Click here to skip navigation
An official website of the United States Government.
Skip Navigation

In This Section

Pay & Leave Pay Administration

 

Overview

The Office of Personnel Management (OPM) provides leadership on pay administration for civilian Federal employees. We accomplish this by developing and maintaining Governmentwide regulations and policies on authorities such as basic pay setting, locality pay, special rates, back pay, pay limitations, premium pay, grade and pay retention, severance pay, and recruitment, relocation, and retention incentives. Ultimately, each Federal agency is responsible for complying with the law and regulations and following OPM's policies and guidance to administer pay policies and programs for its own employees.

Pay Policy Updates

Highlights

Pay Administration Alerts Email List

Combat Zone Employees

Special pay and benefits apply to eligible civilian Federal employees assigned to duty in certain combat zones such as Iraq and Afghanistan. The Department of Defense, the Department of State, and the Department of Labor administer many of the pay and benefits programs provided to Federal civilian employees working in overseas locations, including combat zones. Pay and benefits may vary depending on the employee's pay system, assignment location, scope and nature of duties, and nature of assignment. Please check with your agency's local human resources office to verify the benefits that apply to you.

Pay and Benefits for Federal Civilian Employees in Combat Zones

We at OPM are committed to recruiting, retaining, and honoring a world-class workforce to serve the American people. This commitment includes doing all we can to help ensure that deployed civilians receive fair and accurate compensation and benefits in a timely way.

Below is a brief list of some of the major authorities currently available to agencies that may help attract and retain Federal civilians in a combat zone.

  • Effective January 1, 2012, section 1104 of Public Law 112-81, December 31, 2011, extends to calendar year 2012 the authority provided in section 1101(a) of Public Law 110-417, October 14, 2008, as amended by section 1103 of Public Law 111-383, January 7, 2011, for the head of an agency to waive the premium pay cap provisions under 5 U.S.C. 5547. NOTE: Since the United States no longer has a military operation in Iraq, the higher premium pay cap cannot be applied to employees working in Iraq on that basis. However, the President issued a notice on May 18, 2012, that continues the declared national emergency in Iraq for 1 year (through May 22, 2013) to support stabilization efforts. The higher premium pay cap may be based on the Presidentially-declared national emergency in Iraq. The waiver authority expires December 31, 2012. Please see CPM 2012-02 and CPM 2012-05 for additional information.
  • Section 1112 of Public Law 112-81, December 31, 2011, amends section 1603(a)(2) of Public Law 109-234, June 15, 2006, as amended by Public Law 110-417, October 14, 2009, to grant the head of an agency the discretionary authority to provide allowances, benefits , and gratuities comparable to those provided by the Secretary of State to members of the Foreign Service under section 413 and chapter 9 of title I of the Foreign Service Act of 1980. This authority was provided until September 30, 2013. Therefore, OPM's Memorandum for Heads of Executive Departments and Agencies, CPM 2009-26, December 29, 2009, continues to apply regarding the use of the Foreign Service Act provision.
  • OPM regulations give agencies the discretionary authority to provide recruitment, relocation, and retention incentive payments (of as much as 25 to 100 percent of basic pay, in some cases) to address difficulties in recruiting or retaining employees in combat zones. (See 5 CFR part 575, subparts A, B, and C.)
  • Going to a combat zone can be considered "a life event" that allows employees an opportunity to elect different health insurance coverage or enhanced life insurance coverage.
  • The ceiling on the amount of annual leave that may be carried over to the next year is 360 hours for employees serving overseas, compared to 240 hours for those serving in the U.S.
  • Agencies have the ability to offer time off awards. (See 5 U.S.C. 4502(e).)
  • The Department of State Standardized Regulations (DSSR) provide a number of important allowances, such as post differential (for hardship conditions) and danger pay.
  • The Federal Employees' Compensation Act (FECA), 5 U.S.C. 8101 et seq, provides comprehensive workers' compensation coverage for deployed employees in zones where armed conflict may take place. (See also 20 C.F.R Part 10, Federal (FECA) Procedure Manual and related guidance available from the website identified below.) A wide variety of benefits are available under FECA including medical and wage loss benefits, schedule awards for permanent impairment due to loss of hearing, vision or certain organs, vocational rehabilitation for injured employees; survivor benefits are available if an employee is killed in performance of duty or if an employee later dies from a covered injury. The Department of Labor's Office of Workers' Compensation Programs is authorized to pay an additional death gratuity of $100,000 to the survivor(s) of an "employee who dies of injuries incurred in connection with the employee's service with an Armed Force in a contingency operation." For more information, please refer to the Department of Labor's regulations on these provisions at http://www.dol.gov/owcp/dfec/index.htm and http://www.dol.gov/owcp/dfec/DeathGratuity.htm.

Medical Care for Federal Civilian Employees in Combat Zones

In many of these combat zone areas, the Department of Defense's (DOD's) medical facilities are the only source of health care available to Federal employees. As such, non-DOD civilian employees of Federal agencies who become ill, contract disease, or are injured or wounded while serving in these areas are authorized treatment at military treatment facilities (MTF) in theater or, if necessary, air evacuation to an MTF outside the area of operations at the same level and support as the military until medical management disengagement and/or discharge.

If a non-DOD Federal employee would like to continue treatment at a military MTF, the employee must submit a written request to the Under Secretary of Defense (Personnel and Readiness, USD P&R) explaining the compelling circumstances that warrant continued care at a MTF. For example, the MTF is distinguished and has special or unique experience in treating an employee's injury, disease, or illness. However, the employee must first have an accepted Federal Employees' Compensation Act (FECA)(5 U.S.C. 8101 et seq) claim for his/her assignment related to the illness, disease, or injury from the Department of the Labor's Office of Workers' Compensation Programs. The request form for continued care at DOD's MTFs can be submitted electronically and through regular mail. The request form is located on DOD's web site.

Back to Top

Reservist Differential

Federal Civilian Employees Called to Active Duty

Section 751 of the Omnibus Appropriations Act, 2009 (Public Law 111-8, March 11, 2009) added a new section 5538 to title 5, United States Code. This new section provides a new benefit to certain Federal civilian employees who are (1) absent from employment with the Federal Government because they are ordered to perform active duty in the uniformed services under a provision of law specifically referenced in 10 U.S.C. 101(a)(13)(B) and (2) entitled to reemployment rights under 38 U.S.C. chapter 43 based on such absence.

Information on Reservist Differential

Additional Information on Reservist Benefits

Historical Memos

Policy Guidance

This document provides guidance to agencies on implementing a new law providing differential payments to eligible Federal civilian employees who are members of the Reserve or National Guard (hereafter referred to as "reservists") called or ordered to active duty under certain specified provisions of law.

Summary Description

Overview

Under 5 U.S.C. 5538, employing agencies must pay differential payments to eligible Federal civilian employees who are members of the Reserve or National Guard (hereafter referred to as "reservists") called or ordered to active duty under certain specified provisions of law. Federal agencies must provide a payment (a "reservist differential") equal to the amount by which an employee's projected civilian "basic pay" for a covered pay period exceeds the employee's actual military "pay and allowances" allocable to that pay period.

Section 5538 became effective on the first day of the first pay period beginning on or after March 11, 2009 (i.e., March 15, 2009, for executive branch employees on the standard biweekly payroll cycle).

Coverage

Section 5538 applies to all employees and agencies within the Federal Government (executive, legislative, and judicial branches) unless the employee or agency is excluded from coverage by other provision of law.

Qualifying Period

A reservist differential under section 5538 is payable to an employee during a "qualifying period" during which the employee meets both of the following conditions:

  1. A covered employee is absent from a Federal civilian position in order to perform active duty in the uniformed services pursuant to a call or order to active duty under section 331, 332, 333, 688, 12301(a), 12302, 12304, 12305, or 12406, of title 10, United States Code, and is serving on such qualifying active duty; and
  2. The employee is entitled to reemployment rights under the Uniformed Services Employment and Reemployment Rights Act (USERRA - 38 U.S.C. chapter 43) for such active duty.

Note:

Effective on the first pay period beginning on or after December 16, 2009, section 745 of Public Law 111-117 amended 5 U.S.C. 5538 to clarify that the reservist differential is not payable for periods following completion of active duty. The treatment of prior pay periods is addressed in the "Reservist Differential Policy Guidance Supplement", which is posted as a separate document on OPM's Website at www.opm.gov/reservist.

The employee-reservist must provide his or her employing agency with a copy of his or her military orders. The employing agency will determine whether the employee-reservist meets the conditions described above.

