tax purposes where the law of any state requires the collection of such tax
and the Secretary of the Treasury has entered into an agreement to withhold state
income taxes; Section 5516 of Title 5, U.S. Code provides similar authority for the
District of Columbia. See Chapter 14, Section 4, for a listing of states with no income
taxes. Section 5520 of Title 5 of the U.S. Code provides for withholding of city or county income or employment taxes. Policies and rates vary; see information from each taxing
authority to determine proper withholding amounts.
Over Withholding—Where over withholding (federal and/or state, if applicable) has
resulted in large refunds in past years, you may be entitled to claim additional exemp-
58
Chapter 1—Pay
tions if a similar refund is anticipated in the current year. Use Form W-4 (and any
equivalent state withholding certificate), which has a schedule to compute the
exemptions.
Other Deductions
Federal employees typically have several types of voluntary deductions withheld from
their salaries. These in general fall into one of two categories: those deducted before federal taxes and state taxes (if applicable) are withheld, and those deducted from post-tax
pay.
Among common pre-tax payroll deductions for employees are:
• Federal Employees Health Benefits program premiums, if paid under premium conversion (see Chapter 2, Section 1)
• Flexible spending account health care and/or dependent care account withholdings
(see Section 9 of this chapter); and
• Federal Employees Dental and Vision Insurance Program premiums (see Chapter 2,
Section 4).
Among common post-tax deductions are:
• Federal Employees Health Benefits program premiums, if not paid under premium
conversion (see Chapter 2, Section 1);
• Federal Employees’ Group Life Insurance program premiums (see Chapter 2, Section
2);
• Federal Long-Term Care Insurance Program premiums (see Chapter 2, Section 3);
• Union or professional association dues;
• Combined Federal Campaign contributions; and
• Deductions for garnishment, child support, loans, savings programs, savings bond
purchases, union dues, or other purposes.
Personal investments under the Thrift Savings Plan’s original design, including both
regular investments up to the annual IRS-set maximum and “catch-up contributions” for
those eligible, are made with pre-tax money. Roth-type investments are made with post-tax
money. See Chapter 6, Section 1.
A full listing of the types of allowable payroll deductions is in a July 30, 2008, memo to
agencies at www.chcoc.gov/transmittals. That memo also sets an order of precedence for
deductions when an employee’s salary is not sufficient to permit all applicable deductions.
Many of the same deductions can be taken from retiree annuity payments, but there
are differences. For example, retirees may not make additional investments in the Thrift
Savings Plan nor participate in the FSA program; also, FEHB and FEDVIP withholdings cannot be made from annuities on a pre-tax basis. Special rules apply to retirees who are reemployed by the government. See Chapter 4, Section 4.
59
2012 Federal Employees Almanac
Section 11
2012 Pay Tables and Schedules
Annual Salaries of Top U.S. Government Positions
Executive Schedule
President Vice President
Level I Cabinet Officers
Level II
Level III
Level IV
Level V
$400,000 plus $50,000 official expense allowance
$230,700
$199,700
$179,700
$165,300
$155,500
$145,700
Congressional Salaries
Senators, Representatives, Delegates to Congress President pro tempore of the Senate
Majority leader and minority leader of the Senate
Majority leader and minority leader of the House
Speaker of the House of Representatives
$174,000
$193,400
$193,400
$193,400
$223,500
Judicial Salaries
Chief Justice of the United States
Associate Justices of the Supreme Court
Circuit Judges
District Judges
Judges, Court of International Trade, U.S. Tax Court, U.S. Claims Court
Senior Executive Service, Senior-Level,
and Senior Scientific and Technical Salaries
Agencies with a Certified Performance Appraisal System
Minimum
Maximum
$119,554
$179,700
Agencies without a Certified Performance Appraisal System
Minimum
Maximum
$119,554
$165,300
60
$233,500
$213,900
$184,500
$174,000
$174,000
Chapter 1—Pay
General Schedule Base Pay Table
Step
GS-1
2 3
4 5 6 7 8 9 10 11 12 13 14 15 1
2
3
4
5
6
17,803 18,398 18,990 19,579 20,171 20,519
20,017 20,493 21,155 21,717 21,961 22,607
21,840 22,568 23,296 24,024 24,752 25,480 24,518 25,335 26,152 26,969 27,786 28,603 27,431 28,345 29,259 30,173 31,087 32,001 30,577 31,596 32,615 33,634 34,653 35,672 33,979 35,112 36,245 37,378 38,511 39,644 37,631 38,885 40,139 41,393 42,647 43,901 41,563 42,948 44,333 45,718 47,103 48,488 45,771 47,297 48,823 50,349 51,875 53,401 50,287 51,963 53,639 55,315 56,991 58,667 60,274 62,283 64,292 66,301 68,310 70,319 71,674 74,063 76,452 78,841 81,230 83,619 84,697 87,520 90,343 93,166 95,989 98,812 99,628 102,949 106,270 109,591 112,912 116,233 7
8
9
10 21,104 21,694 21,717 22,269
23,253 23,899 24,545 25,191
26,208 26,936 27,664 28,392
29,420 30,237 31,054 31,871
32,915 33,829 34,743 35,657
36,691 37,710 38,729 39,748
40,777 41,910 43,043 44,176
45,155 46,409 47,663 48,917
49,873 51,258 52,643 54,028
54,927 56,453 57,979 59,505
60,343 62,019 63,695 65,371
72,328 74,337 76,346 78,355
86,008 88,397 90,786 93,175
101,635 104,458 107,281 110,104
119,554 122,875 126,196 129,517
Atlanta Locality Pay Table
Step
1
2
3
4
5
6
GS-1 21,237 21,947 22,653 23,356 24,062 24,477
2 23,878 24,446 25,236 25,906 26,197 26,968
3 26,053 26,921 27,790 28,658 29,527 30,395
4 29,248 30,222 31,197 32,171 33,146 34,121
5 32,722 33,813 34,903 35,993 37,084 38,174 6 36,475 37,691 38,906 40,122 41,338 42,553 7 40,534 41,885 43,237 44,588 45,940 47,291 8 44,890 46,386 47,882 49,378 50,874 52,370 9 49,581 51,233 52,885 54,537 56,189 57,841 10 54,600 56,421 58,241 60,061 61,882 63,702 11 59,987 61,987 63,986 65,985 67,985 69,984 12 71,901 74,297 76,694 79,090 81,487 83,884 13 85,500 88,350 91,200 94,049 96,899 99,749 14 101,035 104,403 107,770 111,138 114,505 117,873 15 118,846 122,808 126,769 130,731 134,693 138,654 7
8
9
10 25,175 25,879 25,906 26,565
27,739 28,509 29,280 30,050
31,264 32,132 33,000 33,869
35,095 36,070 37,044 38,019
39,264 40,355 41,445 42,535
43,769 44,984 46,200 47,415
48,643 49,994 51,346 52,698
53,865 55,361 56,857 58,353
59,494 61,146 62,798 64,450
65,522 67,343 69,163 70,984
71,983 73,982 75,982 77,981
86,280 88,677 91,073 93,470
102,599 105,449 108,299 111,148
121,240 124,608 127,976 131,343
142,616 146,578 150,539 154,501
Boston Locality Pay Table
Step
1
2
3
4
5
6
GS-1 22,218 22,961 23,700 24,435 25,173 25,608
2 24,981 25,575 26,401 27,103 27,407 28,214 3 27,256 28,165 29,073 29,982 30,890 31,799 4 30,598 31,618 32,638 33,657 34,677 35,697 5 34,234 35,375 36,515 37,656 38,797 39,937 6 38,160 39,432 40,704 41,975 43,247 44,519 7 42,406 43,820 45,234 46,648 48,062 49,476 8 46,963 48,528 50,093 51,658 53,223 54,788 9 51,871 53,599 55,328 57,056 58,785 60,513 10 57,122 59,027 60,931 62,836 64,740 66,644 11 62,758 64,850 66,941 69,033 71,125 73,216 12 75,222 77,729 80,236 82,744 85,251 87,758 13 89,449 92,431 95,412 98,394 101,375 104,357 14 105,702 109,225 112,748 116,271 119,794 123,317 15 124,336 128,480 132,625 136,770 140,914 145,059 61
