Pension Increase Calculator 2026-27
Federal pensioners get a 7% increase on their baseline pension from 1 July 2026. Enter your baseline pension to see the new amount.
Medical allowance and other additions are not included. Arrears from July are normally paid once the accounts office processes the notification.
Pension increase questions
How much is the pension increase in 2026-27?
Federal pensions rise 7% from 1 July 2026 (Finance Division O.M. 4(1)/REG.6/2026, 29 July 2026). KP and Balochistan announced 7%, Sindh 5% (cabinet approval) and Punjab 3.5%.
What is baseline pension?
For federal pensioners the 7% is applied to the "baseline pension" set by the Finance Division in 2025: broadly your net pension excluding medical allowance. Your pension slip or AGPR / AG office can confirm the exact figure.
Does the increase apply to family pension?
Yes. The federal increase covers family pensions under the 1954 and 1977 pension rules, extraordinary pensions and compassionate allowance, as well as retired armed forces and civil armed forces personnel.
Do employees who retire after 1 July 2026 get it?
Yes. Federal employees retiring on or after 1 July 2026 also get the 7% increase, and the earlier 15% (2022) and 7% (2025) increases remain admissible to them.
Is medical allowance increased?
The 2026 pension memorandum does not change medical allowance; it is outside the baseline pension on which the 7% is calculated.