Pay and Leave Status

The receipt of a reservist differential does not affect an employee's civilian pay and leave status. While absent from the civilian job, the employee is considered to be on leave without pay-unless the employee takes civilian paid leave or other paid time off. The employee may use paid time off (e.g., military leave, annual leave, credit hours, compensatory time off), as available to the employee, subject to the normal conditions governing use of the particular paid time off. A reservist may not receive the reservist differential for periods during which he or she uses paid time off, since the reservist is already receiving full civilian pay for such periods. (During civilian paid time off, the reservist receives full military pay and full civilian pay, except that civilian pay is offset by military pay when an employee uses military leave under 5 U.S.C. 6323(b). During civilian leave without pay periods, the reservist receives full military pay and may receive a reservist differential, which represents the amount by which civilian basic pay exceeds military pay and allowances.) Thus, the reservist differential for a pay period will be adjusted to account for any hours of paid time off.

There are two types of military leave that may be used by civilian employees during qualifying military active duty:

  1. Regular military leave under 5 U.S.C. 6323(a) - providing 15 days of leave each fiscal year with no military pay offset (i.e., full military and civilian pay); and
  2. Special military leave for contingency operations or law enforcement purposes under 5 U.S.C. 6323(b) - providing up to 22 days of leave each calendar year but with civilian pay offset by the amount of military pay allocated to those leave days, as required by 5 U.S.C. 5519.

In considering whether to use special military leave under section 6323(b) or to receive a reservist differential, employees should take into account the following facts:

  • When payments for military leave are offset by military pay, only civilian workdays are considered. Thus, an employee on military leave under section 6323(b) for a biweekly pay period can receive 10 days of paid leave (offset by military pay for those days) plus 4 days of military pay for the civilian nonworkdays (i.e., for most employees, weekend days). This means the total pay for the period can exceed the regular civilian pay for the period.
  • Employees may not use regular military leave under section 6323(a) until they exhaust any special military leave under section 6323(b) that is available to use. (See 49 Comp. Gen. 233 (1969).)
  • The amount of the reservist differential depends solely on the amount of civilian basic pay, while the payment for military leave may reflect additional types of civilian pay.

Back to Top

Projected Civilian Basic Pay

The employing agency must determine the projected gross amount of civilian "basic pay" that would otherwise have been payable to an employee for each pay period within a qualifying period if the employee's civilian employment had not been interrupted by military active duty. Only "basic pay" as defined in OPM guidance is considered.

The employing agency must adjust an employee's projected rate of basic pay as it would have been adjusted (with reasonable certainty) but for the interruption of military active duty. This would include general increases, locality pay increases, and within-grade increases (based on longevity and acceptable performance). It could also include certain career-ladder promotion increases and performance-based basic pay increases, if the reasonable certainty standard is met.

Military Pay and Allowances

The employee-reservist must provide his or her employing agency with a copy of his monthly military leave and earnings statement for each affected month. Based on those statements, the employing agency must determine the actual paid gross amount of military pay and allowances allocable to each pay period in a qualifying period. A definition of "military pay and allowances" is included in OPM guidance. Military pay and allowances are payable on a monthly basis. For each affected month, a daily rate will be computed by dividing the monthly total by 30 days for full months or by the actual number of days for partial months. Military pay and allowances will be allocated to a civilian pay period (usually a 2-week period) based on the applicable daily rate for days within the pay period.

Computation of Differential

For each civilian pay period, the employing agency must compare the projected civilian basic pay to the allocated military pay and allowances. If the allocated military pay and allowances are greater than or equal to the projected civilian basic pay, no reservist differential is payable for that pay period. If the projected civilian basic pay is greater than the allocated military pay and allowances, the difference represents the unadjusted reservist differential.

The reservist differential is not payable for periods during which the employee is receiving civilian basic pay for performing work or using civilian paid leave or other paid time off. Thus, the unadjusted reservist differential must be adjusted (reduced) to take into account any paid hours (paid work or paid time off). The agency must follow the adjustment methodology prescribed by OPM in its guidance.

Payment

The reservist differential must be paid from the same appropriation or fund that would have been used to pay the employee's civilian salary but for the interruption to perform military active duty. Reservist differentials should be paid at the same frequency as regular civilian salary payments (e.g., generally on a biweekly basis for executive branch employees). Given the need to obtain information about an individual's military pay and allowances and other matters to accurately compute the reservist differential, a reservist differential is considered due and payable on a scheduled date that is no later than 8 weeks (4 biweekly pay periods) after the normal civilian salary payment date for a given pay period, except that this scheduled date may be pushed back beyond 8 weeks if the employee does not provide the agency with a copy of any needed military orders and military leave and earnings statement on a timely basis.

The reservist differential is not basic pay for any purpose. The reservist differential is considered to be pay for the purposes of various other laws governing Federal employee compensation (e.g., laws governing salary offset for debt collection, waiver of overpayments, garnishment, back pay). However, the reservist differential will not be counted as part of aggregate compensation in applying the aggregate pay limit in 5 U.S.C. 5307.

Taxability

The Internal Revenue Service has given OPM the following guidance regarding the treatment of reservist differentials paid under 5 U.S.C. 5538 for Federal tax purposes:

  • Reservist differentials are taxable income for Federal income tax purposes.
  • Reservist differentials are treated as wages for Federal income tax withholding purposes, regardless of the length of the active duty. Reservist differentials would be reported as wages in box 1 of Form W-2 and in line 7 of Form 1040.
  • Reservist differentials are not subject to FICA (Social Security and Medicare) taxes if those differential payments are paid for periods of active duty of more than 30 days.
  • Reservist differentials are subject to FICA taxes if those differential payments are paid for periods of active duty of 30 days or less.

References

  • 5 U.S.C. 5538 [added by section 751 of the Omnibus Appropriations Act, 2009 (Public Law 111-8, March 11, 2009) and amended by section 745 of the Consolidated Appropriations Act, 2010 (Public Law 111-117, December 16, 2009)]
  • OPM Policy Guidance Regarding Reservist Differential under 5 U.S.C. 5538, originally issued on December 8, 2009, via memorandum to agency Chief Human Capital Officers, and most recently amended and reissued on April 13, 2011
  • OPM regulations are under development.

Back to Top

Biweekly Caps on Premium Pay

2014

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule (GS) employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate payable for (1) GS-15, step 10 (including any applicable locality payment or special rate supplement), or (2) the rate payable for level V of the Executive Schedule. (See NOTE 1.) The biweekly rate is computed by (1) dividing the applicable annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours. For example, in Atlanta, GA, the GS-15, step 10, annual locality rate of $156,043 divided by 2,087 hours yields an hourly rate of $74.77 and a biweekly rate of $5,981.60 ($74.77 x 80 hours). Similarly, the Executive Schedule Level V annual rate of $147,200 divided by 2,087 hours yields an hourly rate of $70.53 and a biweekly rate of $5,642.40 ($70.53 x 80 hours).

The table below provides the biweekly and annual premium pay caps for 2014 by locality pay area. These caps become effective as of the first day of the first pay period beginning on or after January 1, 2014.

Locality Pay Area
(see Note 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the Executive Schedule (see Note 3)
Biweekly CapApplicable Annual Cap Assuming 26 Biweekly Salary Payments (see Notes 1 and 4)
Alaska 24.69% $6,022.40 $156,582.40
Atlanta-Sandy Springs-Gainesville, GA-AL 19.29% 5,981.60 155,521.60
Boston-Worcester-Manchester, MA-NH-RI-ME 24.80% 6,022.40 156,582.40
Buffalo-Niagara-Cattaraugus, NY 16.98% 5,865.60 152,505.60
Chicago-Naperville-Michigan City, IL-IN-WI 25.10% 6,022.40 156,582.40
Cincinnati-Middletown-Wilmington, OH-KY-IN 18.55% 5,944.80 154,564.80
Cleveland-Akron-Elyria, OH 18.68% 5,951.20 154,731.20
Columbus-Marion-Chillicothe, OH 17.16% 5,874.40 152,734.40
Dallas-Fort Worth, TX 20.67% 6,022.40 156,582.40
Dayton-Springfield-Greenville, OH 16.24% 5,828.80 151,548.80
Denver-Aurora-Boulder, CO 22.52% 6,022.40 156,582.40
Detroit-Warren-Flint, MI 24.09% 6,022.40 156,582.40
Hartford-West Hartford-Willimantic, CT-MA 25.82% 6,022.40 156,582.40
Hawaii 16.51% 5,842.40 151,902.40
Houston-Baytown-Huntsville, TX 28.71% 6,022.40 156,582.40
Huntsville-Decatur, AL 16.02% 5,817.60 151,257.60
Indianapolis-Anderson-Columbus, IN 14.68% 5,750.40 149,510.40
Los Angeles-Long Beach-Riverside, CA 27.16% 6,022.40 156,582.40
Miami-Fort Lauderdale-Pompano Beach, FL 20.79% 6,022.40 156,582.40
Milwaukee-Racine-Waukesha, WI 18.10% 5,921.60 153,961.60
Minneapolis-St. Paul-St. Cloud, MN-WI 20.96% 6,022.40 156,582.40
New York-Newark-Bridgeport, NY-NJ-CT-PA 28.72% 6,022.40 156,582.40
Philadelphia-Camden-Vineland, PA-NJ-DE-MD 21.79% 6,022.40 156,582.40
Phoenix-Mesa-Scottsdale, AZ 16.76% 5,854.40 152,214.40
Pittsburgh-New Castle, PA 16.37% 5,835.20 151,715.20
Portland-Vancouver-Beaverton, OR-WA 20.35% 6,022.40 156,582.40
Raleigh-Durham-Cary, NC 17.64% 5,899.20 153,379.20
Richmond, VA 16.47% 5,840.00 151,840.00
Sacramento-Arden-Arcade-Yuba City, CA-NV 22.20% 6,022.40 156,582.40
San Diego-Carlsbad-San Marcos, CA 24.19% 6,022.40 156,582.40
San Jose-San Francisco-Oakland, CA 35.15% 6,022.40 156,582.40
Seattle-Tacoma-Olympia, WA 21.81% 6,022.40 156,582.40
Washington-Baltimore-Northern Virginia, DC-MD-VA-WV-PA 24.22% 6,022.40 156,582.40
Rest of United States 14.16% 5,724.00 148,824.00
Not in a Locality Pay Area NA 5,642.40 146,702.40

