Department of Expenditure (Pay Research Unit)
Pay Matrix Level 1 (2026)
Revised In-Hand Salary Chart
7th Pay Commission Level 1 Salary 2026: In-Hand Pay Calculation (MTS/Group D)
- Pay Scale: ₹18,000 – ₹56,900
- DA Rate: 60% (Expected Jan 2026)
- Post Type: MTS, Helper, Track Maintainer
- Key Update: HRA Revised to 30%, 20%, 10%
What Changed: The 2026 Salary Jump
For new recruits joining Central Government service in 2026 as Multi-Tasking Staff (MTS) or Group D employees, the “In-Hand” salary is significantly higher than previous years. This is primarily due to the Dearness Allowance (DA) crossing the 50% threshold, which triggered an automatic revision in House Rent Allowance (HRA) and other limits. The starting Basic Pay remains ₹18,000 (Cell 1), but the components added on top have increased.
✅ Calculation Parameters (Jan 2026)
Basic Pay: ₹18,000
DA: 60% (Projected)
HRA Rates: 30% (X City), 20% (Y City), 10% (Z City)
The New Protocol: Salary Components
Your gross salary is a sum of Basic Pay plus allowances, while the “In-Hand” salary is Gross minus Deductions (NPS, CGEGIS, etc.).
✔ Earnings (Allowances)
- Dearness Allowance (DA): Paid to offset inflation. Currently calculated at 60% of Basic Pay.
- House Rent Allowance (HRA): Paid if you do not take Govt Quarters. Rates are now 30% (Metro), 20%, or 10%.
- Transport Allowance (TPTA): Fixed amount (₹1350 or ₹900) + DA on it.
✖ Deductions (Cuts)
- NPS: 10% of (Basic + DA). Mandatory for post-2004 recruits.
- CGEGIS: ₹30 (Group C/D Insurance).
- Professional Tax: Varies by state (approx ₹200).
Calculated Salary Slip (Class X City – Delhi/Mumbai)
The following table shows the exact calculation for a new employee joining in a Metro City (X Class) in 2026.
| Component | Formula | Amount (₹) |
|---|---|---|
| Basic Pay | Level 1, Cell 1 | 18,000 |
| DA (60%) | 18,000 x 60% | 10,800 |
| HRA (30%) | 18,000 x 30% | 5,400 |
| TPTA | 1350 + (60% of 1350) | 2,160 |
| GROSS SALARY | Total A | 36,360 |
| NPS Deduction | 10% of (18000+10800) | 2,880 |
| CGEGIS | Fixed | 30 |
| NET IN-HAND | Gross – Deductions | ₹33,450 |
*Note: For Z-Class cities (small towns), the HRA will be 10% (₹1,800), reducing the In-Hand salary by approx ₹3,600.
How to Respond (If Salary is Less)
If your salary slip shows less than the calculated amount, check if you have been allotted a Government Quarter (HRA deducted) or if the NPS contribution is missing.
“To,
The Drawing & Disbursing Officer (DDO),
[Your Department Name].Subject: Discrepancy in Salary for Jan 2026 – Non-payment of revised HRA.
Sir,
I have examined my salary slip for January 2026. It is observed that HRA has been paid at the old rate of 27% instead of the revised 30% applicable after DA crossed 50%.
Kindly verify and release the arrears in the next bill.Yours faithfully,
[Your Name]
MTS (Level 1)”
Frequently Asked Questions
What is the minimum salary in hand for Level 1?
In a Z-Class city (lowest cost of living), the minimum in-hand salary for Level 1 in 2026 is approximately ₹29,500, considering 10% HRA and standard deductions.
Will Level 1 salary increase in 8th Pay Commission?
Yes. The 8th Pay Commission is expected to revise the minimum Basic Pay. Unions are demanding a hike from ₹18,000 to ₹26,000 or higher, which would significantly boost the in-hand salary.