7
8
9
10 26,338 27,074 27,103 27,792
29,020 29,826 30,632 31,438
32,708 33,616 34,525 35,433
36,716 37,736 38,755 39,775
41,078 42,219 43,359 44,500
45,790 47,062 48,334 49,606
50,890 52,304 53,718 55,132
56,353 57,918 59,483 61,048
62,242 63,970 65,698 67,427
68,549 70,453 72,358 74,262
75,308 77,400 79,491 81,583
90,265 92,773 95,280 97,787
107,338 110,319 113,301 116,282
126,840 130,364 133,887 137,410
149,203 153,348 155,500 155,500
2012 Federal Employees Almanac
Buffalo Locality Pay Table
Step
1
2
3
4
5
6
7
8
9
10 GS-1 20,826 21,522 22,215 22,904 23,596 24,003 24,687 25,378 25,405 26,050
2 23,416 23,973 24,747 25,405 25,690 26,446 27,201 27,957 28,713 29,468
3 25,548 26,400 27,252 28,103 28,955 29,807 30,658 31,510 32,361 33,213
4 28,681 29,637 30,593 31,548 32,504 33,460 34,416 35,371 36,327 37,283
5 32,089 33,158 34,227 35,296 36,366 37,435 38,504 39,573 40,642 41,712
6 35,769 36,961 38,153 39,345 40,537 41,729 42,921 44,113 45,305 46,497
7 39,749 41,074 42,399 43,725 45,050 46,376 47,701 49,026 50,352 51,677
8 44,021 45,488 46,955 48,422 49,888 51,355 52,822 54,289 55,756 57,223
9 48,620 50,241 51,861 53,481 55,101 56,721 58,341 59,962 61,582 63,202
10 53,543 55,328 57,113 58,898 60,683 62,468 64,254 66,039 67,824 69,609
11 58,826 60,786 62,747 64,707 66,668 68,629 70,589 72,550 74,510 76,471
12 70,509 72,859 75,209 77,559 79,909 82,259 84,609 86,959 89,310 91,660
13 83,844 86,639 89,434 92,228 95,023 97,818 100,612 103,407 106,201 108,996
14 99,079 102,381 105,683 108,986 112,288 115,590 118,893 122,195 125,497 128,800
15 116,545 120,430 124,315 128,200 132,084 135,969 139,854 143,739 147,624 151,509
Chicago Locality Pay Table
Step
1
2
3
4
5
6
7
8
9
10 GS-1 22,272 23,016 23,756 24,493 25,234 25,669 26,401 27,139 27,168 27,859
2 25,041 25,637 26,465 27,168 27,473 28,281 29,090 29,898 30,706 31,514
3 27,322 28,233 29,143 30,054 30,965 31,875 32,786 33,697 34,608 35,518
4 30,672 31,694 32,716 33,738 34,760 35,782 36,804 37,826 38,849 39,871
5 34,316 35,460 36,603 37,746 38,890 40,033 41,177 42,320 43,463 44,607
6 38,252 39,527 40,801 42,076 43,351 44,626 45,900 47,175 48,450 49,725
7 42,508 43,925 45,342 46,760 48,177 49,595 51,012 52,429 53,847 55,264
8 47,076 48,645 50,214 51,783 53,351 54,920 56,489 58,058 59,626 61,195
9 51,995 53,728 55,461 57,193 58,926 60,658 62,391 64,124 65,856 67,589
10 57,260 59,169 61,078 62,987 64,896 66,805 68,714 70,623 72,532 74,441
11 62,909 65,006 67,102 69,199 71,296 73,392 75,489 77,586 79,682 81,779
12 75,403 77,916 80,429 82,943 85,456 87,969 90,482 92,996 95,509 98,022
13 89,664 92,653 95,641 98,630 101,619 104,607 107,596 110,585 113,573 116,562
14 105,956 109,488 113,019 116,551 120,082 123,614 127,145 130,677 134,209 137,740
15 124,635 128,789 132,944 137,098 141,253 145,407 149,562 153,717 155,500 155,500
Cincinnati Locality Pay Table
Step
S-1
G
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
21,105
23,730
25,891
29,066
32,519
36,249
40,282
44,612
49,273
54,262
59,615
71,455
84,970
100,408
118,109
2
3
4
21,811 22,513 23,211
24,294 25,079 25,746
26,754 27,617 28,480
30,035 31,003 31,972
33,603 34,687 35,770
37,457 38,665 39,873
41,625 42,968 44,312
46,098 47,585 49,071
50,915 52,557 54,199
56,071 57,880 59,689
61,602 63,589 65,576
73,836 76,218 78,600
87,802 90,634 93,466
103,755 107,102 110,448
122,046 125,983 129,920
5
6
7
8
9
10 23,913 24,325 25,019 25,718 25,746 26,400
26,035 26,801 27,566 28,332 29,098 29,864
29,343 30,207 31,070 31,933 32,796 33,659
32,940 33,909 34,877 35,846 36,815 37,783
36,854 37,937 39,021 40,104 41,188 42,271
41,081 42,289 43,497 44,705 45,913 47,121
45,655 46,998 48,341 49,684 51,027 52,371
50,558 52,045 53,531 55,018 56,504 57,991
55,841 57,483 59,124 60,766 62,408 64,050
61,498 63,307 65,116 66,925 68,734 70,543
67,563 69,550 71,537 73,524 75,510 77,497
80,982 83,363 85,745 88,127 90,508 92,890
96,298 99,130 101,962 104,795 107,627 110,459
113,795 117,142 120,488 123,835 127,182 130,528
133,857 137,794 141,731 145,668 149,605 153,542
62
Chapter 1—Pay
Cleveland Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
21,129
23,756
25,920
29,098
32,555
36,289
40,326
44,660
49,327
54,321
59,681
71,533
85,063
100,518
118,239
2
3
4
21,835 22,537 23,236
24,321 25,107 25,774
26,784 27,648 28,512
30,068 31,037 32,007
33,640 34,725 35,809
37,498 38,707 39,917
41,671 43,016 44,360
46,149 47,637 49,125
50,971 52,614 54,258
56,132 57,943 59,754
61,670 63,659 65,648
73,917 76,302 78,686
87,898 90,733 93,568
103,869 107,219 110,569
122,180 126,121 130,063
5
6
7
8
9
10 23,939 24,352 25,046 25,746 25,774 26,429
26,063 26,830 27,597 28,363 29,130 29,897
29,376 30,240 31,104 31,968 32,832 33,696
32,976 33,946 34,916 35,885 36,855 37,825
36,894 37,979 39,064 40,148 41,233 42,318
41,126 42,336 43,545 44,754 45,964 47,173
45,705 47,049 48,394 49,739 51,083 52,428
50,613 52,102 53,590 55,078 56,566 58,055
55,902 57,546 59,189 60,833 62,477 64,120
61,565 63,376 65,187 66,998 68,809 70,621
67,637 69,626 71,615 73,604 75,593 77,582
81,070 83,455 85,839 88,223 90,607 92,992
96,404 99,239 102,074 104,910 107,745 110,580
113,920 117,270 120,620 123,971 127,321 130,671
134,004 137,945 141,887 145,828 149,769 153,711
Columbus Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
20,858
23,452
25,588
28,725
32,138
35,824
39,810
44,088
48,695
53,625
58,916
70,617
83,973
99,231
116,724
2
3
4
21,555 22,249 22,939
24,010 24,785 25,444
26,441 27,294 28,147
29,682 30,640 31,597
33,209 34,280 35,351
37,018 38,212 39,406
41,137 42,465 43,792
45,558 47,027 48,496
50,318 51,941 53,563
55,413 57,201 58,989
60,880 62,843 64,807
72,971 75,325 77,678
86,772 89,571 92,370
102,538 105,846 109,153
120,615 124,506 128,397
5
6
7
8
9
10 23,632 24,040 24,725 25,417 25,444 26,090
25,730 26,486 27,243 28,000 28,757 29,514
28,999 29,852 30,705 31,558 32,411 33,264
32,554 33,511 34,468 35,426 36,383 37,340
36,422 37,492 38,563 39,634 40,705 41,776
40,599 41,793 42,987 44,181 45,375 46,569
45,119 46,447 47,774 49,102 50,429 51,757
49,965 51,434 52,904 54,373 55,842 57,311
55,186 56,809 58,431 60,054 61,677 63,299
60,777 62,565 64,352 66,140 67,928 69,716
66,771 68,734 70,698 72,661 74,625 76,589
80,032 82,386 84,739 87,093 89,447 91,801
95,169 97,968 100,767 103,566 106,365 109,164
112,461 115,768 119,076 122,383 125,690 128,998
132,288 136,179 140,069 143,960 147,851 151,742
Dallas-Ft. Worth Locality Pay Table
Step
S-1
G
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
21,483
24,155
26,354
29,586
33,101
36,897
41,002
45,409
50,154
55,232
60,681
72,733
86,489
102,204
120,221
2
3
4
22,201 22,915 23,626
24,729 25,528 26,206
27,233 28,111 28,990
30,572 31,558 32,543
34,204 35,307 36,410
38,127 39,357 40,586
42,370 43,737 45,104
46,923 48,436 49,949
51,825 53,497 55,168