Notes:

  1. In certain emergency or mission critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation. (See 5 U.S.C. 5547(b) and 5 CFR 550.106-550.107.) See NOTE 4 regarding the method of computing the annual premium pay cap.

  2. 2014 locality pay area definitions can be found here.

  3. Locality rates for GS employees are capped at the rate for level IV of the Executive Schedule (EX-IV), which is $157,100 in 2014. (See Note 4 for an explanation of why annual premium pay cap is different than the annual rate shown in applicable salary schedules.) Certain special rate employees may have a higher biweekly premium pay cap at GS-15, step 10, than that shown in the table above.

  4. The amount of the annual premium pay cap is computed by multiplying the applicable biweekly rate by the number of biweekly salary payments in the given year. (See 5 CFR 550.106(d).) The annual caps listed in the table above apply to employees with 26 biweekly salary payments in 2014. The caps do not match the annual rates shown on applicable salary schedules. For example, the GS-15, step 10, annual locality rate in Washington, DC, is $157,100 (EX-IV cap), but the corresponding annual premium pay cap based on 26 payments is $156,582.40. Similarly, the EX V annual rate is $147,200, but the corresponding annual premium pay cap based on 26 payments is $146,702.40. However, some employees may have 27 biweekly salary payments in 2014. For these employees, the applicable annual cap is equal to the applicable biweekly rate multiplied by 27.

  5. Effective January 1, 2014, section 1101 of Public Law 113-66, December 26, 2013, extended to calendar year 2014 the authority provided in section 1101 of Public Law 110-417, October 14, 2008, as amended, for the head of an agency to waive the premium pay cap provisions under 5 U.S.C. 5547 for certain employees working overseas. Please see CPM 2014-04 for more information.

  6. There is no authority under law to waive the annual premium pay limitation under section 5547, except as provided in Note 5 above.

  7. When the biweekly (or annual, if applicable) cap on premium pay is reached, employees may still be ordered to perform overtime work without receiving further compensation. (See Comptroller General Opinions: B-178117, May 1, 1973; B-229089, December 28, 1988; and B-240200, December 20, 1990.)

Back to Top

2013

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule (GS) employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate payable for (1) GS-15, step 10 (including any applicable locality payment or special rate supplement), or (2) the rate payable for level V of the Executive Schedule.  (See NOTE 1.)  The biweekly rate is computed by (1) dividing the applicable annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours.  For example, in Atlanta, GA, the GS-15, step 10, annual locality rate of $154,501 divided by 2,087 hours yields an hourly rate of $74.03 and a biweekly rate of $5,922.40 ($74.03 x 80 hours).  Similarly, the Executive Schedule Level V annual rate of $145,700 divided by 2,087 hours yields an hourly rate of $69.81 and a biweekly rate of $5,584.80 ($69.81 x 80 hours).

The table below provides the biweekly and annual premium pay caps for 2013 by locality pay area.  These caps become effective as of the first day of the first pay period beginning on or after January 1, 2013.

Locality Pay Area
(see Note 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the Executive Schedule (see Note 3)
Biweekly CapApplicable Annual Cap Assuming 26 Biweekly Salary Payments (see Notes 1 and 4)
Alaska 24.69% $5,960.80 $154,980.80
Atlanta-Sandy Springs-Gainesville, GA-AL 19.29% 5,922.40 153,982.40
Boston-Worcester-Manchester, MA-NH-RI-ME 24.80% 5,960.80 154,980.80
Buffalo-Niagara-Cattaraugus, NY 16.98% 5,808.00 151,008.00
Chicago-Naperville-Michigan City, IL-IN-WI 25.10% 5,960.80 154,980.80
Cincinnati-Middletown-Wilmington, OH-KY-IN 18.55% 5,885.60 153,025.60
Cleveland-Akron-Elyria, OH 18.68% 5,892.00 153,192.00
Columbus-Marion-Chillicothe, OH 17.16% 5,816.80 151,236.80
Dallas-Fort Worth, TX 20.67% 5,960.80 154,980.80
Dayton-Springfield-Greenville, OH 16.24% 5,771.20 150,051.20
Denver-Aurora-Boulder, CO 22.52% 5,960.80 154,980.80
Detroit-Warren-Flint, MI 24.09% 5,960.80 154,980.80
Hartford-West Hartford-Willimantic, CT-MA 25.82% 5,960.80 154,980.80
Hawaii 16.51% 5,784.00 150,384.00
Houston-Baytown-Huntsville, TX 28.71% 5,960.80 154,980.80
Huntsville-Decatur, AL 16.02% 5,760.00 149,760.00
Indianapolis-Anderson-Columbus, IN 14.68% 5,693.60 148,033.60
Los Angeles-Long Beach-Riverside, CA 27.16% 5,960.80 154,980.80
Miami-Fort Lauderdale-Pompano Beach, FL 20.79% 5,960.80 154,980.80
Milwaukee-Racine-Waukesha, WI 18.10% 5,863.20 152,443.20
Minneapolis-St. Paul-St. Cloud, MN-WI 20.96% 5,960.80 154,980.80
New York-Newark-Bridgeport, NY-NJ-CT-PA 28.72% 5,960.80 154,980.80
Philadelphia-Camden-Vineland, PA-NJ-DE-MD 21.79% 5,960.80 154,980.80
Phoenix-Mesa-Scottsdale, AZ 16.76% 5,796.80 150,716.80
Pittsburgh-New Castle, PA 16.37% 5,777.60 150,217.60
Portland-Vancouver-Beaverton, OR-WA 20.35% 5,960.80 154,980.80
Raleigh-Durham-Cary, NC 17.64% 5,840.80 151,860.80
Richmond, VA 16.47% 5,782.40 150,342.40
Sacramento-Arden-Arcade-Yuba City, CA-NV 22.20% 5,960.80 154,980.80
San Diego-Carlsbad-San Marcos, CA 24.19% 5,960.80 154,980.80
San Jose-San Francisco-Oakland, CA 35.15% 5,960.80 154,980.80
Seattle-Tacoma-Olympia, WA 21.81% 5,960.80 154,980.80
Washington-Baltimore-Northern Virginia, DC-MD-VA-WV-PA 24.22% 5,960.80 154,980.80
Rest of United States 14.16% 5,668.00 147,368.00
Not in a Locality Pay Area NA 5,584.80 145,204.80

Notes:

  1. In certain emergency or mission critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation. (See 5 U.S.C. 5547(b) and 5 CFR 550.106-550.107.) See NOTE 4 regarding the method of computing the annual premium pay cap.

  2. 2013 locality pay area definitions can be found here.

  3. Locality rates for GS employees are capped at the rate for level IV of the Executive Schedule (EX-IV), which is $155,500 in 2013. (See Note 4 for an explanation of why annual premium pay cap is different than the annual rate shown in applicable salary schedules.) Certain special rate employees may have a higher biweekly premium pay cap at GS-15, step 10, than that shown in the table above.

  4. The amount of the annual premium pay cap is computed by multiplying the applicable biweekly rate by the number of biweekly salary payments in the given year. (See 5 CFR 550.106(d).) The annual caps listed in the table above apply to employees with 26 biweekly salary payments in 2013. The caps do not match the annual rates shown on applicable salary schedules. For example, the GS-15, step 10, annual locality rate in Washington, DC, is $155,500 (EX-IV cap), but the corresponding annual premium pay cap based on 26 payments is $154,980.80. Similarly, the EX V annual rate is $145,700, but the corresponding annual premium pay cap based on 26 payments is $145,204.80. However, some employees may have 27 biweekly salary payments in 2013. For these employees, the applicable annual cap is equal to the applicable biweekly rate multiplied by 27.

