Finance Department, Punjab Revised Pay Scales 2026 and Allowances:

The Government of Punjab has sanctioned revised Basic Pay Scales and allowances for Punjab civil servants with effect from 1 July 2026. The notification replaces BPS-2022 with BPS-2026, introduces a 7% Ad-hoc Relief Allowance, revises conveyance allowance, and increases Special Conveyance Allowance for disabled employees.

What the New Allowance Rates Mean for Government Employees:

BPS-2026 replaces BPS-2022 from 1 July 2026. Existing employees serving on 30 June 2026 will have pay fixed point to point at the corresponding stage above the BPS-2022 minimum. Personal Pay beyond the old maximum continues at revised rates.

Annual increments remain admissible on 1 December. For existing employees whose pay is fixed on 1 July 2026, the first annual increment under the revised scale accrues on 1 December 2026.

The 2022 and 2025 ad-hoc relief allowances cease from 1 July 2026. Ad-hoc Relief Allowance-2023 remains frozen at its 30 June 2023 level. New entrants receive it at 35% for BS-1 to BS-16 and 30% for BS-17 to BS-22, calculated on the minimum of the relevant BPS-2022 scale.

Ad-hoc Relief Allowance-2024 remains frozen at its 30 June 2026 level. New entrants receive 25% for BS-1 to BS-16 and 20% for BS-17 to BS-22 on the minimum of the relevant BPS-2022 scale. Ad-hoc Relief Allowance-2026 is 7% of running BPS-2026 basic pay and is subject to tax.

The option clause gives existing civil servants 30 days from issuance to choose BPS-2022 or BPS-2026. Anyone who does not submit an option is deemed to have opted for BPS-2026.

Punjab BPS-2026 Salary Table

BPS	Minimum (Rs.)	Increment (Rs.)	Maximum (Rs.)	Stages
1	16,280	520	31,880	30
2	16,600	590	34,300	30
3	17,130	700	38,130	30
4	17,650	800	41,650	30
5	18,300	910	45,600	30
6	18,930	1,010	49,230	30
7	19,590	1,100	52,590	30
8	20,290	1,210	56,590	30
9	20,990	1,310	60,290	30
10	21,680	1,430	64,580	30
11	22,410	1,580	69,810	30
12	23,750	1,720	75,350	30
13	25,420	1,880	81,820	30
14	27,060	2,090	89,760	30
15	28,730	2,380	100,130	30
16	33,720	2,720	115,320	30
17	54,140	4,110	136,340	20
18	68,330	5,120	170,730	20
19	105,510	5,450	214,510	20
20	123,090	8,040	235,650	14
21	136,680	8,920	261,560	14
22	146,770	10,470	293,350	14

Allowance Highlights:

• Conveyance allowance: BPS 1-4 Rs. 2,678; BPS 5-10 Rs. 2,898; BPS 11-15 Rs. 4,284; BPS 16 and above Rs. 7,500.
• Special Conveyance Allowance for disabled Punjab employees increases from Rs. 6,000 to Rs. 10,000 per month, in addition to normal conveyance allowance.

Special pays and allowances calculated on minimum or running basic pay are enhanced under BPS-2026 unless a specific sanction fixes a rate, while any further upward revision requires government approval. The Notification Describes;

No. FD.SR-V.2-1/2026
Government of the Punjab
Finance Department

Dated Lahore, the 22^nd July, 2026.

SUBJECT:             Revision of Basic Pay Scales and Allowances of Civil Servants of the Punjab Government.

I am directed to state that the Governor of the Punjab has been pleased to sanction revision of Basic Pay Scales and Allowances with effect from 1 July 2026 for the Civil Servants of the Punjab Government, as detailed in the succeeding paragraphs.

Part-I (Pay).

2.                          Revision of Basic Pay Scales:

                              The Basic Pay Scales-2026 shall replace Basic Pay Scales-2022 with effect from 1 July 2026 as contained in Annexure-I to this notification.