57,073 58,915 60,756
62,704 64,726 66,749
75,157 77,581 80,005
89,372 92,255 95,137
105,610 109,017 112,423
124,229 128,236 132,243
5
6
7
8
9
10 24,340 24,760 25,466 26,178 26,206 26,872
26,500 27,280 28,059 28,839 29,618 30,398
29,868 30,747 31,625 32,504 33,382 34,261
33,529 34,515 35,501 36,487 37,473 38,459
37,513 38,616 39,719 40,821 41,924 43,027
41,816 43,045 44,275 45,505 46,734 47,964
46,471 47,838 49,206 50,573 51,940 53,307
51,462 52,975 54,489 56,002 57,515 59,028
56,839 58,510 60,182 61,853 63,524 65,196
62,598 64,439 66,280 68,122 69,963 71,805
68,771 70,793 72,816 74,838 76,861 78,883
82,430 84,854 87,278 89,702 92,127 94,551
98,020 100,903 103,786 106,669 109,551 112,434
115,830 119,236 122,643 126,049 129,456 132,862
136,251 140,258 144,266 148,273 152,281 155,500
63
2012 Federal Employees Almanac
Dayton Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
20,694
23,268
25,387
28,500
31,886
35,543
39,497
43,742
48,313
53,204
58,454
70,062
83,314
98,452
115,808
2
3
4
21,386 22,074 22,759
23,821 24,591 25,244
26,233 27,079 27,925
29,449 30,399 31,349
32,948 34,011 35,073
36,727 37,912 39,096
40,814 42,131 43,448
45,200 46,658 48,115
49,923 51,533 53,143
54,978 56,752 58,526
60,402 62,350 64,298
72,398 74,733 77,068
86,091 88,868 91,645
101,733 105,015 108,296
119,668 123,528 127,389
5
6
7
8
9
10 23,447 23,851 24,531 25,217 25,244 25,885
25,527 26,278 27,029 27,780 28,531 29,282
28,772 29,618 30,464 31,310 32,157 33,003
32,298 33,248 34,198 35,147 36,097 37,047
36,136 37,198 38,260 39,323 40,385 41,448
40,281 41,465 42,650 43,834 45,019 46,203
44,765 46,082 47,399 48,716 50,033 51,350
49,573 51,031 52,488 53,946 55,403 56,861
54,753 56,362 57,972 59,582 61,192 62,802
60,300 62,073 63,847 65,621 67,395 69,169
66,246 68,195 70,143 72,091 74,039 75,987
79,404 81,739 84,074 86,409 88,745 91,080
94,422 97,199 99,976 102,753 105,530 108,307
111,578 114,859 118,141 121,422 124,703 127,985
131,249 135,109 138,970 142,830 146,690 150,551
Denver Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
21,812
24,525
26,758
30,039
33,608
37,463
41,631
46,106
50,923
56,079
61,612
73,848
87,815
103,771
122,064
2
3
4
22,541 23,267 23,988
25,108 25,919 26,608
27,650 28,542 29,434
31,040 32,041 33,042
34,728 35,848 36,968
38,711 39,960 41,208
43,019 44,407 45,796
47,642 49,178 50,715
52,620 54,317 56,014
57,948 59,818 61,688
63,665 65,719 67,772
76,309 78,771 81,232
90,742 93,669 96,596
107,230 110,688 114,147
126,133 130,202 134,271
5
6
7
8
9
10 24,714 25,140 25,857 26,579 26,608 27,284
26,907 27,698 28,490 29,281 30,073 30,864
30,326 31,218 32,110 33,002 33,894 34,786
34,043 35,044 36,045 37,046 38,047 39,048
38,088 39,208 40,327 41,447 42,567 43,687
42,457 43,705 44,954 46,202 47,451 48,699
47,184 48,572 49,960 51,348 52,736 54,124
52,251 53,788 55,324 56,860 58,397 59,933
57,711 59,407 61,104 62,801 64,498 66,195
63,557 65,427 67,297 69,166 71,036 72,906
69,825 71,879 73,932 75,986 78,039 80,093
83,693 86,155 88,616 91,078 93,539 96,001
99,523 102,450 105,377 108,304 111,231 114,158
117,606 121,064 124,523 127,982 131,441 134,899
138,340 142,409 146,478 150,546 154,615 155,500
Detroit Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
22,092
24,839
27,101
30,424
34,039
37,943
42,165
46,696
51,576
56,797
62,401
74,794
88,940
105,101
123,628
2
3
4
22,830 23,565 24,296
25,430 26,251 26,949
28,005 28,908 29,811
31,438 32,452 33,466
35,173 36,307 37,442
39,207 40,472 41,736
43,570 44,976 46,382
48,252 49,808 51,365
53,294 55,013 56,731
58,691 60,584 62,478
64,481 66,561 68,640
77,287 79,780 82,273
91,905 94,869 97,834
108,604 112,107 115,610
127,749 131,870 135,991
5
6
7
8
9
10 25,030 25,462 26,188 26,920 26,949 27,634
27,251 28,053 28,855 29,656 30,458 31,260
30,715 31,618 32,522 33,425 34,328 35,232
34,480 35,493 36,507 37,521 38,535 39,549
38,576 39,710 40,844 41,978 43,113 44,247
43,001 44,265 45,530 46,794 48,059 49,323
47,788 49,194 50,600 52,006 53,412 54,818
52,921 54,477 56,033 57,589 59,145 60,701
58,450 60,169 61,887 63,606 65,325 67,043
64,372 66,265 68,159 70,053 71,946 73,840
70,720 72,800 74,880 76,959 79,039 81,119
84,766 87,259 89,752 92,245 94,738 97,231
100,798 103,763 106,727 109,692 112,656 115,621
119,113 122,616 126,119 129,622 133,125 136,628
140,113 144,234 148,355 152,476 155,500 155,500
64
Chapter 1—Pay
Hartford Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
22,400
25,185
27,479
30,849
34,514
38,472
42,752
47,347
52,295
57,589
63,271
75,837
90,180
106,566
125,352
2
3
4
23,148 23,893 24,634
25,784 26,617 27,324
28,395 29,311 30,227
31,876 32,904 33,932
35,664 36,814 37,964
39,754 41,036 42,318
44,178 45,603 47,029
48,925 50,503 52,081
54,037 55,780 57,522
59,509 61,429 63,349
65,380 67,489 69,597
78,364 80,892 83,420
93,186 96,192 99,198
110,118 113,670 117,221
129,530 133,709 137,887
5
6
7
8
9
10 25,379 25,817 26,553 27,295 27,324 28,019
27,631 28,444 29,257 30,070 30,883 31,695
31,143 32,059 32,975 33,891 34,807 35,723
34,960 35,988 37,016 38,044 39,072 40,100
39,114 40,264 41,414 42,564 43,714 44,864
43,600 44,883 46,165 47,447 48,729 50,011
48,455 49,880 51,306 52,731 54,157 55,582
53,658 55,236 56,814 58,392 59,970 61,547
59,265 61,008 62,750 64,493 66,235 67,978
65,269 67,189 69,109 71,029 72,949 74,869
71,706 73,815 75,924 78,032 80,141 82,250
85,948 88,475 91,003 93,531 96,059 98,586
102,204 105,209 108,215 111,221 114,227 117,233
120,773 124,325 127,877 131,429 134,981 138,533
142,066 146,244 150,423 154,601 155,500 155,500
Houston Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
22,914
25,764
28,110
31,557
35,306
39,356
43,734
48,435
53,496
58,912
64,724
77,579
92,252
109,014
128,231
2
3
4
23,680 24,442 25,200
26,377 27,229 27,952
29,047 29,984 30,921
32,609 33,660 34,712
36,483 37,659 38,836
40,667 41,979 43,290
45,193 46,651 48,109
50,049 51,663 53,277
55,278 57,061 58,844
60,876 62,840 64,804
66,882 69,039 71,196
80,164 82,750 85,336
95,326 98,401 101,476
112,647 116,280 119,914
132,506 136,780 141,055
5
6
7
8
9
10 25,962 26,410 27,163 27,922 27,952 28,662
28,266 29,097 29,929 30,760 31,592 32,423
31,858 32,795 33,732 34,669 35,606 36,543
35,763 36,815 37,866 38,918 39,970 41,021
40,012 41,188 42,365 43,541 44,718 45,894
44,602 45,913 47,225 48,537 49,848 51,160
49,568 51,026 52,484 53,942 55,401 56,859
54,891 56,505 58,119 59,733 61,347 62,961
60,626 62,409 64,192 65,974 67,757 69,539
66,768 68,732 70,697 72,661 74,625 76,589
73,353 75,510 77,667 79,825 81,982 84,139
87,922 90,508 93,093 95,679 98,265 100,851
104,551 107,626 110,701 113,776 116,851 119,926
123,547 127,181 130,814 134,448 138,081 141,715
145,329 149,603 153,878 155,500 155,500 155,500
Huntsville (Ala.) Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
20,655
23,224
25,339
28,446
31,825
35,475
39,422
43,659
48,221
53,104
58,343
69,930
83,156
98,265
115,588
2
3
4
21,345 22,032 22,716
23,776 24,544 25,196
26,183 27,028 27,873
29,394 30,342 31,289
32,886 33,946 35,007
36,658 37,840 39,022
40,737 42,051 43,366
45,114 46,569 48,024
49,828 51,435 53,042
54,874 56,644 58,415
60,287 62,232 64,176
