When Will Federal Workers Get a Pay Raise?

Every year, federal employees await news about their pay increases. Like workers across all sectors, they look to Washington D.C. for updates on pay changes.

How Does It Work?

How does the government determine pay raises? It starts with the President proposing a budget early in the year. Congress then reviews this budget and decides on various allocations, including salaries for government workers.

About the Pay Raise

Federal pay raises aim to address living costs and ensure parity with private sector salaries. These raises are not guaranteed and can vary based on government and economic conditions.

For instance, although there were no raises planned in a previous year, federal employees ultimately received a 1.9% increase.

2024 Pay Raise Update

In 2024, federal workers will see a notable pay raise. President Biden has signed an executive order that establishes a 5.2% average increase, effective January 14, 2024. This includes a 4.7% general increase and an average 0.5% increase in locality pay. This is the largest increase in over 40 years, demonstrating the government's strong support for its workforce.

Timing and Impact

The government's fiscal year starts on October 1st and concludes on September 30th the following year. Pay raises usually appear in January paychecks of the next year. For 2024, federal employees will notice the new rates in their mid-January paychecks.

Delays in budget approvals can sometimes push back these raises. Fortunately, for 2024, the increase has been finalized and will be applied as planned.

What This Means for You

What does this mean for federal employees? The 2024 pay raise is a positive acknowledgment of their hard work and commitment. It helps maintain competitiveness for government roles.

With the 2024 raise established, federal workers can anticipate seeing an increase in their January paycheck. This reflects the value and dedication of those serving in public roles.