3.                          Fixation of Pay of Existing Employees:

i).           The basic pay of an employee who was in service on 30.06.2026 shall be fixed in the Basic Pay Scales-2026 on a point-to-point basis i.e., at the corresponding to that occupied by him/her above the minimum of Basic Pay Scales-2022.

ii).          In case of Personal Pay being drawn by an employee as part of his/her basic pay beyond the maximum of his/her pay scale on 30.06.2026 at the revised rates.

4.                          Annual Increment:

               Annual increment shall continue to be admissible, subject to existing conditions, on 1^st of December each year. However, the first annual increment of existing employees in Basic Pay Scales – 2026, in which their pay is fixed as on 01.07.2026, shall accrue on the 1^st December 2026.

Part-II (Allowances).

5.                          Adhoc Allowances:

                              The following Adhoc Relief Allowance granted w.e.f. 01.07.2022 & 01.07.2025 shall cease to exist with effect from 01.07.2026:

S. No.	Name of Adhoc Relief Allowance	Notification No. & Date	Admissible Rates
i	Adhoc Relief Allowance-2022 (01.07.2022)	FD.SR-V.2-3(1)/2022 dated 21.07.2022	15% of running basic pay of BPS-2017
ii	Adhoc Relief Allowance-2025 (01.07.2025)	FD.SR-V.4-1/2025 dated 21.07.2025	10% of running basic pay of BPS-2022

6.                          Ad-hoc Relief Allowance-2023:

(i)           Adhoc Relief Allowance 2023 is already frozen at the level of its admissibility as on 30.06.2023.

(ii)          All the new entrants shall be allowed Adhoc Relief Allowance-2023 @ 35% from BS-1 to BS-16 and 30% from BS-17 to BS-22 of minimum of relevant Basic Pay. Scales. 2022 on notional basis with effect from 01.07.2026 till further orders and shall stand frozen at the same level.

7.                          Adhoc Relief Allowance-2024: 

(i)           Adhoc Relief Allowance-2024 @ 25% from BS-I to 85-16 and 20% from BS-17 to 85-22 basic pay of BPS-2022 shall stand frozen at the level of its admissibility as on 30.06.2026.

(ii)          All the new entrants shall be allowed Adhoc Relief Allowance-2024 25% from BS-1 to BS-16 and 20% from BS-17 to BS-22 of minimum of relevant Basic Pay Scales. 2022 on notional basis with effect from 01.07.2026 till further orders and shall stand frozen at the same level.

8.                          Adhoc Relief Allowance-2026: 

(i)           An Adhoc Relief Allowance-2026 @ 7% of the running basic pay of BPS-2026 shall be allowed to the Civil servants of the Punjab Government as well as contract employees employed against civil posts in Basic Pay Scales on standard terms and conditions of contract appointment till further orders:

(ii)          The Adhoc Relief Allowance-2026 will be subject to Income Tax:

(iii)         The Adhoc Relief Allowance-2026 will be admissible during leave and entire period of L.P.R. except during extra ordinary leave:

(iv)         The Adhoc Relief Allowance-2026 will not be treated as part of emoluments for the purpose of calculation of pension/gratuity and recovery of House Rent:

(v)          The Adhoc Relief Allowance-2026 will not be admissible to the employees during the tenure of their posting/deputation abroad:

(vi)         The Adhoc Relief Allowance-2026 will be admissible to the employees on their repatriation from posting/deputation abroad at the rate and amount which would have been admissible to them. had they not been posted abroad:

(vii)        The Adhoc Relief Allowance-2026 will be admissible during the period of suspension:

(viii)      The Adhoc Relief Allowance-2026 will not be admissible to contract employees appointed on fixed / lump sum pay package:

(ix)         The term “Basic Pay” will also include the amount of Personal Pay granted on account of annual increment(s) beyond the maximum of the existing pay scales.