72,261 74,592 76,922
85,928 88,700 91,471
101,541 104,816 108,091
119,441 123,294 127,147
5
6
7
8
9
10 23,402 23,806 24,485 25,169 25,196 25,836
25,479 26,229 26,978 27,728 28,477 29,227
28,717 29,562 30,407 31,251 32,096 32,940
32,237 33,185 34,133 35,081 36,029 36,977
36,067 37,128 38,188 39,248 40,309 41,369
40,204 41,387 42,569 43,751 44,933 46,116
44,680 45,995 47,309 48,624 49,938 51,253
49,479 50,934 52,389 53,844 55,299 56,754
54,649 56,256 57,863 59,470 61,076 62,683
60,185 61,956 63,726 65,497 67,267 69,038
66,121 68,065 70,010 71,954 73,899 75,843
79,253 81,584 83,915 86,246 88,577 90,907
94,243 97,015 99,786 102,558 105,330 108,102
111,366 114,642 117,917 121,192 124,467 127,743
131,001 134,854 138,707 142,560 146,413 150,266
65
2012 Federal Employees Almanac
Indianapolis Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
20,416
22,955
25,046
28,117
31,458
35,066
38,967
43,155
47,664
52,490
57,669
69,122
82,196
97,131
114,253
2
3
4
21,099 21,778 22,453
23,501 24,261 24,905
25,881 26,716 27,551
29,054 29,991 30,928
32,506 33,554 34,602
36,234 37,403 38,571
40,266 41,566 42,865
44,593 46,031 47,469
49,253 50,841 52,429
54,240 55,990 57,740
59,591 61,513 63,435
71,426 73,730 76,034
84,935 87,675 90,415
100,368 103,605 106,843
118,062 121,870 125,679
5
6
7
8
9
10 23,132 23,531 24,202 24,879 24,905 25,538
25,185 25,926 26,667 27,407 28,148 28,889
28,386 29,220 30,055 30,890 31,725 32,560
31,865 32,802 33,739 34,676 35,613 36,550
35,651 36,699 37,747 38,795 39,843 40,891
39,740 40,909 42,077 43,246 44,414 45,583
44,164 45,464 46,763 48,062 49,362 50,661
48,908 50,346 51,784 53,222 54,660 56,098
54,018 55,606 57,194 58,783 60,371 61,959
59,490 61,240 62,990 64,740 66,490 68,240
65,357 67,279 69,201 71,123 73,045 74,967
78,338 80,642 82,946 85,250 87,554 89,858
93,155 95,894 98,634 101,374 104,113 106,853
110,080 113,318 116,555 119,792 123,030 126,267
129,487 133,296 137,105 140,913 144,722 148,530
Los Angeles Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
2
3
4
5
6
7
8
9
10
22,638 23,395 24,148 24,897 25,649 26,092 26,836 27,586 27,615 28,317
25,454 26,059 26,901 27,615 27,926 28,747 29,569 30,390 31,211 32,033
27,772 28,697 29,623 30,549 31,475 32,400 33,326 34,252 35,178 36,103
31,177 32,216 33,255 34,294 35,333 36,372 37,410 38,449 39,488 40,527
34,881 36,044 37,206 38,368 39,530 40,692 41,855 43,017 44,179 45,341
38,882 40,177 41,473 42,769 44,065 45,361 46,656 47,952 49,248 50,544
43,208 44,648 46,089 47,530 48,971 50,411 51,852 53,293 54,733 56,174
47,852 49,446 51,041 52,635 54,230 55,825 57,419 59,014 60,608 62,203
52,852 54,613 56,374 58,135 59,896 61,657 63,419 65,180 66,941 68,702
58,202 60,143 62,083 64,024 65,964 67,905 69,845 71,786 73,726 75,667
63,945 66,076 68,207 70,339 72,470 74,601 76,732 78,863 80,995 83,126
76,644 79,199 81,754 84,308 86,863 89,418 91,972 94,527 97,082 99,636
91,141 94,179 97,216 100,254 103,292 106,330 109,368 112,406 115,443 118,481
107,701 111,290 114,880 118,470 122,060 125,649 129,239 132,829 136,419 140,008
126,687 130,910 135,133 139,356 143,579 147,802 152,025 155,500 155,500 155,500
Miami-Ft. Lauderdale Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
2
3
4
5
21,504 22,223 22,938 23,649 24,365
24,179 24,753 25,553 26,232 26,527
26,381 27,260 28,139 29,019 29,898
29,615 30,602 31,589 32,576 33,563
33,134 34,238 35,342 36,446 37,550
36,934 38,165 39,396 40,627 41,857
41,043 42,412 43,780 45,149 46,517
45,454 46,969 48,484 49,999 51,513
50,204 51,877 53,550 55,223 56,896
55,287 57,130 58,973 60,817 62,660
60,742 62,766 64,791 66,815 68,839
72,805 75,232 77,658 80,085 82,512
86,575 89,461 92,346 95,232 98,118
102,306 105,715 109,125 112,535 115,945
120,341 124,352 128,364 132,375 136,386
66
6
7
8
9
10
24,785 25,492 26,204 26,232 26,899
27,307 28,087 28,868 29,648 30,428
30,777 31,657 32,536 33,415 34,295
34,550 35,536 36,523 37,510 38,497
38,654 39,758 40,862 41,966 43,070
43,088 44,319 45,550 46,781 48,012
47,886 49,255 50,623 51,992 53,360
53,028 54,543 56,057 57,572 59,087
58,569 60,242 61,915 63,587 65,260
64,503 66,346 68,190 70,033 71,876
70,864 72,888 74,913 76,937 78,962
84,938 87,365 89,792 92,218 94,645
101,003 103,889 106,775 109,660 112,546
119,355 122,765 126,175 129,585 132,995
140,398 144,409 148,421 152,432 155,500
Chapter 1—Pay
Milwaukee-Racine Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
21,025
23,640
25,793
28,956
32,396
36,111
40,129
44,442
49,086
54,056
59,389
71,184
84,647
100,027
117,661
2
3
4
21,728 22,427 23,123
24,202 24,984 25,648
26,653 27,513 28,372
29,921 30,886 31,850
33,475 34,555 35,634
37,315 38,518 39,722
41,467 42,805 44,143
45,923 47,404 48,885
50,722 52,357 53,993
55,858 57,660 59,462
61,368 63,348 65,327
73,556 75,929 78,301
87,468 90,290 93,111
103,361 106,695 110,029
121,583 125,505 129,427
5
6
7
8
9
10 23,822 24,233 24,924 25,621 25,648 26,300
25,936 26,699 27,462 28,225 28,988 29,751
29,232 30,092 30,952 31,811 32,671 33,531
32,815 33,780 34,745 35,710 36,675 37,640
36,714 37,793 38,873 39,952 41,031 42,111
40,925 42,129 43,332 44,536 45,739 46,942
45,481 46,820 48,158 49,496 50,834 52,172
50,366 51,847 53,328 54,809 56,290 57,771
55,629 57,264 58,900 60,536 62,171 63,807
61,264 63,067 64,869 66,671 68,473 70,275
67,306 69,286 71,265 73,244 75,224 77,203
80,674 83,047 85,419 87,792 90,165 92,537
95,933 98,754 101,575 104,397 107,218 110,040
113,363 116,697 120,031 123,365 126,699 130,033
133,349 137,271 141,193 145,115 149,037 152,960
Minneapolis-St. Paul Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
21,535
24,213
26,418
29,657
33,181
36,986
41,101
45,518
50,275
55,365
60,827
72,907
86,697
102,449
120,510
2
3
4
22,254 22,970 23,683
24,788 25,589 26,269
27,298 28,179 29,059
30,645 31,633 32,622
34,286 35,392 36,497
38,219 39,451 40,684
42,471 43,842 45,212
47,035 48,552 50,069
51,950 53,625 55,300
57,210 59,056 60,902
62,854 64,882 66,909
75,338 77,768 80,198
89,587 92,476 95,366
105,864 109,279 112,694
124,527 128,544 132,561
5
6
7
8
9
10 24,399 24,820 25,527 26,241 26,269 26,937
26,564 27,345 28,127 28,908 29,690 30,471
29,940 30,821 31,701 32,582 33,462 34,343
33,610 34,598 35,586 36,575 37,563 38,551
37,603 38,708 39,814 40,920 42,025 43,131
41,916 43,149 44,381 45,614 46,847 48,079
46,583 47,953 49,324 50,694 52,065 53,435
51,586 53,103 54,619 56,136 57,653 59,170
56,976 58,651 60,326 62,002 63,677 65,352
62,748 64,594 66,440 68,286 70,131 71,977
68,936 70,964 72,991 75,018 77,045 79,073
82,628 85,058 87,488 89,918 92,348 94,778
98,256 101,146 104,035 106,925 109,815 112,704
116,108 119,523 122,938 126,352 129,767 133,182
136,578 140,595 144,613 148,630 152,647 155,500
New York Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
22,916
25,766
28,112
31,560
35,309
39,359
43,738
48,439
53,500
58,916
64,729
77,585
92,259
109,022
128,241
2
3
4
23,682 24,444 25,202
26,379 27,231 27,954
29,050 29,987 30,924
32,611 33,663 34,714
36,486 37,662 38,839
40,670 41,982 43,294
45,196 46,655 48,113
50,053 51,667 53,281
55,283 57,065 58,848
60,881 62,845 64,809