  5. Effective January 1, 2013, section 1101 of Public Law 112-239, January 2, 2013, extends to calendar year 2013 the authority provided in section 1101(a) of Public Law 110-417, October 14, 2008, as amended, for the head of an agency to waive the premium pay cap provisions under 5 U.S.C. 5547 for certain employees working overseas. Please see CPM 2013-04 for more information.

  6. There is no authority under law to waive the annual premium pay limitation under section 5547, except as provided in Note 5 above.

  7. When the biweekly (or annual, if applicable) cap on premium pay is reached, employees may still be ordered to perform overtime work without receiving further compensation. (See Comptroller General Opinions: B-178117, May 1, 1973; B-229089, December 28, 1988; and B-240200, December 20, 1990.)

Back to Top

2012

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule (GS) employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate payable for (1) GS-15, step 10 (including any applicable locality payment or special rate supplement), or (2) the rate payable for level V of the Executive Schedule. (See NOTE 1.) The biweekly rate is computed by (1) dividing the applicable annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours. For example, in Atlanta, GA, the GS-15, step 10, annual locality rate of $154,501 divided by 2,087 hours yields an hourly rate of $74.03 and a biweekly rate of $5,922.40 ($74.03 x 80 hours). Similarly, the Executive Schedule Level V annual rate of $145,700 divided by 2,087 hours yields an hourly rate of $69.81 and a biweekly rate of $5,584.80 ($69.81 x 80 hours).

The table below provides the biweekly and annual premium pay caps for 2012 by locality pay area. These caps become effective as of the first day of the first pay period beginning on or after January 1, 2012.

Locality Pay Area
(see Note 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the Executive Schedule (see Note 3)
Biweekly CapApplicable Annual Cap Assuming 26 Biweekly Salary Payments (see Notes 1 and 4)
Alaska 24.69% $5,960.80 $154,980.80
Atlanta-Sandy Springs-Gainesville, GA-AL 19.29% 5,922.40 153,982.40
Boston-Worcester-Manchester, MA-NH-RI-ME 24.80% 5,960.80 154,980.80
Buffalo-Niagara-Cattaraugus, NY 16.98% 5,808.00 151,008.00
Chicago-Naperville-Michigan City, IL-IN-WI 25.10% 5,960.80 154,980.80
Cincinnati-Middletown-Wilmington, OH-KY-IN 18.55% 5,885.60 153,025.60
Cleveland-Akron-Elyria, OH 18.68% 5,892.00 153,192.00
Columbus-Marion-Chillicothe, OH 17.16% 5,816.80 151,236.80
Dallas-Fort Worth, TX 20.67% 5,960.80 154,980.80
Dayton-Springfield-Greenville, OH 16.24% 5,771.20 150,051.20
Denver-Aurora-Boulder, CO 22.52% 5,960.80 154,980.80
Detroit-Warren-Flint, MI 24.09% 5,960.80 154,980.80
Hartford-West Hartford-Willimantic, CT-MA 25.82% 5,960.80 154,980.80
Hawaii 16.51% 5,784.00 150,384.00
Houston-Baytown-Huntsville, TX 28.71% 5,960.80 154,980.80
Huntsville-Decatur, AL 16.02% 5,760.00 149,760.00
Indianapolis-Anderson-Columbus, IN 14.68% 5,693.60 148,033.60
Los Angeles-Long Beach-Riverside, CA 27.16% 5,960.80 154,980.80
Miami-Fort Lauderdale-Pompano Beach, FL 20.79% 5,960.80 154,980.80
Milwaukee-Racine-Waukesha, WI 18.10% 5,863.20 152,443.20
Minneapolis-St. Paul-St. Cloud, MN-WI 20.96% 5,960.80 154,980.80
New York-Newark-Bridgeport, NY-NJ-CT-PA 28.72% 5,960.80 154,980.80
Philadelphia-Camden-Vineland, PA-NJ-DE-MD 21.79% 5,960.80 154,980.80
Phoenix-Mesa-Scottsdale, AZ 16.76% 5,796.80 150,716.80
Pittsburgh-New Castle, PA 16.37% 5,777.60 150,217.60
Portland-Vancouver-Beaverton, OR-WA 20.35% 5,960.80 154,980.80
Raleigh-Durham-Cary, NC 17.64% 5,840.80 151,860.80
Richmond, VA 16.47% 5,782.40 150,342.40
Sacramento-Arden-Arcade-Yuba City, CA-NV 22.20% 5,960.80 154,980.80
San Diego-Carlsbad-San Marcos, CA 24.19% 5,960.80 154,980.80
San Jose-San Francisco-Oakland, CA 35.15% 5,960.80 154,980.80
Seattle-Tacoma-Olympia, WA 21.81% 5,960.80 154,980.80
Washington-Baltimore-Northern Virginia, DC-MD-VA-WV-PA 24.22% 5,960.80 154,980.80
Rest of United States 14.16% 5,668.00 147,368.00
Not in a Locality Pay Area NA 5,584.80 145,204.80

Notes:

  1. In certain emergency or mission critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation. (See 5 U.S.C. 5547(b) and 5 CFR 550.106-550.107.) See NOTE 4 regarding the method of computing the annual premium pay cap.

  2. 2012 locality pay area definitions can be found here.

  3. Locality rates for GS employees are capped at the rate for level IV of the Executive Schedule (EX-IV), which is $155,500 in 2012. (See Note 4 for an explanation of why annual premium pay cap is different than the annual rate shown in applicable salary schedules.) Certain special rate employees may have a higher biweekly premium pay cap at GS-15, step 10, than that shown in the table above.

  4. The amount of the annual premium pay cap is computed by multiplying the applicable biweekly rate by the number of biweekly salary payments in the given year. (See 5 CFR 550.106(d).) The annual caps listed in the table above apply to employees with 26 biweekly salary payments in 2012. The caps do not match the annual rates shown on applicable salary schedules. For example, the GS-15, step 10, annual locality rate in Washington, DC, is $155,500 (EX-IV cap), but the corresponding annual premium pay cap based on 26 payments is $154,980.80. Similarly, the EX V annual rate is $145,700, but the corresponding annual premium pay cap based on 26 payments is $145,204.80. However, some employees may have 27 biweekly salary payments in 2012. For these employees, the applicable annual cap is equal to the applicable biweekly rate multiplied by 27.

  5. Effective January 1, 2012, section 1104 of Public Law 112-81, December 31, 2011, extends to calendar year 2012 the authority provided in section 1101(a) of Public Law 110-417, October 14, 2008, as amended by section 1103 of Public Law 111-383, January 7, 2011, for the head of an agency to waive the premium pay cap provisions under 5 U.S.C. 5547 for certain employees working overseas. Please see CPM 2012-02 and CPM 2012-05 for additional information.

  6. No exemptions have been granted to waive the annual premium pay limitation under section 5547 for any emergency situations, except as provided in note 5, above.

  7. When the biweekly (or annual, if applicable) cap on premium pay is reached, employees may still be ordered to perform overtime work without receiving further compensation. (See Comptroller General Opinions: B-178117, May 1, 1973; B-229089, December 28, 1988; and B-240200, December 20, 1990.)

Back to Top

2011

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule (GS) employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate payable for (1) GS-15, step 10 (including any applicable locality payment or special rate supplement), or (2) the rate payable for level V of the Executive Schedule. (See NOTE 1.) The biweekly rate is computed by (1) dividing the applicable annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours. For example, in Atlanta, GA, the GS-15, step 10, annual locality rate of $154,501 divided by 2,087 hours yields an hourly rate of $74.03 and a biweekly rate of $5,922.40 ($74.03 x 80 hours). Similarly, the Executive Schedule Level V annual rate of $145,700 divided by 2,087 hours yields an hourly rate of $69.81 and a biweekly rate of $5,584.80 ($69.81 x 80 hours).

The table below provides the biweekly premium pay caps for 2011 by locality pay area. These caps become effective as of the first day of the first pay period beginning on or after January 1, 2011.

