The 2018 pay tables for federal employees have now been released.
The new pay rates include an average pay raise of 1.9% percent and will be effective on the first day of the first applicable pay period beginning on or after January 1, 2018.
The base pay increase for 2018 is, as expected, 1.4%. There is an additional amount added for locality pay that will bring the overall average pay increase up to 1.9%. Here is a listing of the locality pay definitions for 2018.
The exact amount of the raise for each federal employee under the General Schedule will depend on the locality where a federal employee is working.
Locality Pay for 2017
There were no new locality pay areas added for 2018. The Federal Salary Council had recommended adding Burlington, VT and Virginia Beach, VA. This recommendation was not adopted for 2018 by the Pay Agent. These new locality pay areas will most likely become part of the locality pay system in 2019.
The Salary Council has also recommended new locality pay areas for San Antonio, TX and Birmingham, AL. These will not be added in January 2018 either. Adding these cities as new locality pay areas was “tentatively approved” by the President’s Pay Agent. There is a regulatory process required before they can be added. The date of their future inclusion is unknown; it could be January 2019 before this actually occurs.
Pay Rates Depend on Geographic Location (Locality Pay)
The pay raise for the “Rest of the U.S.” will be 1.67%. The raise for the Washington, DC area will be an increase of 2.29%. The raise in the San Jose, San Francisco locality in California will be 2.21%.