66,887 69,044 71,201
80,171 82,757 85,343
95,334 98,409 101,484
112,656 116,290 119,923
132,516 136,791 141,066
5
6
7
8
9
10 25,964 26,412 27,165 27,925 27,954 28,665
28,268 29,100 29,931 30,763 31,594 32,426
31,861 32,798 33,735 34,672 35,609 36,546
35,766 36,818 37,869 38,921 39,973 41,024
40,015 41,192 42,368 43,545 44,721 45,898
44,605 45,917 47,229 48,540 49,852 51,164
49,571 51,030 52,488 53,947 55,405 56,863
54,895 56,509 58,124 59,738 61,352 62,966
60,631 62,414 64,197 65,979 67,762 69,545
66,774 68,738 70,702 72,666 74,631 76,595
73,359 75,516 77,674 79,831 81,988 84,146
87,929 90,515 93,101 95,687 98,273 100,859
104,559 107,634 110,709 113,785 116,860 119,935
123,557 127,191 130,825 134,458 138,092 141,726
145,340 149,615 153,890 155,500 155,500 155,500
67
2012 Federal Employees Almanac
Philadelphia Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
21,682
24,379
26,599
29,860
33,408
37,240
41,383
45,831
50,620
55,745
61,245
73,408
87,292
103,152
121,337
2
3
4
22,407 23,128 23,845
24,958 25,765 26,449
27,486 28,372 29,259
30,855 31,851 32,846
34,521 35,635 36,748
38,481 39,722 40,963
42,763 44,143 45,523
47,358 48,885 50,413
52,306 53,993 55,680
57,603 59,462 61,320
63,286 65,327 67,368
75,854 78,301 80,748
90,201 93,111 96,020
106,591 110,029 113,467
125,382 129,426 133,471
5
6
7
8
9
10 24,566 24,990 25,703 26,421 26,449 27,121
26,746 27,533 28,320 29,107 29,893 30,680
30,145 31,032 31,919 32,805 33,692 34,579
33,841 34,836 35,831 36,826 37,821 38,816
37,861 38,974 40,087 41,200 42,313 43,427
42,204 43,445 44,686 45,927 47,168 48,409
46,903 48,282 49,662 51,042 52,422 53,802
51,940 53,467 54,994 56,522 58,049 59,576
57,367 59,054 60,740 62,427 64,114 65,801
63,179 65,037 66,896 68,754 70,613 72,471
69,409 71,451 73,492 75,533 77,574 79,615
83,195 85,642 88,088 90,535 92,982 95,429
98,930 101,840 104,749 107,659 110,568 113,478
116,905 120,343 123,781 127,219 130,658 134,096
137,516 141,560 145,605 149,649 153,694 155,500
Phoenix Locality Pay Table
Step
S-1
G
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
20,787
23,372
25,500
28,627
32,028
35,702
39,674
43,938
48,529
53,442
58,715
70,376
83,687
98,892
116,326
2
3
4
21,482 22,173 22,860
23,928 24,701 25,357
26,350 27,200 28,050
29,581 30,535 31,489
33,096 34,163 35,230
36,891 38,081 39,271
40,997 42,320 43,643
45,402 46,866 48,330
50,146 51,763 53,380
55,224 57,006 58,787
60,672 62,629 64,586
72,722 75,067 77,413
86,476 89,265 92,055
102,188 105,484 108,781
120,203 124,081 127,958
5
6
7
8
9
10 23,552 23,958 24,641 25,330 25,357 26,001
25,642 26,396 27,150 27,904 28,659 29,413
28,900 29,750 30,600 31,450 32,300 33,150
32,443 33,397 34,351 35,305 36,259 37,213
36,297 37,364 38,432 39,499 40,566 41,633
40,461 41,651 42,840 44,030 45,220 46,410
44,965 46,288 47,611 48,934 50,257 51,580
49,795 51,259 52,723 54,187 55,651 57,115
54,997 56,615 58,232 59,849 61,466 63,083
60,569 62,351 64,133 65,915 67,696 69,478
66,543 68,500 70,456 72,413 74,370 76,327
79,759 82,104 84,450 86,796 89,142 91,487
94,844 97,634 100,423 103,212 106,002 108,791
112,077 115,373 118,669 121,965 125,261 128,557
131,836 135,714 139,591 143,469 147,346 151,224
Pittsburgh Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
20,717
23,294
25,415
28,532
31,921
35,582
39,541
43,791
48,367
53,264
58,519
70,141
83,407
98,562
115,937
2
3
4
21,410 22,099 22,784
23,848 24,618 25,272
26,262 27,110 27,957
29,482 30,433 31,384
32,985 34,049 35,112
36,768 37,954 39,140
40,860 42,178 43,497
45,250 46,710 48,169
49,979 51,590 53,202
55,040 56,815 58,591
60,469 62,420 64,370
72,479 74,817 77,154
86,187 88,967 91,747
101,847 105,132 108,417
119,802 123,666 127,531
5
6
7
8
9
10 23,473 23,878 24,559 25,245 25,272 25,914
25,556 26,308 27,060 27,811 28,563 29,315
28,804 29,651 30,498 31,345 32,193 33,040
32,335 33,285 34,236 35,187 36,138 37,088
36,176 37,240 38,303 39,367 40,430 41,494
40,326 41,512 42,697 43,883 45,069 46,255
44,815 46,134 47,452 48,771 50,089 51,408
49,628 51,088 52,547 54,006 55,465 56,925
54,814 56,425 58,037 59,649 61,261 62,872
60,367 62,143 63,919 65,694 67,470 69,246
66,320 68,271 70,221 72,172 74,122 76,072
79,492 81,830 84,168 86,506 88,844 91,182
94,527 97,307 100,088 102,868 105,648 108,428
111,702 114,988 118,273 121,558 124,843 128,128
131,396 135,260 139,125 142,990 146,854 150,719
68
Chapter 1—Pay
Portland-Salem Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
21,426
24,090
26,284
29,507
33,013
36,799
40,894
45,289
50,021
55,085
60,520
72,540
86,260
101,933
119,902
2
3
4
22,142 22,854 23,563
24,663 25,460 26,136
27,161 28,037 28,913
30,491 31,474 32,457
34,113 35,213 36,313
38,026 39,252 40,479
42,257 43,621 44,984
46,798 48,307 49,816
51,688 53,355 55,022
56,922 58,758 60,595
62,537 64,555 66,572
74,958 77,375 79,793
89,135 92,010 94,885
105,330 108,728 112,125
123,899 127,896 131,893
5
6
7
8
9
10 24,276 24,695 25,399 26,109 26,136 26,801
26,430 27,208 27,985 28,762 29,540 30,317
29,789 30,665 31,541 32,417 33,294 34,170
33,440 34,424 35,407 36,390 37,373 38,357
37,413 38,513 39,613 40,713 41,813 42,913
41,705 42,931 44,158 45,384 46,610 47,837
46,348 47,712 49,075 50,439 51,802 53,166
51,326 52,835 54,344 55,853 57,362 58,872
56,688 58,355 60,022 61,689 63,356 65,023
62,432 64,268 66,105 67,941 69,778 71,614
68,589 70,606 72,623 74,640 76,657 78,674
82,211 84,629 87,047 89,465 91,882 94,300
97,760 100,635 103,511 106,386 109,261 112,136
115,523 118,920 122,318 125,715 129,113 132,510
135,890 139,886 143,883 147,880 151,877 155,500
Raleigh-Durham Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
20,943
23,548
25,693
28,843
32,270
35,971
39,973
44,269
48,895
53,845
59,158
70,906
84,317
99,638
117,202
2
3
4
21,643 22,340 23,033
24,108 24,887 25,548
26,549 27,405 28,262
29,804 30,765 31,726
33,345 34,420 35,496
37,170 38,368 39,567
41,306 42,639 43,971
45,744 47,220 48,695
50,524 52,153 53,783
55,640 57,435 59,231
61,129 63,101 65,073
73,270 75,633 77,996
87,128 89,938 92,749
102,959 106,280 109,600
121,109 125,016 128,923
5
6
7
23,729 24,139 24,827
25,835 26,595 27,355
29,118 29,975 30,831
32,687 33,649 34,610
36,571 37,646 38,721
40,766 41,965 43,163
45,304 46,637 47,970
50,170 51,645 53,120
55,412 57,041 58,671
61,026 62,821 64,616
67,044 69,016 70,988
80,360 82,723 85,087
95,559 98,369 101,180
112,921 116,242 119,563
132,830 136,737 1 40,643
8
9
10 25,521 25,548 26,197
28,115 28,875 29,635
31,688 32,544 33,400
35,571 36,532 37,493
39,796 40,872 41,947
44,362 45,561 46,760
49,303 50,636 51,969
54,596 56,071 57,546
60,300 61,929 63,559
66,411 68,206 70,002
72,959 74,931 76,902
87,450 89,813 92,177
103,990 106,801 109,611
122,884 126,205 129,526
144,550 148,457 152,364
Richmond-Petersburg Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
20,735
23,314
25,437
28,556
31,949
35,613
39,575
43,829
48,408
53,309
58,569
70,201
83,479
98,647
116,037
2
3
4
21,428 22,118 22,804
23,868 24,639 25,294
26,285 27,133 27,981
29,508 30,459 31,411
33,013 34,078 35,142
36,800 37,987 39,174
40,895 42,215 43,534
45,289 46,750 48,210
50,022 51,635 53,248
