What is a locality rate?
Locality relates to the region where the employee works. This factor adjusts the base rate of pay for the cost of living in a geographic area. While each position is assigned to a specific grade, and each employee is assigned to a step within that grade, the pay rate will vary by location.
How locality pay is calculated?
Determining a Locality Rate To determine an employee’s locality rate, increase the employee’s “scheduled annual rate of pay” by the locality pay percentage authorized by the President for the locality pay area in which the employee’s official worksite is located. Locality pay areas are defined in 5 CFR 531.603.
Does GS pay scale include locality?
Employees in GS positions in the continental United States also receive locality pay (there are 32 defined locality pay areas). Special rates are higher rates of pay than GS and locality rates. Some agencies have statutory authority to administer their own pay systems.
What is locality pay for Washington DC?
Download PDF The 2021 Locality Adjustment Rate for the Washington DC GS locality is 30.48%. This is the 2021 locality-adjusted GS pay table for Washington DC-area workers. Use the tabs to view different years. Download PDF The 2020 Locality Adjustment Rate for the Washington DC GS locality is 30.48%.
What is location pay?
Location pay is additional compensation paid to an employee whose principal place of employment or official station is located in New York City or the counties of Nassau, Rockland, Suffolk or Westchester.
What is locality pay OPM?
General Schedule Pay Rates Pay varies by geographic location. In the locality pay program, Federal pay is compared to non-Federal pay for the same levels of work.
Does federal base pay include locality pay?
Yes, the locality pay adjustment is included as part of your base pay when calculating your annuity. There is no adjustment made to where you live after you are retired. Although locality pay is part of the FERS annuity calculation, it’s not as big of a factor as other variables that go into the benefit formula.
Is federal locality pay based on where you live?
Certain location-based pay entitlements (such as locality payments, special rate supplements, and nonforeign area cost-of-living allowances) are based on the location of the employee’s official worksite associated with the employee’s position of record.
What does a GS 8 make?
The GS-8 pay grade is generally held by white-collar employees in mid-level positions. Starting salary for a GS-8 employee is $41,723.00 per year at Step 1, with a maximum possible base pay of $54,242.00 per year at Step 10.
Is locality pay based on where you live or work?
Does location affect salary?
After controlling for demographic differences, workers in the top 30 locations earn an average of 20 percent more than the median worker in the United States and 37 percent more than workers in the bottom 30 locations; median annual earnings are substantially higher in some locations than in others (see figure 1).