9.                          Special Pays & Allowances:  

                              Various allowances admissible to civil employees of the Government of the Punjab (calculated on the minimum of pay scales or running Basic Pay Scales) shall stand enhanced under the Revised Basic Pay Scales, 2026. However, if specific year of a Pay Scale is explicitly mentioned in the sanction, no change/modification/upward revision shall be admissible, except with the approval of the Government.

10.                       Conveyance Allowance: 

                              Conveyance Allowance, admissible to civil servants of Punjab Government, shall be revised as per following rates:

BPS	Existing Rate	Revised Rate
01-04	Rs.1,785/-	Rs.2,678/-
05-10	Rs.1,932/-	Rs.2.898/-
11-15	Rs.2,856/-	Rs.4,284/-
16 & above	Rs.5,000/-	Rs.7,500/-

All other terms and conditions will remain the same.

11.                       Special Conveyance Allowance: 

                              Special Conveyance Allowance, admissible to disabled employees of Punjab Government, shall be enhanced from Rs.6.000/- per month to Rs.10.000/- per month, in addition to normal Conveyance Allowance. All other terms and conditions will remain the same.

12.                       Option:

(a)          All the existing civil servants (BS-1 to 22) of the Punjab Government. shall within 30 days commencing from the date of issuance of this Notification, exercise an irrevocable option in writing and communicate it to the Accountant General Punjab / District Accounts Offices / DDO concerned, as the case may be, either to continue to draw salary in the Basic Pay Scales-2022 or in the Basic Pay Scales-2026, as specified in this notification.

(b)         An existing employee, as aforesaid, who does not exercise and communicate his/her option within the specified time limit, shall be deemed to have opted for the Scheme of Basic Pay Scales-2026.

13.                       All existing rules / orders on the subject shall be considered to have been modified to the extent indicated above. All the existing rules / orders not so modified shall continue to be in force under this scheme.

14.                       Anomalies: 

               An Anomaly Committee shall be set up in the Finance Department (Regulations Wing) to resolve the anomalies, if any, arising out in the implementation of the Basic Pay Scales —2026.

Add. Finance Secretary (Regulations)

A Stronger Salary Structure, With Rules to Watch:

Punjab’s revised pay notification creates a broad new salary framework rather than a one-off allowance change. BPS-2026 replaces BPS-2022, revises the minimum, increment and maximum points, and introduces a 7% Ad-hoc Relief Allowance linked to running basic pay. It also improves conveyance support and raises the special conveyance allowance for disabled employees to Rs. 10,000 per month.

The practical effect will differ by employee. Existing staff must consider point-to-point pay fixation, the 30-day option deadline, frozen historical allowances, tax treatment and the rule that some specifically sanctioned rates cannot be increased without government approval. New entrants face separate notional formulas for the 2023 and 2024 relief allowances, so the headline percentage alone does not tell the full salary story.

Employees should obtain the official option form from their department, submit it within the prescribed period, and keep proof of delivery. Payroll offices should verify the employee’s BPS, stage, contract status and allowance eligibility before processing revised pay. If a discrepancy appears, the departmental accounts office or DDO should be approached first, while the notified Anomaly Committee provides the formal route for implementation issues. Overall, the order offers meaningful financial relief, but careful reading of its conditions is essential to avoid incorrect salary expectations.

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Frequently Asked Questions

What is the new Ad-hoc Relief Allowance-2026 in Punjab?

It is 7% of running BPS-2026 basic pay for eligible Punjab civil servants and qualifying contract employees, subject to the notification’s conditions.

How much is the revised conveyance allowance?

The monthly rates are Rs. 2,678 for BPS 1-4, Rs. 2,898 for BPS 5-10, Rs. 4,284 for BPS 11-15 and Rs. 7,500 for BPS 16 and above.

What happens if an employee does not submit the option?

The employee is deemed to have opted for BPS-2026.