55,087 56,864 58,641
60,521 62,473 64,425
72,541 74,881 77,221
86,261 89,044 91,826
101,935 105,222 108,510
119,905 123,773 127,641
5
6
7
8
9
10 23,493 23,898 24,580 25,267 25,294 25,937
25,578 26,330 27,083 27,835 28,588 29,340
28,829 29,677 30,524 31,372 32,220 33,068
32,362 33,314 34,265 35,217 36,169 37,120
36,207 37,272 38,336 39,401 40,465 41,530
40,360 41,547 42,734 43,921 45,108 46,294
44,854 46,173 47,493 48,813 50,132 51,452
49,671 51,131 52,592 54,053 55,513 56,974
54,861 56,474 58,087 59,700 61,313 62,926
60,419 62,196 63,973 65,751 67,528 69,305
66,377 68,329 70,281 72,234 74,186 76,138
79,561 81,901 84,240 86,580 88,920 91,260
94,609 97,391 100,174 102,956 105,738 108,521
111,798 115,086 118,374 121,662 124,950 128,238
131,509 135,377 139,245 143,113 146,980 150,848
69
2012 Federal Employees Almanac
Sacramento-Yolo Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
21,755
24,461
26,688
29,961
33,521
37,365
41,522
45,985
50,790
55,932
61,451
73,655
87,586
103,500
121,745
2
3
4
22,482 23,206 23,926
25,042 25,851 26,538
27,578 28,468 29,357
30,959 31,958 32,956
34,638 35,754 36,871
38,610 39,856 41,101
42,907 44,291 45,676
47,517 49,050 50,582
52,482 54,175 55,867
57,797 59,662 61,526
63,499 65,547 67,595
76,110 78,565 81,020
90,505 93,424 96,344
106,949 110,399 113,849
125,804 129,862 133,920
5
6
7
8
9
10 24,649 25,074 25,789 26,510 26,538 27,213
26,836 27,626 28,415 29,205 29,994 30,783
30,247 31,137 32,026 32,916 33,805 34,695
33,954 34,953 35,951 36,950 37,948 38,946
37,988 39,105 40,222 41,339 42,456 43,573
42,346 43,591 44,836 46,082 47,327 48,572
47,060 48,445 49,829 51,214 52,599 53,983
52,115 53,647 55,179 56,712 58,244 59,777
57,560 59,252 60,945 62,637 64,330 66,022
63,391 65,256 67,121 68,986 70,850 72,715
69,643 71,691 73,739 75,787 77,835 79,883
83,475 85,930 88,385 90,840 93,295 95,750
99,263 102,182 105,102 108,021 110,940 113,860
117,299 120,748 124,198 127,648 131,097 134,547
137,978 142,037 146,095 150,153 154,212 155,500
San Diego Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
22,110
24,859
27,123
30,449
34,067
37,974
42,199
46,734
51,617
56,843
62,451
74,854
89,012
105,185
123,728
2
3
4
22,848 23,584 24,315
25,450 26,272 26,970
28,027 28,931 29,835
31,464 32,478 33,493
35,202 36,337 37,472
39,239 40,505 41,770
43,606 45,013 46,420
48,291 49,849 51,406
53,337 55,057 56,777
58,738 60,633 62,528
64,533 66,614 68,696
77,349 79,844 82,339
91,979 94,946 97,913
108,691 112,197 115,703
127,852 131,977 136,101
5
6
7
8
9
10 25,050 25,483 26,209 26,942 26,970 27,656
27,273 28,076 28,878 29,680 30,482 31,285
30,740 31,644 32,548 33,452 34,356 35,260
34,507 35,522 36,537 37,551 38,566 39,581
38,607 39,742 40,877 42,012 43,147 44,282
43,036 44,301 45,567 46,832 48,098 49,363
47,827 49,234 50,641 52,048 53,455 54,862
52,963 54,521 56,078 57,635 59,193 60,750
58,497 60,217 61,937 63,657 65,377 67,097
64,424 66,319 68,214 70,109 72,004 73,899
70,777 72,859 74,940 77,021 79,103 81,184
84,834 87,329 89,824 92,319 94,814 97,309
100,880 103,846 106,813 109,780 112,747 115,714
119,209 122,715 126,221 129,726 133,232 136,738
140,225 144,350 148,474 152,598 155,500 155,500
San Francisco-Oakland-San Jose Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
24,061
27,053
29,517
33,136
37,073
41,325
45,923
50,858
56,172
61,860
67,963
81,460
96,867
114,468
134,647
2
3
4
24,865 25,665 26,461
27,696 28,591 29,351
30,501 31,485 32,468
34,240 35,344 36,449
38,308 39,544 40,779
42,702 44,079 45,456
47,454 48,985 50,516
52,553 54,248 55,943
58,044 59,916 61,788
63,922 65,984 68,047
70,228 72,493 74,758
84,175 86,891 89,606
100,096 103,325 106,554
118,283 122,099 125,914
139,136 143,624 148,112
5
6
7
8
9
10 27,261 27,731 28,522 29,319 29,351 30,097
29,680 30,553 31,426 32,299 33,173 34,046
33,452 34,436 35,420 36,404 37,388 38,372
37,553 38,657 39,761 40,865 41,969 43,074
42,014 43,249 44,485 45,720 46,955 48,190
46,834 48,211 49,588 50,965 52,342 53,719
52,048 53,579 55,110 56,641 58,173 59,704
57,637 59,332 61,027 62,722 64,417 66,111
63,660 65,532 67,403 69,275 71,147 73,019
70,109 72,171 74,234 76,296 78,359 80,421
77,023 79,288 81,554 83,819 86,084 88,349
92,321 95,036 97,751 100,466 103,182 105,897
109,782 113,011 116,240 119,469 122,697 125,926
129,729 133,544 137,360 141,175 144,990 148,806
152,601 155,500 155,500 155,500 155,500 155,500
70
Chapter 1—Pay
Seattle Locality Pay Table
Step
S-1
G
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
21,686
24,383
26,603
29,865
33,414
37,246
41,390
45,838
50,628
55,754
61,255
73,420
87,306
103,169
121,357
2
3
4
22,411 23,132 23,849
24,963 25,769 26,453
27,490 28,377 29,264
30,861 31,856 32,851
34,527 35,640 36,754
38,487 39,728 40,970
42,770 44,150 45,530
47,366 48,893 50,421
52,315 54,002 55,689
57,612 59,471 61,330
63,296 65,338 67,379
75,867 78,314 80,761
90,216 93,126 96,036
106,608 110,047 113,486
125,402 129,447 133,493
5
6
7
8
9
10 24,570 24,994 25,707 26,425 26,453 27,126
26,751 27,538 28,324 29,111 29,898 30,685
30,150 31,037 31,924 32,811 33,698 34,584
33,846 34,841 35,837 36,832 37,827 38,822
37,867 38,980 40,094 41,207 42,320 43,434
42,211 43,452 44,693 45,935 47,176 48,417
46,910 48,290 49,670 51,051 52,431 53,811
51,948 53,476 55,003 56,531 58,058 59,586
57,376 59,063 60,750 62,437 64,124 65,812
63,189 65,048 66,907 68,765 70,624 72,483
69,421 71,462 73,504 75,545 77,587 79,628
83,208 85,656 88,103 90,550 92,997 95,444
98,946 101,856 104,766 107,676 110,586 113,496
116,924 120,363 123,802 127,240 130,679 134,118
137,538 141,583 145,629 149,674 153,719 155,500
Washington-Baltimore Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
22,115
24,865
27,130
30,456
34,075
37,983
42,209
46,745
51,630
56,857
62,467
74,872
89,033
105,211
123,758
2
3
4
22,854 23,589 24,321
25,456 26,279 26,977
28,034 28,938 29,843
31,471 32,486 33,501
35,210 36,346 37,481
39,249 40,514 41,780
43,616 45,024 46,431
48,303 49,861 51,418
53,350 55,070 56,791
58,752 60,648 62,544
64,548 66,630 68,712
77,368 79,864 82,359
92,001 94,969 97,936
108,717 112,224 115,731
127,883 132,009 136,134
5
6
7
8
9
10 25,056 25,489 26,215 26,948 26,977 27,663
27,280 28,082 28,885 29,687 30,490 31,292
30,747 31,651 32,556 33,460 34,364 35,269
34,516 35,531 36,546 37,560 38,575 39,590
38,616 39,752 40,887 42,022 43,158 44,293
43,046 44,312 45,578 46,843 48,109 49,375
47,838 49,246 50,653 52,061 53,468 54,875
52,976 54,534 56,092 57,649 59,207 60,765
58,511 60,232 61,952 63,673 65,393 67,114
64,439 66,335 68,230 70,126 72,022 73,917
70,794 72,876 74,958 77,040 79,122 81,204
84,855 87,350 89,846 92,341 94,837 97,333
100,904 103,872 106,839 109,807 112,774 115,742
119,238 122,744 126,251 129,758 133,264 136,771
140,259 144,385 148,510 152,635 155,500 155,500
Rest of U.S. Locality Pay Table
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
20,324
22,851
24,933
27,990
31,315
34,907
38,790
42,960
47,448
52,252
57,408
68,809
81,823
96,690
113,735
2
3
4
21,003 21,679 22,351
23,395 24,151 24,792
25,764 26,595 27,426
28,922 29,855 30,788
32,359 33,402 34,445
36,070 37,233 38,397