Locality Pay Area
(see Note 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the Executive Schedule (see Note 3)
Biweekly CapApplicable Annual Cap Assuming 26 Biweekly Salary Payments (see Notes 1 and 4)
Atlanta-Sandy Springs-Gainesville, GA-AL 19.29% $5,922.40 $153,982.40
Boston-Worcester-Manchester, MA-NH-RI-ME 24.80% 5,960.80 154,980.80
Buffalo-Niagara-Cattaraugus, NY 16.98% 5,808.00 151,008.00
Chicago-Naperville-Michigan City, IL-IN-WI 25.10% 5,960.80 154,980.80
Cincinnati-Middletown-Wilmington, OH-KY-IN 18.55% 5,885.60 153,025.60
Cleveland-Akron-Elyria, OH 18.68% 5,892.00 153,192.00
Columbus-Marion-Chillicothe, OH 17.16% 5,816.80 151,236.80
Dallas-Fort Worth, TX 20.67% 5,960.80 154,980.80
Dayton-Springfield-Greenville, OH 16.24% 5,771.20 150,051.20
Denver-Aurora-Boulder, CO 22.52% 5,960.80 154,980.80
Detroit-Warren-Flint, MI 24.09% 5,960.80 154,980.80
Hartford-West Hartford-Willimantic, CT-MA 25.82% 5,960.80 154,980.80
Houston-Baytown-Huntsville, TX 28.71% 5,960.80 154,980.80
Huntsville-Decatur, AL 16.02% 5,760.00 149,760.00
Indianapolis-Anderson-Columbus, IN 14.68% 5,693.60 148,033.60
Los Angeles-Long Beach-Riverside, CA 27.16% 5,960.80 154,980.80
Miami-Fort Lauderdale-Pompano Beach, FL 20.79% 5,960.80 154,980.80
Milwaukee-Racine-Waukesha, WI 18.10% 5,863.20 152,443.20
Minneapolis-St. Paul-St. Cloud, MN-WI 20.96% 5,960.80 154,980.80
New York-Newark-Bridgeport, NY-NJ-CT-PA 28.72% 5,960.80 154,980.80
Philadelphia-Camden-Vineland, PA-NJ-DE-MD 21.79% 5,960.80 154,980.80
Phoenix-Mesa-Scottsdale, AZ 16.76% 5,796.80 150,716.80
Pittsburgh-New Castle, PA 16.37% 5,777.60 150,217.60
Portland-Vancouver-Beaverton, OR-WA 20.35% 5,960.80 154,980.80
Raleigh-Durham-Cary, NC 17.64% 5,840.80 151,860.80
Richmond, VA 16.47% 5,782.40 150,342.40
Sacramento-Arden-Arcade-Yuba City, CA-NV 22.20% 5,960.80 154,980.80
San Diego-Carlsbad-San Marcos, CA 24.19% 5,960.80 154,980.80
San Jose-San Francisco-Oakland, CA 35.15% 5,960.80 154,980.80
Seattle-Tacoma-Olympia, WA 21.81% 5,960.80 154,980.80
Washington-Baltimore-Northern Virginia, DC-MD-VA-WV-PA 24.22% 5,960.80 154,980.80
Rest of United States 14.16% 5,668.00 147,368.00
Alaska 16.46% 5,781.60 150,321.60
Hawaii 11.01% 5,584.80 145,204.80
Other Nonforeign Areas listed in 5 CFR 591.205 9.44% 5,584.80 145,204.80
Not in a Locality Pay Area NA 5,584.80 145,204.80

Notes:

  1. In certain emergency or mission critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation. (See 5 U.S.C. 5547(b) and 5 CFR 550.106-550.107.) See NOTE 4 regarding the method of computing the annual premium pay cap.

  2. 2011 locality pay area definitions can be found here.

  3. Locality rates for GS employees are capped at the rate for level IV of the Executive Schedule (EX-IV), which is $155,500 in 2011. (See Note 4 for an explanation of why annual premium pay cap is different than the annual rate shown in applicable salary schedules.) Certain special rate employees may have a higher biweekly premium pay cap at GS-15, step 10, than that shown in the table above.

  4. The amount of the annual premium pay cap is computed by multiplying the applicable biweekly rate by the number of biweekly salary payments in the given year. (See 5 CFR 550.106(d).) The annual caps listed in the table above apply to employees with 26 biweekly salary payments in 2011. The caps do not match the annual rates shown on applicable salary schedules. For example, the GS-15, step 10, annual locality rate in Washington, DC, is $155,500 (EX-IV cap), but the corresponding annual premium pay cap based on 26 payments is $154,980.80. Similarly, the EX-V annual rate is $145,700, but the corresponding annual premium pay cap based on 26 payments is $145,204.80. However, some employees may have 27 biweekly salary payments in 2011. For these employees, the applicable annual cap is equal to the applicable biweekly rate multiplied by 27.

  5. Effective January 1, 2011, section 1103 of Public Law 111-383 (Ike Skelton National Defense Authorization Act for Fiscal Year 2011) extends to calendar year 2011 the authority provided in section 1101(a) of the Duncan Hunter National Defense Authorization Act for Fiscal Year 2009 (Public Law 110-417, October 14, 2008), as amended by section 1106 of the National Defense Authorization Act for Fiscal Year 2010 (Public Law 111-84, October 28, 2009), for the head of an agency to waive the premium pay cap provisions under 5 U.S.C. 5547.
    This waiver authority applies to certain civilian employees who perform work while in an overseas location that (1) is in the area of responsibility of the United States Central Command (CENTCOM) or (2) was formerly in the CENTCOM area of responsibility but has been moved to the area of responsibility of the Commander of the United States Africa Command (AFRICOM). The overseas work must meet one of two additional qualifying conditions: (1) performance of work in direct support of or directly related to a military operation (including a contingency operation as defined in 10 U.S.C. 101(a)(13)), or (2) performance of work in direct support of or directly related to an operation in response to an emergency declared by the President.
    The annual limitation on basic pay and premium pay allowed under the waiver authority is $230,700 in calendar year 2011 (the annual rate of salary payable to the Vice President under 3 U.S.C. 104). Subsection 1101(b) also provides the aggregate limitation on pay under 5 U.S.C. 5307 will not apply to an employee in calendar year 2011 if the employee is granted a waiver under subsection 1101(a) of the normally applicable premium pay limitations.

  6. No exemptions have been granted to waive the annual premium pay limitation under section 5547 for any emergency situations, except as provided in note 5, above.

  7. When the biweekly (or annual, if applicable) cap on premium pay is reached, employees may still be ordered to perform overtime work without receiving further compensation. (See Comptroller General Opinions: B-178117, May 1, 1973; B-229089, December 28, 1988; and B-240200, December 20, 1990.)

Back to Top

2010

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule (GS) employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate payable for (1) GS-15, step 10 (including any applicable locality payment or special rate supplement), or (2) the rate payable for level V of the Executive Schedule. (See NOTE 1.) The biweekly rate is computed by (1) dividing the applicable annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours. For example, in Atlanta, GA, the GS-15, step 10, annual locality rate of $154,501 divided by 2,087 hours yields an hourly rate of $74.03 and a biweekly rate of $5,922.40 ($74.03 x 80 hours). Similarly, the Executive Schedule Level V annual rate of $145,700 divided by 2,087 hours yields an hourly rate of $69.81 and a biweekly rate of $5,584.80 ($69.81 x 80 hours).

The table below provides the biweekly premium pay caps for 2010 by locality pay area. These caps become effective as of the first day of the first pay period beginning on or after January 1, 2010.

Locality Pay Area
(see NOTE 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the Executive Schedule (see NOTE 3)
Biweekly CapApplicable Annual Cap Assuming 26 Biweekly Salary Payments (see NOTES 1 and 4)
Atlanta-Sandy Springs-Gainesville, GA-AL 19.29% $5,922.40 $153,982.40
Boston-Worcester-Manchester, MA-NH-RI-ME 24.80% 5,960.80 154,980.80
Buffalo-Niagara-Cattaraugus, NY 16.98% 5,808.00 151,008.00
Chicago-Naperville-Michigan City, IL-IN-WI 25.10% 5,960.80 154,980.80
Cincinnati-Middletown-Wilmington, OH-KY-IN 18.55% 5,885.60 153,025.60
Cleveland-Akron-Elyria, OH 18.68% 5,892.00 153,192.00
Columbus-Marion-Chillicothe, OH 17.16% 5,816.80 151,236.80
Dallas-Fort Worth, TX 20.67% 5,960.80 154,980.80
Dayton-Springfield-Greenville, OH 16.24% 5,771.20 150,051.20
Denver-Aurora-Boulder, CO 22.52% 5,960.80 154,980.80
Detroit-Warren-Flint, MI 24.09% 5,960.80 154,980.80
Hartford-West Hartford-Willimantic, CT-MA 25.82% 5,960.80 154,980.80
Houston-Baytown-Huntsville, TX 28.71% 5,960.80 154,980.80
Huntsville-Decatur, AL 16.02% 5,760.00 149,760.00
Indianapolis-Anderson-Columbus, IN 14.68% 5,693.60 148,033.60
Los Angeles-Long Beach-Riverside, CA 27.16% 5,960.80 154,980.80
Miami-Fort Lauderdale-Pompano Beach, FL 20.79% 5,960.80 154,980.80
Milwaukee-Racine-Waukesha, WI 18.10% 5,863.20 152,443.20
Minneapolis-St. Paul-St. Cloud, MN-WI 20.96% 5,960.80 154,980.80
New York-Newark-Bridgeport, NY-NJ-CT-PA 28.72% 5,960.80 154,980.80
Philadelphia-Camden-Vineland, PA-NJ-DE-MD 21.79% 5,960.80 154,980.80
Phoenix-Mesa-Scottsdale, AZ 16.76% 5,796.80 150,716.80
Pittsburgh-New Castle, PA 16.37% 5,777.60 150,217.60
Portland-Vancouver-Beaverton, OR-WA 20.35% 5,960.80 154,980.80
Raleigh-Durham-Cary, NC 17.64% 5,840.80 151,860.80
Richmond, VA 16.47% 5,782.40 150,342.40
Sacramento-Arden-Arcade-Yuba City, CA-NV 22.20% 5,960.80 154,980.80
San Diego-Carlsbad-San Marcos, CA 24.19% 5,960.80 154,980.80
San Jose-San Francisco-Oakland, CA 35.15% 5,960.80 154,980.80
Seattle-Tacoma-Olympia, WA 21.81% 5,960.80 154,980.80
Washington-Baltimore-Northern Virginia, DC-MD-VA-WV-PA 24.22% 5,960.80 154,980.80
Rest of United States 14.16% 5,668.00 147,368.00
Alaska 4.72% 5,584.80 145,204.80
Hawaii 4.72% 5,584.80 145,204.80
Other Nonforeign Areas listed in 5 CFR 591.205 4.72% 5,584.80 145,204.80
Not in a Locality Pay Area NA 5,584.80 145,204.80

