Trump Pay Raise 2026: What Federal Workers Need to Know About the Federal Pay Raise 2026

Message boards across the federal cyber world are buzzing with concern, and for good reason. It has been a challenging year for career Feds, with ongoing uncertainty about workforce reductions, potential RIFs, and now questions about the federal pay raise 2026. After months of speculation about pay freezes and mixed signals from the administration, federal employees finally have some answers about their salary prospects though this news creates additional complexity.

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On August 28th, President Trump submitted his alternative pay plan to Congress, proposing a 1% federal workers pay increase for most federal civilian employees in 2026, with locality pay frozen at current levels. Certain federal law enforcement officers, however, will receive a 3.8% GS pay increase 2026, matching the military raise for that year.

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If this feels confusing and concerning, you’re not alone. Let’s break down what we know, what it means for your paycheck, and what might happen next.

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2026 Federal Employee Pay Raise Breakdown: 1% vs 3.8% Increases

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Under the Federal Employees Pay Comparability Act (FEPCA), presidents are required to submit an alternative pay plan by September 1st each year to prevent much larger formula-driven increases from taking effect.

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Without this intervention, federal employees would have seen an average locality pay increase of 18.88%, plus a 3.3% across-the-board GS pay raise. The current Administration deemed these increases “irresponsible” and unsustainable.

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Instead, most federal employees are facing just a 1% federal pay raise 2026, with no locality pay adjustments. This represents the smallest raise since 2021, when Trump similarly proposed a 1% increase during his final year in office.

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The Law Enforcement Exception

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Here’s where it gets complicated. The Trump pay raise 2026 proposal includes an exception: certain categories of federal law enforcement personnel will receive the full 3.8% GS pay increase 2026.

The Office of Personnel Management (OPM) will work with agencies to determine exactly which law enforcement positions qualify.

The rationale? According to Trump’s message to Congress:

“To increase recruitment and retention in critical law enforcement roles and to ensure our great Federal law enforcement officers are treated fairly.”

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Federal Employee Pay Raise Calculator: What 1% Means for Your 2026 Salary

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Let’s put real numbers to this federal workers pay increase proposal using sample General Schedule (GS) examples:

• GS-12, Step 5 in Washington DC locality
  
  
  
  • Current 2025 salary: $86,962
    
    
  • With 1% increase: +$869.62 annually
    
    
  • Monthly boost: +$72.47 before taxes
    
    

• GS-12, Step 5 in Huntsville, AL locality
  
  
  
  • Current 2025 salary: $78,592
    
    
  • With 1% increase: +$785.92 annually
    
    
  • Monthly boost: +$65.49 before taxes
    
    

• GS-13, Step 8 in San Francisco locality
  
  
  
  • Current 2025 salary: $129,239
    
    
  • With 1% increase: +$1,292.39 annually
    
    
  • Monthly boost: +$107.70 before taxes
    
    

• GS-13, Step 8 in Richmond, VA locality
  
  
  
  • Current 2025 salary: $108,945
    
    
  • With 1% increase: +$1,089.45 annually
    
    
  • Monthly boost: +$90.79 before taxes
    
    

• GS-14, Step 10 in New York locality
  
  
  
  • Current 2025 salary: $172,075
    
    
  • With 1% increase: +$1,720.75 annually
    
    
  • Monthly boost: +$143.40 before taxes
    
    

• GS-14, Step 10 in Rest of US (RUS)
  
  
  
  • Current 2025 salary: $147,649
    
    
  • With 1% increase: +$1,476.49 annually
    
    
  • Monthly boost: +$123.04 before taxes
    
    

• GS-15, Step 10 in Los Angeles locality
  
  
  
  • Current 2025 salary: $203,700
    
    
  • With 1% increase: +$2,037 annually
    
    
  • Monthly boost: +$169.75 before taxes
    
    

Note: These calculations assume no locality pay increase. In past years, locality adjustments have added 0.5%–1% to overall raises. Freezing locality pay effectively reduces what many federal employees may have expected for 2026.

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Also read - usps retroactive pay 2025

Federal Pay Raise History: Trump vs. Biden

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The federal pay raise 2026 proposal is not the first time Trump has recommended modest increases for government workers. During his first term (2017–2021), Trump proposed pay freezes in three of the four years, though Congress overruled him in most cases.

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Recent Pay Raise History:

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• 2026: 1% proposed (Trump)
  
  
• 2025: 2% average (Biden’s final year)
  
  
• 2024: 5.2% average (largest since 1980)
  
  
• 2023: 4.6% average
  
  
• 2022: 2.7% average
  
  
• 2021: 1% (Trump’s proposal, enacted)
  
  
• 2020: 3.1% (Congress overrode Trump’s 1%)
  
  
• 2019: 1.9% (after congressional intervention)
  
  

The pattern is clear: initial presidential proposals often change through the congressional appropriations process.

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The 2026 Pay Gap Reality

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This federal workers pay increase must also be viewed in light of the ongoing pay gap.

In 2024, the Federal Salary Council reported that federal employees earned on average 24.72% less than private sector counterparts.

Without Trump’s intervention, the statutory formula under FEPCA would have provided much larger increases to close this gap. The 18.88% average locality adjustment mentioned in Trump’s plan reflects years of private sector wage growth that federal salaries haven’t kept up with.

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Will Congress Override the 2026 Federal Pay Raise Proposal?

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Here’s what every federal employee should know: this is not the final word.

Congress has the authority to override the Trump pay raise 2026 proposal through the appropriations process. At this stage, appropriators have not yet added any federal pay language in their funding bills for fiscal 2026, which means negotiations are ongoing.

Key Dates to Watch:

• December: Trump must publish an executive order implementing the plan (if unchanged).
  
  
• Through December: Congress can still act during appropriations.
  
  End of 2025: Final appropriations bills must be signed.

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Union Response

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The National Treasury Employees Union (NTEU) called Trump’s federal pay raise 2026 proposal “meager” and “inadequate.”

The union advocates for a 4.3% GS pay raise for all federal employees in 2026, urging Congress to extend the 3.8% increase (currently set aside for law enforcement) to every federal worker.

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Planning Around Pay Uncertainty: What You Can Control

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While the 2026 federal workers pay increase is uncertain, here are steps to take:

• Budget Conservatively – Plan around 1% while hoping for more.
  
  
• Law Enforcement Career Moves – Track OPM guidance on qualifying positions for the 3.8% raise.
  
  
• Retirement Planning – Conservative raises affect high-3 calculations for FERS/CSRS.
  
  Focus on Advancement – Promotions and career growth matter more in low-raise years.

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Final Thoughts: Stay Informed, Stay Prepared

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The federal pay raise 2026 is just one part of your long-term career. While Trump’s proposal sets a 1% baseline, Congress could still change the outcome.

Stay focused on what you can control your budgeting, retirement planning, and career development and let us guide you through the uncertainty.

For more support, explore our federal benefits webinars or schedule a 1-on-1 consultation with our team.

Remember: you’ve chosen a career of service. The system may change year to year, but your dedication remains invaluable.

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Common Questions About the 2026 Federal Pay Raise

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Q: What exactly is my pay raise going to be in 2026?

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Trump proposed a 1% GS pay raise, with no locality adjustment. Some law enforcement may receive 3.8%.

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Q: When will we know for sure?

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By December 2025, when either Congress acts or Trump issues the executive order.

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Q: Can Congress change this?

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Yes. Historically, Congress has increased Trump’s proposed raises in 3 of 4 years during his first term.

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Q: What happened to locality pay?

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Frozen at 2025 levels. Without the freeze, raises would have averaged nearly 19%.

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