40,084 41,377 42,671
44,391 45,823 47,254
49,029 50,611 52,192
53,994 55,736 57,478
59,321 61,234 63,148
71,102 73,396 75,689
84,550 87,278 90,005
99,913 103,136 106,358
117,527 121,318 125,109
5
6
7
8
9
10 23,027 23,424 24,092 24,766 24,792 25,422
25,071 25,808 26,546 27,283 28,021 28,758
28,257 29,088 29,919 30,750 31,581 32,412
31,720 32,653 33,586 34,519 35,451 36,384
35,489 36,532 37,576 38,619 39,663 40,706
39,560 40,723 41,886 43,050 44,213 45,376
43,964 45,258 46,551 47,844 49,138 50,431
48,686 50,117 51,549 52,981 54,412 55,844
53,773 55,354 56,935 58,516 60,097 61,678
59,221 60,963 62,705 64,447 66,189 67,931
65,061 66,974 68,888 70,801 72,714 74,628
77,983 80,276 82,570 84,863 87,157 89,450
92,732 95,459 98,187 100,914 103,641 106,369
109,581 112,804 116,027 119,249 122,472 125,695
128,900 132,692 136,483 140,274 144,065 147,857
71
2012 Federal Employees Almanac
Alaska Locality Pay Table
Step
1
2
S-1 22,199 22,940
G
2 24,959 25,553
3 27,232 28,140
4 30,571 31,590
5 34,204 35,343
6 38,126 39,397
7 42,368 43,781
8 46,922 48,486
9 51,825 53,552
10 57,072 58,975
11 62,703 64,793
12 75,156 77,661
13 89,370 92,349
14 105,609 109,129
15 124,226 128,367
3
23,679
26,378
29,048
32,609
36,483
40,668
45,194
50,049
55,279
60,877
66,882
80,166
95,328
112,649
132,508
4
24,413
27,079
29,956
33,628
37,623
41,938
46,607
51,613
57,006
62,780
68,972
82,671
98,307
116,169
136,649
5
6
7
8
9
25,151 25,585 26,315 27,050 27,079
27,383 28,189 28,994 29,800 30,605
30,863 31,771 32,679 33,586 34,494
34,646 35,665 36,684 37,703 38,721
38,762 39,902 41,042 42,181 43,321
43,209 44,479 45,750 47,021 48,291
48,019 49,432 50,845 52,258 53,670
53,177 54,740 56,304 57,867 59,431
58,733 60,460 62,187 63,914 65,641
64,683 66,586 68,488 70,391 72,294
71,062 73,152 75,242 77,331 79,421
85,176 87,681 90,186 92,691 95,196
101,286 104,265 107,243 110,222 113,201
119,689 123,209 126,729 130,249 133,769
140,790 144,931 149,072 153,213 155,500
10 27,767
31,411
35,402
39,740
44,461
49,562
55,083
60,995
67,368
74,197
81,511
97,701
116,180
137,289
155,500
Hawaii Locality Pay Table
Step
1
GS-1 20,742
2 23,322
3 25,446
4 28,566
5 31,960
6 35,625
7 39,589
8 43,844
9 48,425
10 53,328
11 58,589
12 70,225
13 83,507
14 98,680
15 116,077
2
21,436
23,876
26,294
29,518
33,025
36,812
40,909
45,305
50,039
55,106
60,542
72,566
86,291
101,970
119,946
3
22,125
24,648
27,142
30,470
34,090
38,000
42,229
46,766
51,652
56,884
62,495
74,907
89,074
105,259
123,815
4
22,811
25,302
27,990
31,422
35,155
39,187
43,549
48,227
53,266
58,662
64,448
77,247
91,858
108,548
127,684
5
6
7
8
9
10 23,501 23,907 24,588 25,276 25,302 25,946
25,587 26,339 27,092 27,845 28,597 29,350
28,839 29,687 30,535 31,383 32,231 33,080
32,373 33,325 34,277 35,229 36,181 37,133
36,219 37,284 38,349 39,414 40,479 41,544
40,374 41,561 42,749 43,936 45,123 46,310
44,869 46,189 47,509 48,829 50,149 51,469
49,688 51,149 52,610 54,071 55,532 56,993
54,880 56,493 58,107 59,721 61,334 62,948
60,440 62,218 63,995 65,773 67,551 69,329
66,400 68,353 70,306 72,258 74,211 76,164
79,588 81,929 84,269 86,610 88,951 91,291
94,641 97,424 100,208 102,991 105,775 108,558
111,837 115,126 118,415 121,704 124,993 128,282
131,554 135,423 139,292 143,162 147,031 150,900
Other Non-Foreign Areas
Step
GS-1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
1
20,324
22,851
24,933
27,990
31,315
34,907
38,790
42,960
47,448
52,252
57,408
68,809
81,823
96,690
113,735
2
3
4
21,003 21,679 22,351
23,395 24,151 24,792
25,764 26,595 27,426
28,922 29,855 30,788
32,359 33,402 34,445
36,070 37,233 38,397
40,084 41,377 42,671
44,391 45,823 47,254
49,029 50,611 52,192
53,994 55,736 57,478
59,321 61,234 63,148
71,102 73,396 75,689
84,550 87,278 90,005
99,913 103,136 106,358
117,527 121,318 125,109
5
6
7
8
9
10 23,027 23,424 24,092 24,766 24,792 25,422
25,071 25,808 26,546 27,283 28,021 28,758
28,257 29,088 29,919 30,750 31,581 32,412
31,720 32,653 33,586 34,519 35,451 36,384
35,489 36,532 37,576 38,619 39,663 40,706
39,560 40,723 41,886 43,050 44,213 45,376
43,964 45,258 46,551 47,844 49,138 50,431
48,686 50,117 51,549 52,981 54,412 55,844
53,773 55,354 56,935 58,516 60,097 61,678
59,221 60,963 62,705 64,447 66,189 67,931
65,061 66,974 68,888 70,801 72,714 74,628
77,983 80,276 82,570 84,863 87,157 89,450
92,732 95,459 98,187 100,914 103,641 106,369
109,581 112,804 116,027 119,249 122,472 125,695
128,900 132,692 136,483 140,274 144,065 147,857
72
Chapter 1—Pay
Law Enforcement Officers
Base Table
Step
1
2
3
4
5
6
7
8
9
10 S-3
G
26,208 26,936 27,664 28,392 29,120 29,848 30,576 31,304 32,032 32,760
4
29,420 30,237 31,054 31,871 32,688 33,505 34,322 35,139 35,956 36,773
5
33,829 34,743 35,657 36,571 37,485 38,399 39,313 40,227 41,141 42,055
6
35,672 36,691 37,710 38,729 39,748 40,767 41,786 42,805 43,824 44,843
7
38,511 39,644 40,777 41,910 43,043 44,176 45,309 46,442 47,575 48,708
8
40,139 41,393 42,647 43,901 45,155 46,409 47,663 48,917 50,171 51,425
9
42,948 44,333 45,718 47,103 48,488 49,873 51,258 52,643 54,028 55,413
10
47,297 48,823 50,349 51,875 53,401 54,927 56,453 57,979 59,505 61,031
Note: These special base rates for law enforcement officers (as defined in 5 U.S.C. 5541(3) and 5 CFR
550.103) are authorized by section 403 of the Federal Employees Pay Comparability Act of 1990, as
amended, and are the basis for computing locality payments. (5 CFR Part 531, subpart F.) See Locality
Raises of Recent Years table in Section 3 of this chapter.
Administrative Law Judges
Grade
AL-3/A
AL-3/B
AL-3/C
AL-3/D
AL-3/E
AL-3/F
AL-2
AL-1
Range
$118,612 - $140,421
$127,631 - $151,098
$136,878 - $162,045
$145,896 - $165,300
$155,143 - $165,300
$164,048 - $165,300
$165,300
$165,300
Foreign Service Schedule*
Step
1
2
3
4
5
6
7
8
9
10 11 12 13 14 Class
1
99,628 102,617 105,695 108,866 112,132 115,496 118,961 122,530 126,206 129,517 129,517 129,517 129,517 129,517 Class
Class
Class
Class
Class
Class
Class
Class
2
3
4
5
6
7
8
9
$80,728 $65,413 $53,003 $42,948 $38,394 $34,324 $30,684 $27,431
83,150 67,375 54,593 44,236 39,546 35,354 31,605 28,254
85,644 69,397 56,231 45,564 40,732 36,414 32,553 29,102
88,214 71,479 57,918 46,930 41,954 37,507 33,529 29,975
90,860 73,623 59,655 48,338 43,213 38,632 34,535 30,874
93,586 75,832 61,445 49,789 44,509 39,791 35,571 31,800
96,393 78,107 63,288 51,282 45,844 40,985 36,638 32,754
99,285 80,450 65,187 52,821 47,220 42,214 37,737 33,737
102,264 82,863 67,143 54,405 48,636 43,481 38,870 34,749
105,332 85,349 69,157 56,037 50,095 44,785 40,036 35,791
108,492 87,910 71,232 57,719 51,598 46,129 41,237 36,865
111,746 90,547 73,369 59,450 53,146 47,512 42,474 37,971
115,099 93,263 75,570 61,234 54,741 48,938 43,748 39,110
118,552 96,061 77,837 63,071 56,383 50,406 45,060 40,283
*Note: These are overseas rates. Foreign Service employees stationed in the United States are
eligible for additional pay at the same locality percentage rates applying to General Schedule
employees. Overseas rates are being raised on a phased-in basis to match the rate applying in the
Washington-Baltimore locality.