Notes:

  1. In certain emergency or mission critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation. (See 5 U.S.C. 5547(b) and 5 CFR 550.106-550.107.) See NOTE 4 regarding the method of computing the annual premium pay cap.Back to text following note 1

  2. See 5 CFR 531.603(b) and the OPM website for definitions of locality pay areas.

  3. Certain special rate employees may have a higher biweekly premium pay cap at GS-15, step 10, than that shown in the table above. Back to text following note 3

  4. The amount of the annual premium pay cap is computed by multiplying the applicable biweekly rate by the number of biweekly salary payments in the given year. (See 5 CFR 550.106(d).) The annual caps listed in the table above apply to employees with 26 biweekly salary payments in 2010. However, some employees may have 27 biweekly salary payments in 2010. For these employees, the applicable annual cap is equal to the applicable biweekly rate multiplied by 27.Back to text following note 4

  5. Under section 1106 of Public Law 111-84, the head of an agency may waive the premium pay cap provisions under 5 U.S.C. 5547 in calendar year 2010 for an employee who performs work while in an overseas location that (1) is in the area of responsibility of the Commander of the United States Central Command (CENTCOM) or (2) was formerly in the CENTCOM area of responsibility but has been moved to the area of responsibility of the Commander of the United States Africa Command (AFRICOM). The overseas work must meet one of two additional qualifying conditions: (1) performance of work in direct support of or directly related to a military operation (including a contingency operation as defined in 10 U.S.C. 101(a)(13)) or (2) performance of work in direct support of or directly related to an operation in response to an emergency declared by the President. Under the waiver authority, a covered employee may receive premium pay in calendar year 2010 to the extent that such premium pay would not cause the employee's aggregate amount of basic pay and premium pay payable in calendar year 2010 to exceed $230,700.

  6. No exemptions have been granted to waive the annual premium pay limitation under section 5547 for any emergency situations, except as provided in note 5, above.

  7. When the biweekly (or annual, if applicable) cap on premium pay is reached, employees may still be ordered to perform overtime work without receiving further compensation. (See Comptroller General Opinions: B-178117, May 1, 1973; B-229089, December 28, 1988; and B-240200, December 20, 1990.)

Back to Top

2009

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule (GS) employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate payable for (1) GS-15, step 10 (including any applicable locality payment or special rate supplement), or (2) the rate payable for level V of the Executive Schedule. (See NOTE 1.) The biweekly rate is computed by (1) dividing the applicable annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours. For example, in Atlanta, GA, the GS-15, step 10, annual locality rate of $151,275 divided by 2,087 hours yields an hourly rate of $72.48 and a biweekly rate of $5,798.40 ($72.48 x 80 hours). Similarly, the Executive Schedule Level V annual rate of $143,500 divided by 2,087 hours yields an hourly rate of $68.76 and a biweekly rate of $5,500.80 ($68.76 x 80 hours).

The table below provides the biweekly premium pay caps for 2009 by locality pay area. These caps become effective as of the first day of the first pay period beginning on or after January 1, 2009.

Locality Pay Area
(see NOTE 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the Executive Schedule (see NOTE 3)
Biweekly CapApplicable Annual Cap Assuming 26 Biweekly Salary Payments (see NOTES 1 and 4)
Atlanta-Sandy Springs-Gainesville, GA-AL 18.55%  $5,798.40  $150,758.40
Boston-Worcester-Manchester, MA-NH-RI-ME 23.98% 5,872.80 152,692.80
Buffalo-Niagara-Cattaraugus, NY 16.39% 5,692.80 148,012.80
Chicago-Naperville-Michigan City, IL-IN-WI 24.47% 5,872.80 152,692.80
Cincinnati-Middletown-Wilmington, OH-KY-IN 18.28% 5,785.60 150,425.60
Cleveland-Akron-Elyria, OH 18.16% 5,780.00 150,280.00
Columbus-Marion-Chillicothe, OH 16.62% 5,704.00 148,304.00
Dallas-Fort Worth, TX 19.95% 5,867.20 152,547.20
Dayton-Springfield-Greenville, OH 15.90% 5,668.80 147,388.80
Denver-Aurora-Boulder, CO 22.03% 5,872.80 152,692.80
Detroit-Warren-Flint, MI 23.56% 5,872.80 152,692.80
Hartford-West Hartford-Willimantic, CT-MA 25.08% 5,872.80 152,692.80
Houston-Baytown-Huntsville, TX 28.28% 5,872.80 152,692.80
Huntsville-Decatur, AL 15.46% 5,648.00 146,848.00
Indianapolis-Anderson-Columbus, IN 14.23% 5,587.20 145,267.20
Los Angeles-Long Beach-Riverside, CA 26.51% 5,872.80 152,692.80
Miami-Fort Lauderdale-Pompano Beach, FL 20.21% 5,872.80 152,692.80
Milwaukee-Racine-Waukesha, WI 17.65% 5,754.40 149,614.40
Minneapolis-St. Paul-St. Cloud, MN-WI 20.36% 5,872.80 152,692.80
New York-Newark-Bridgeport, NY-NJ-CT-PA 27.96% 5,872.80 152,692.80
Philadelphia-Camden-Vineland, PA-NJ-DE-MD 21.25% 5,872.80 152,692.80
Phoenix-Mesa-Scottsdale, AZ 16.08% 5,677.60 147,617.60
Pittsburgh-New Castle, PA 15.86% 5,667.20 147,347.20
Portland-Vancouver-Beaverton, OR-WA 19.71% 5,855.20 152,235.20
Raleigh-Durham-Cary, NC 17.38% 5,741.60 149,281.60
Richmond, VA 16.10% 5,679.20 147,659.20
Sacramento–Arden-Arcade–Yuba City, CA-NV 21.53% 5,872.80 152,692.80
San Diego-Carlsbad-San Marcos, CA 23.44% 5,872.80 152,692.80
San Jose-San Francisco-Oakland, CA 34.35% 5,872.80 152,692.80
Seattle-Tacoma-Olympia, WA 21.06% 5,872.80 152,692.80
Washington-Baltimore-Northern Virginia, DC-MD-VA-WV-PA 23.10% 5,872.80 152,692.80
Rest of United States 13.86% 5,569.60 144,809.60
Outside Continental United States NA 5,500.80 143,020.80

Notes:

  1. In certain emergency or mission critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation. (See 5 U.S.C. 5547(b) and 5 CFR 550.106-550.107.) See NOTE 4 regarding the method of computing the annual premium pay cap.Back to text following note 1

  2. See 5 CFR 531.603(b) and the OPM website for definitions of locality pay areas.

  3. Certain special rate employees may have a higher biweekly premium pay cap at GS-15, step 10, than that shown in the table above. Since both locality rates and special rates may not exceed level IV of the Executive Schedule ($153,200 annual rate, $5,872.80 biweekly rate), the highest possible biweekly cap is $5,872.80.Back to text following note 3

  4. The amount of the annual premium pay cap is computed by multiplying the applicable biweekly rate by the number of biweekly salary payments in the given year. (See 5 CFR 550.106(d).) The annual caps listed in the table above apply to employees with 26 biweekly salary payments in 2009. However, some employees may have 27 biweekly salary payments in 2009. For these employees, the applicable annual cap is equal to the applicable biweekly rate multiplied by 27. Back to text following note 4

  5. Under section 1101(a) of Public Law 110-417, the head of an agency may waive the premium pay cap provisions under 5 U.S.C. 5547 in calendar year 2009 for an employee who performs work while in an overseas location that (1) is in the area of responsibility of the Commander of the United States Central Command (CENTCOM) or (2) was formerly in the CENTCOM area of responsibility but has been moved to the area of responsibility of the Commander of the United States Africa Command (AFRICOM). The qualifying overseas work must meet one of two additional qualifying conditions: (1) performance of work in direct support of or directly related to a military operation (including a contingency operation as defined in 10 U.S.C. 101(a)(13)) or (2) performance of work in direct support of or directly related to an operation in response to an emergency declared by the President. Under the waiver authority, a covered employee may receive premium pay in calendar year 2009 to the extent that such premium pay would not cause the employee's aggregate amount of basic pay and premium pay payable in calendar year 2009 to exceed $227,300.(See CPM 2008-19.)

