7th Pay Commission Option form for Pay fixation – Which option to choose ? Use Online Calculator

| August 10, 2016

7th Pay Commission Option form for Pay fixation as per Rule 5 and 6 of Revised Pay Rules 2016 – Online Tool to find the benefit out of remaining in pre-revised pay until next increment

7th Pay Commission Option form for 7th CPC Pay Fixation –  Every Central Government Employee has been given a Form of Option under Rule 6 (2) of 7th Pay Commission Revised Pay Rules 2016, to exercise his / her option for fixation of 7th CPC Pay as on 1st January 2016 or on a later date.

It is also provided in the said Rule that option has to be exercised within 3 months from the date of notification and that option provided once is final.

Obviously, many of the employees are hesitant whether to opt for fixation of pay as on 1st January 2016 or to opt for moving the same to next increment date.

7th Pay Commission Option form – How to fill the same to get maximum financial benefit ?

Are you still unsure on exercising this Option ? No worries. We have come up with an online tool to find if there is any benefit out of exercise of option under Rule 6 to remain in the pre-revised pay structure until next increment.

This 7th Pay Commission Option Calculator is applicable for all 6th CPC Pay Bands and Grade Pay.

What is Exercise of Option under Rule 6 of 7th CPC Revised Pay Rules 2016 ?

Rule 5 of 7th Pay Commission Revised Pay Rules 2016, provides that a Central Government Employee can opt for getting existing pre-revised pay even after 1st January 2016 until he / she gets next or subsequent increment in the existing (6th CPC) pay structure if fixation of 7th Pay Commission Pay after getting such increment in the pre-revised pay is beneficial.

7cpc-option-form-tool

As per Rule 6, option under Rule 5, has to be given in writing to head of office in the Form appended in Annexure to Revised Pay Rules 2016.

Obviously, option of moving the 7th CPC pay fixation to next or subsequent increment date would involve immediate financial loss in the form of not getting Arrears of pay from January 2016.

However, if exercise of option under Rule 6 of 7th Pay Commission Revised Pay Rules 2016, provides enhanced 7th CPC pay in the form of fixation of pay in the next index in a Pay Level of Pay Matrix corresponding to pre-revised incremented pay as on July 2016 (or during subsequent increment) compared to fixation of 7CPC pay as on 1st January 2016 without getting additional increment in the pre-revised pay, then one can choose to opt for fixing the 7CPC Pay during the said increment date.

Illustration:

7th Pay Commission pay fixation in PB-2 GP 4200 as on 1st Jan 2016 and as on 1st July 2016 – A comparison In Rs
Pre-revised 6th CPC Pay as on 31.12.2015 : 20,740
7th CPC Pay as on 1st Jan 2016 (20740+4200) x 2.57 –> fixation of Pay in Index 21 of Level 6 of Pay Matrix : 64,100
7th Pay Commission Pay as on 1st July 2016 after one increment in 7CPC Pay (Index 22 of Level 6 of Pay Matrix : 66,000
Pre-revised 6th CPC Pay as on 30.06.2016 – If option exercised to remain in pre-revised pay until next increment as on 1st July 2016 : 21,490
7th CPC Pay as on 1st July 2016 (21490+4200) x 2.57 –> fixation of Pay in Index 23 of Level 6 of Pay Matrix : 68,000
Benefit in the form of enhanced 7th CPC Pay from 1st July 2016, out of exercise of option under Rule 6 : 2,000 per month
Immediate Loss on account of not getting pay arrears from 1st January 2016 : 56,107

 

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