How Federal GS Pay Scales Work

Federal civilian employees are typically paid under the General Schedule (GS) pay scale, which has 15 grades (GS-1 through GS-15) and 10 steps within each grade. Step increases within a grade happen on a time-based schedule: Steps 1-3 advance after 1 year each, Steps 4-6 after 2 years each, Steps 7-9 after 3 years each. Advancing to a higher grade requires a promotion.

Federal GS pay scale increase structure

GS Step IncreaseWaiting PeriodApprox. % Increase
Steps 1-3 (within grade)1 year each~3% per step
Steps 4-6 (within grade)2 years each~3% per step
Steps 7-9 (within grade)3 years each~3% per step
Grade promotion (e.g., GS-9 to GS-11)Competitive~8-15%
Locality pay adjustmentAutomatic by location16-45%+ above base GS
ℹ️2025 Federal Pay Increase

The 2025 federal civilian pay increase is 5.2% overall — a 4.7% across-the-board increase plus an average 0.5% locality pay adjustment. This applies to most GS, SES, and other federal pay schedules.

State and Local Government Pay Structures

  • State governments typically have classified service pay bands with step increases similar to federal GS
  • COLA provisions are common in public sector — often tied to CPI or enacted by legislature
  • Public sector unions (AFSCME, SEIU, NEA, FOP) negotiate contracts that specify raise schedules
  • Pension contributions often offset higher private-sector salaries — total compensation must be compared
  • Locality differentials vary significantly — same state job may pay 20% more in high-cost metro areas
  • Elected officials and political appointees often operate outside standard pay scale structures

How to Maximize Compensation in the Public Sector

While negotiating a public sector salary raise is more constrained than the private sector, there are still levers available: grade promotion (the biggest step up), seeking positions with higher locality pay (moving to a higher-locality area), pursuing management roles (higher grades), leveraging union contract negotiations, and supplementing with outside professional income where permitted. Public sector roles also carry unique long-term benefits: pension security, job stability, and defined benefit healthcare that private sector compensation rarely matches in total value.

Calculate Your Government Pay Raise

Use the pay raise calculator to see what your step increase or grade promotion means in annual dollars.

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