Back to Top

2008

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule (GS) employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate payable for (1) GS-15, step 10 (including any applicable locality payment or special rate supplement), or (2) the rate payable for level V of the Executive Schedule. (See NOTE 1.) The biweekly rate is computed by (1) dividing the applicable annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours. For example, in Atlanta, GA, the GS-15, step 10, annual locality rate of $145,464 divided by 2,087 hours yields an hourly rate of $69.70 and a biweekly rate of $5,576.00 ($69.70 x 80 hours). Similarly, the Executive Level V annual rate of $139,600 divided by 2,087 hours yields an hourly rate of $66.89 and a biweekly rate of $5,351.20 ($66.89 x 80 hours).

The table below provides the biweekly premium pay caps for 2008 by locality pay area. These caps become effective as of the first day of the first pay period beginning on or after January 1, 2008.

Locality Pay Area
(see NOTE 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the Executive Schedule (see NOTE 3)
Biweekly CapApplicable Annual Cap Assuming 26 Biweekly Salary Payments (see NOTES 1 and 4)
Atlanta-Sandy Springs-Gainesville, GA-AL 17.30% $5,576.00 $144,976.00
Boston-Worcester-Manchester, MA-NH-RI-ME 22.51% 5,711.20 148,491.20
Buffalo-Niagara-Cattaraugus, NY 15.37% 5,484.00 142,584.00
Chicago-Naperville-Michigan City, IL-IN-WI 23.16% 5,711.20 148,491.20
Cincinnati-Middletown-Wilmington, OH-KY-IN 17.77% 5,598.40 145,558.40
Cleveland-Akron-Elyria, OH 17.11% 5,567.20 144,747.20
Columbus-Marion-Chillicothe, OH 15.80% 5,504.80 143,124.80
Dallas-Fort Worth, TX 18.74% 5,644.80 146,764.80
Dayton-Springfield-Greenville, OH 15.26% 5,479.20 142,459.20
Denver-Aurora-Boulder, CO 21.03% 5,711.20 148,491.20
Detroit-Warren-Flint, MI 22.53% 5,711.20 148,491.20
Hartford-West Hartford-Willimantic, CT-MA 23.97% 5,711.20 148,491.20
Houston-Baytown-Huntsville, TX 27.39% 5,711.20 148,491.20
Huntsville-Decatur, AL 14.23% 5,430.40 141,190.40
Indianapolis-Anderson-Columbus, IN 13.51% 5,396.00 140,296.00
Los Angeles-Long Beach-Riverside, CA 25.26% 5,711.20 148,491.20
Miami-Fort Lauderdale-Pompano Beach, FL 19.11% 5,662.40 147,222.40
Milwaukee-Racine-Waukesha, WI 16.73% 5,548.80 144,268.80
Minneapolis-St. Paul-St. Cloud, MN-WI 19.43% 5,677.60 147,617.60
New York-Newark-Bridgeport, NY-NJ-CT-PA 26.36% 5,711.20 148,491.20
Philadelphia-Camden-Vineland, PA-NJ-DE-MD 20.14% 5,711.20 148,491.20
Phoenix-Mesa-Scottsdale, AZ 14.74% 5,454.40 141,814.40
Pittsburgh-New Castle, PA 14.93% 5,463.20 142,043.20
Portland-Vancouver-Beaverton, OR-WA 18.72% 5,643.20 146,723.20
Raleigh-Durham-Cary, NC 16.82% 5,552.80 144,372.80
Richmond, VA 15.40% 5,485.60 142,625.60
Sacramento-Arden-Arcade-Yuba City, CA-NV 20.25% 5,711.20 148,491.20
San Diego-Carlsbad-San Marcos, CA 22.00% 5,711.20 148,491.20
San Jose-San Francisco-Oakland, CA 32.53% 5,711.20 148,491.20
Seattle-Tacoma-Olympia, WA 19.75% 5,692.80 148,012.80
Washington-Baltimore-Northern Virginia, DC-MD-VA-WV-PA 20.89% 5,711.20 148,491.20
Rest of United States 13.18% 5,380.00 139,880.00
Outside Continental United States NA 5,351.20 139,131.20

Notes:

  1. In certain emergency or mission critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation. (See 5 U.S.C. 5547(b) and 5 CFR 550.106-550.107.) See NOTE 4 regarding the method of computing the annual premium pay cap.

  2. See 5 CFR 531.603(b) and the OPM website for definitions of locality pay areas.

  3. Certain special rate employees may have a higher biweekly premium pay cap at GS-15, step 10, than that shown in the table above. Since both locality rates and special rates may not exceed level IV of the Executive Schedule ($149,000 annual rate, $5,711.20 biweekly rate), the highest possible biweekly cap is $5,711.20.

  4. The amount of the annual premium pay cap is computed by multiplying the applicable biweekly rate by the number of biweekly salary payments in the given year. (See 5 CFR 550.106(d).) The annual caps listed in the table above apply to employees with 26 biweekly salary payments in 2008. However, based on the payroll schedule of their servicing payroll provider, some employees will have 27 biweekly salary payments in 2008. For these employees, the applicable annual cap is equal to the applicable biweekly rate multiplied by 27.

  5. Under section 1105 of Public Law 109-163, as amended, the head of an agency may waive the premium pay cap provisions under 5 U.S.C. 5547 in calendar year 2008 for an employee who performs work while in an overseas location that is in the area of responsibility of the commander of the United States Central Command, in direct support of or directly related to a military operation (including a contingency operation as defined in 10 U.S.C. 101(13)) or an operation in response to an emergency declared by the President.  Under the waiver authority, a covered employee may receive premium pay in calendar year 2008 to the extent that such premium pay would not cause the employee's aggregate amount of basic pay and premium pay payable in calendar year 2008 to exceed $212,100.  (See CPM 2008-04.)

Back to Top

2007

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule (GS) employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate payable for (1) GS-15, step 10 (including any applicable locality payment or special rate supplement), or (2) the rate payable for level V of the Executive Schedule. (See NOTE 1.) The biweekly rate is computed by (1) dividing the applicable annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours. For example, in Washington, DC, the GS-15, step 10, annual locality rate of $143,471 divided by 2,087 hours yields an hourly rate of $68.75 and a biweekly rate of $5,500 ($68.75 x 80 hours). Similarly, the Executive Level V annual rate of $136,200 divided by 2,087 hours yields an hourly rate of $65.26 and a biweekly rate of $5,220.80 ($65.26 x 80 hours).

The table below provides the biweekly premium pay caps for 2007 by locality pay area. These caps become effective as of the first day of the first pay period beginning on or after January 1, 2007.