73
2012 Federal Employees Almanac
Veterans Health Administration Pay Tables
Department of Veterans Affairs
Schedule for the Office of the Under Secretary for Health
(38 U.S.C. 7306)*
Assistant Under Secretaries for Health
$157,279**
(Only applies to incumbents who are not physicians or dentists)
Service Directors
Director, National Center for Preventive Health
Minimum
$116,844
99,628
Maximum
$145,113
145,113
Physician and Dentist Base and Longevity Schedule***
Physician Grade
Dentist Grade
$97,987
97,987 $143,725
143,725
Clinical Podiatrist, Chiropractor, and Optometrist Schedule
Chief Grade
Senior Grade
Intermediate Grade
Full Grade
Associate Grade
$99,628 84,697
71,674 60,274 50,287 $129,517
110,104
93,175
78,355
65,371
Physician Assistant and Expanded-Function Dental Auxiliary Schedule ****
Director Grade
Assistant Director Grade.
Chief Grade
Senior Grade
Intermediate Grade
Full Grade
Associate Grade
Junior Grade
$99,628 84,697 71,674 60,274 50,287 41,563 35,766 30,577 $129,517
110,104
93,175
78,355
65,371
54,028
46,494
39,748
* This schedule does not apply to the Deputy Under Secretary for Health, the Associate Deputy
Under Secretary for Health, Assistant Under Secretaries for Health who are physicians or dentists,
Medical Directors, the Assistant Under Secretary for Nursing Programs, or the Director of Nursing
Services. Pay for these positions is set under section 7431 of title 38, United States Code, for physicians and dentists, and under 38 U.S.C. 7451 for registered nurses.
** Pursuant to 38 U. S. C. 7404(d), the rate of basic pay payable to these employees is limited to
the rate for level V of the Executive Schedule, which is $145,700.
*** Pursuant to section 3 of Public Law 108-445 and section 38 U. S. C. 7431, Veterans Health
Administration physicians and dentists may also be paid market pay and performance pay.
**** Pursuant to section 301(a) of Public Law 102-40, these positions are paid according to the
Nurse Schedule in 38 U.S.C. 4107(b) as in effect on August 14, 1990, with subsequent adjustments.
74
Chapter 1—Pay
General Schedule Pay Raises Since 1958
Effective
Date
Avg.
(%) Amount of Increase
Jan. 1, 1958
10.00
July 1, 1960
7.50
Oct. 11, 1962
5.50
Jan. 1, 1964
3.90
July 1, 1964
4.20
Oct. 1, 1965
3.60
July 1, 1966
2.90
Oct. 1, 1967
4.50
July 1, 1968
4.90
July 1, 1969
9.10
Dec. 27, 1969
6.00
Jan. 1, 1971
6.00
Jan. 1, 1972
5.50
Jan. 1, 19731
5.14
Oct. 1, 1973
4.77
Oct. 1, 1974
5.48
Oct. 1, 1975
5.00
Oct. 1, 1976
5.17
Oct. 1, 1977
7.05
Oct. 1, 1978
5.46
Oct. 1, 1979
7.02
Oct. 1, 1980
9.11
Oct. 1, 1981
4.80
Oct. 1, 1982
4.00
Jan. 1, 1984
4.00
Jan. 1, 1985
3.50
Jan. 1, 1987
3.00
Jan. 1, 1988
2.00
Jan. 1, 1989
4.10
Jan. 1, 1990
3.60
Jan. 1, 1991
4.10
Jan. 1, 1992
4.20
Jan. 1, 1993
3.70
Jan. 1, 1994 3.09-5.62
Jan. 1, 1995 2.28-4.28
Jan. 1, 1996 2.05-2.82
Jan. 1, 1997 2.24-4.66
Jan. 1, 1998 2.44-6.52
Jan. 1, 1999 3.54-4.02
Jan. 1, 2000 4.69-5.59
Jan. 1, 2001 3.56-4.46
Jan. 1, 2002 4.52-5.42
Jan. 1, 2003 4.02-4.87
Jan. 1, 2004 3.89-5.35
Jan. 1, 2005 3.26-4.30
Jan. 1, 2006 2.25-5.62
Jan. 1, 2007 1.81-3.02
Jan. 1, 2008 2.99-4.49
Jan. 1, 2009 3.52-4.78
Jan. 1, 2010 1.76-2.62
Authority
10 percent for all employees,
ceiling of $17,500.......................................................... 84-462, June 20, 1958
7.5 percent for all employees......................................... 85-568, July 1, 1960
5.5 percent for all employees, plus additional step
for 1st 3 grades.............................................................. 87-793, Oct. 11, 1962
3.9 percent for all employees......................................... 87-793, Oct. 11, 1962
4.2 percent for all employees......................................... 88-426, Aug. 14, 1964
3.6 percent for all employees......................................... 89-301, Oct. 20, 1965
2.9 percent for all employees......................................... 89-504, July 18, 1966
4.5 percent for all employees......................................... 90-206, Dec. 16, 1967
3 percent minimum, or 1/2 comparability...................... 90-206, Dec. 16, 1967
Full comparability........................................................... H. Doc. 91-131
6 percent for all employees............................................ 91-231, Apr. 15, 1970
6 percent for all employees............................................ 5 U.S.C. 5305.
5.5 percent for all employees......................................... 92-210, Dec. 22, 1971
5.1 percent for all employees . ...................................... 5 U.S.C. 5305
4.8 percent average increase for all employees.............. 5 U.S.C. 5305
5.5 percent average increase for all employees.............. 5 U.S.C. 5305
5 percent average increase for all employees................. 5 U.S.C. 5305
Increase from 4.24 percent to 11.83 percent ................ 5 U.S.C. 5305
7.05 percent average increase for all employees............ 5 U.S.C. 5305
5.5 percent average increase for all employees.............. 5 U.S.C. 5305
7.02 percent average increase for all employees............ 5 U.S.C. 5305
9.11 percent average increase for all employees............ 5 U.S.C. 5305
4.8 percent average increase for all employees.............. 5 U.S.C. 5305
4 percent average increase for all employees................. 5 U.S.C. 5305
4 percent average increase for all employees................. 5 U.S.C. 5305
3.5 percent average increase for all employees.............. 5 U.S.C. 5305
3 percent average increase for all employees................. 5 U.S.C. 5305
2 percent average increase for all employees................. 5 U.S.C. 5305
4.1 percent average increase for all employees.............. 5 U.S.C. 5305
3.6 percent average increase for all employees.............. 5 U.S.C. 5305
4.1 percent average increase for all employees.............. PL 101-509
4.2 percent average increase for all employees.............. PL 101-509
3.7 percent average increase for all employees.............. PL 101-509
No national raise; locality pay system began.................. PL 101-509
2 percent national raise plus locality pay........................ PL 101-509
2 percent national raise plus locality pay........................ PL 101-509
2.3 percent national raise plus locality pay..................... PL 101-509
2.3 percent national raise plus locality pay..................... PL 101-509
3.1 percent national raise plus locality pay..................... PL 105-277
3.8 percent national raise plus locality pay..................... PL 106-58
2.7 percent national raise plus locality pay..................... PL 106-554
3.6 percent national raise plus locality pay . .................. PL 107-67
3.1 percent national raise plus locality pay . .................. PL 108-7
2.7 percent national raise plus locality pay . .................. PL 108-199
2.5 percent national raise plus locality pay . .................. PL 108-447
2.1 percent national raise plus locality pay . .................. PL 109-115
1.7 percent national raise plus locality pay . .................. 5 U.S.C. 5304(a)
2.5 percent national raise plus locality pay . .................. PL 110-161
2.9 percent national raise plus locality pay . .................. PL 110-329
1.5 percent national raise plus locality pay . .................. PL 111-117
Effective date of Jan. 1, 1973, was subsequently changed, retroactively to Oct. 1, 1972, by Executive Order 11777 (Apr.
12, 1974), as result of court case (National Treasury Employees Union v. Richard M. Nixon, 492 F.2d 587).
1
Note: All increases were effective the first full pay period in the indicated month except October 1962 and January
1970, which were effective October 11, 1962, and December 27, 1969, respectively. No raise in 2011 or 2012.
75
2012 Federal Employees Almanac
Comparison of Pay Raises for Military,
General Schedule, and Wage System
Since Fiscal 1985
FY
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
Military
4.0
3.0
3.0
2.0
4.1
3.6
4.1
4.2
3.7
2.2
2.6
2.4
3.0
2.8
3.6
4.8
3.7
5.0-10.0
4.1-6.5
3.7-6.25
3.5
3.1
2.2
3.5
3.9
3.4
1.4
1.6
General Schedule
3.5
0.0
3.0
2.0
4.1
3.6
4.1
4.2
3.7
3.09-5.62
2.28-4.28
2.05-2.82
2.24-4.66
2.44-6.52
3.54-4.02
4.69-5.59
3.56-4.46
4.52-5.42
4.02-4.87
3.89-5.35
3.26-4.30
2.25-5.62
1.81-3.02
2.99-4.49
3.52-4.78
1.76-2.62
0.0 0.0 76
Wage System
3.5
0.0
3.0
2.0
4.1
3.6
4.1
4.2
3.7 Variable up to 3.96
Variable up to 3.09
Variable up to 2.52
Variable up to 3.12
Variable up to 2.88
Variable up to 3.67
Variable up to 4.93
Variable up to 3.83
Variable up to 4.80
Variable up to 4.31
Variable up to 5.35
Variable up to 4.30
Variable up to 5.62
Variable up to 3.02
Variable up to 4.49
Variable up to 4.78
Variable up to 2.62
0.0
0.0