Locality Pay Area
(see NOTE 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the
Executive Schedule (see NOTE 3)
Biweekly CapApplicable Annual Cap Assuming 26 Biweekly Salary Payments
(see NOTE 4)
Atlanta-Sandy Springs-Gainesville, GA-AL 15.89% $5,374.40 $139,734.40
Boston-Worcester-Manchester, MA-NH-ME-RI 20.97% 5,573.60 144,913.60
Buffalo-Niagara-Cattaraugus, NY 14.15% 5,293.60 137,633.60
Chicago-Naperville-Michigan City, IL-IN-WI 21.79% 5,573.60 144,913.60
Cincinnati-Middletown-Wilmington, OH-KY-IN 17.38% 5,443.20 141,523.20
Cleveland-Akron-Elyria, OH 15.96% 5,377.60 139,817.60
Columbus-Marion-Chillicothe, OH 15.00% 5,332.80 138,652.80
Dallas-Fort Worth, TX 17.34% 5,441.60 141,481.60
Dayton-Springfield-Greenville, OH 14.27% 5,299.20 137,779.20
Denver-Aurora-Boulder, CO 20.02% 5,565.60 144,705.60
Detroit-Warren-Flint, MI 21.53% 5,573.60 144,913.60
Hartford-West Hartford-Willimantic, CT-MA 22.44% 5,573.60 144,913.60
Houston-Baytown-Huntsville, TX 26.65% 5,573.60 144,913.60
Huntsville-Decatur, AL 13.60% 5,268.00 136,968.00
Indianapolis-Anderson-Columbus, IN 13.00% 5,240.80 136,260.80
Los Angeles-Long Beach-Riverside, CA 24.03% 5,573.60 144,913.60
Miami-Fort Lauderdale-Miami Beach, FL 18.30% 5,486.40 142,646.40
Milwaukee-Racine-Waukesha, WI 15.54% 5,358.40 139,318.40
Minneapolis-St. Paul-St. Cloud, MN-WI 18.17% 5,480.00 142,480.00
New York-Newark-Bridgeport, NY-NJ-CT-PA 24.57% 5,573.60 144,913.60
Philadelphia-Camden-Vineland, PA-NJ-DE-MD 18.85% 5,512.00 143,312.00
Phoenix-Mesa-Scottsdale, AZ 13.22% 5,250.40 136,510.40
Pittsburgh-New Castle, PA 14.16% 5,294.40 137,654.40
Portland-Vancouver-Beaverton, OR-WA 17.63% 5,455.20 141,835.20
Raleigh-Durham-Cary, NC 16.18% 5,388.00 140,088.00
Richmond, VA 14.41% 5,305.60 137,945.60
Sacramento--Arden-Arcade--Truckee, CA-NV 18.99% 5,518.40 143,478.40
San Diego-Carlsbad-San Marcos, CA 20.34% 5,573.60 144,913.60
San Jose-San Francisco-Oakland, CA 30.33% 5,573.60 144,913.60
Seattle-Tacoma-Olympia, WA 18.58% 5,499.20 142,979.20
Washington-Baltimore-Northern Virginia, DC-MD-PA-VA-WV 18.59% 5,500.00 143,000.00
Rest of United States 12.64% 5,224.00 135,824.00
Outside Continental United States NA 5,220.80 135,740.80

Notes:

  1. In certain emergency or mission critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation. (See 5 U.S.C. 5547(b) and 5 CFR 550.106-550.107.) See Note 4 regarding the method of computing the annual premium pay cap.

  2. See 5 CFR 531.603(b) and the OPM website for definitions of locality pay areas.

  3. Certain special rate employees may have a higher biweekly premium pay cap at GS-15, step 10, than that shown in this chart. Since both locality rates and special rates may not exceed level IV of the Executive Schedule ($145,400 annual rate, $5,573.60 biweekly rate), the highest possible biweekly cap is $5,573.60.

  4. The amount of the annual premium pay cap is computed by multiplying the applicable biweekly rate by the number of biweekly salary payments in the given year (26 in 2007 for most employees). (See 5 CFR 550.106(d).) Based on the payroll schedule of their agencies' servicing payroll provider, some employees will have 27 biweekly salary payments in 2007. For these employees, the applicable annual cap is equal to the applicable biweekly rate multiplied by 27.

  5. Under section 1105 of the Fiscal Year 2007 National Defense Authorization Act (Public Law 109-364), the head of an agency may waive the premium pay cap provisions under 5 U.S.C. 5547 in calendar year 2007 for an employee who performs work while in an overseas location that is in the area of responsibility of the commander of the United States Central Command, in direct support of or directly related to a military operation (including a contingency operation as defined in 10 U.S.C. 101(13)). Under the waiver authority, a covered employee may receive premium pay in calendar year 2007 to the extent that such premium pay would not cause the employee's aggregate amount of basic pay and premium pay payable in calendar year 2007 to exceed $212,100. (See CPM 2006-11.)

Back to Top

2006

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule (GS) employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate for (1) GS-15, step 10 (including any applicable locality payment or special rate supplement), or (2) level V of the Executive Schedule. (See NOTE 1.) The biweekly rate is computed by (1) dividing the applicable scheduled annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours. For example, in Washington, DC, the GS-15, step 10, scheduled annual locality rate of $139,774 divided by 2,087 hours yields an hourly rate of $66.97 and a biweekly rate of $5,357.60 ($66.97 x 80 hours). Similarly, the Executive Level V annual rate of $133,900 divided by 2,087 hours yields an hourly rate of $64.16 and a biweekly rate of $5,132.80 ($64.16 x 80 hours).

The table below provides the biweekly premium pay caps for 2006 by locality pay area. These caps become effective as of the first day of the first pay period beginning on or after January 1, 2006.

Locality Pay Area
(see NOTE 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the
Executive Schedule (see NOTE 3)
Biweekly CapApplicable Annual Rate
(see NOTE 4)
Atlanta 15.10% $5,248.80 $136,468.80
Boston 19.99% 5,471.20 142,251.20
Buffalo 13.52% 5,176.80 134,596.80
Chicago  21.15% 5,481.60 142,521.60
Cincinnati  17.08% 5,338.40 138,798.40
Cleveland 15.41% 5,262.40 136,822.40
Columbus, OH 14.85% 5,236.80 136,156.80
Dallas-Ft. Worth 16.39% 5,307.20 137,987.20
Dayton 13.83% 5,190.40 134,950.40
Denver 19.49% 5,448.80 141,668.80
Detroit 21.00% 5,481.60 142,521.60
Hartford 21.30% 5,481.60 142,521.60
Houston 26.37% 5,481.60 142,521.60
Huntsville 13.35% 5,168.80 134,388.80
Indianapolis  12.85% 5,145.60 133,785.60
Los Angeles  23.18% 5,481.60 142,521.60
Miami 17.84% 5,373.60 139,713.60
Milwaukee 14.74% 5,232.00 136,032.00
Minneapolis-St. Paul 17.31% 5,349.60 139,089.60
New York 22.97% 5,481.60 142,521.60
Philadelphia 18.04% 5,382.40 139,942.40
Phoenix 12.65% 5,136.80 133,556.80
Pittsburgh 13.81% 5,189.60 134,929.60
Portland, OR 17.16% 5,342.40 138,902.40
Raleigh 15.57% 5,269.60 137,009.60
Richmond 14.15% 5,204.80 135,324.80
Sacramento 17.91% 5,376.80 139,796.80
San Diego 19.19% 5,435.20 141,315.20
San Jose-San Francisco 28.68% 5,481.60 142,521.60
Seattle 17.93% 5,377.60 139,817.60
Washington, DC  17.50% 5,357.60 139,297.60
Rest of United States     12.52% 5,132.80 133,452.80
Outside Continental U.S. NA 5,132.80 133,452.80

Notes:

  1. In certain emergency or mission critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation. (See 5 U.S.C. 5547(b) and 5 CFR 550.106-550.107.) See Note 4 regarding method of computing the annual premium pay cap.

  2. See 5 CFR 531.603(b) and the OPM website for definitions of locality pay areas.

  3. Certain special rate employees may have a higher biweekly premium pay cap at GS-15, step 10, than that shown in this chart.

  4. The amount of the annual premium pay cap is computed by multiplying the applicable biweekly rate by the number of biweekly salary payments in the given year (26 in 2006). (See 5 CFR 550.106(d).)

Back to Top

2005

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule (GS) employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate for (1) GS-15, step 10 (including any applicable locality payment or special rate supplement), or (2) level V of the Executive Schedule. (See NOTE 1.) The biweekly rate is computed by (1) dividing the applicable scheduled annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours. For example, in Washington, DC, the GS-15, step 10, scheduled annual locality rate of $135,136 divided by 2,087 hours yields an hourly rate of $64.75 and a biweekly rate of $5,180.00 ($64.75 x 80 hours). Similarly, the Executive Level V annual rate of $131,400 divided by 2,087 hours yields an hourly rate of $62.96 and a biweekly rate of $5,036.80 ($62.96 x 80 hours).

The table below provides the biweekly premium pay caps for 2005 by locality pay area. These caps become effective as of the first day of the first pay period beginning on or after January 1, 2005.

Locality Pay Area
(see NOTE 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the
Executive Schedule (see NOTE 3)
Biweekly CapApplicable Annual Rate
Atlanta 13.87% $5,085.60 $132,678
Boston 18.49% 5,292.00 138,061
Chicago 19.70% 5,346.40 139,471
Cincinnati 16.04% 5,182.40 135,206
Cleveland 14.24% 5,102.40 133,109
Columbus, OH 13.98% 5,090.40 132,806
Dallas-Ft. Worth 15.07% 5,139.20 134,076
Dayton 12.86% 5,040.80 131,501
Denver 18.06% 5,272.80 137,560
Detroit 19.67% 5,344.80 139,436
Hartford 19.52% 5,338.40 139,261
Houston 24.77% 5,378.40 140,300
Huntsville 12.42% 5,036.80 131,400
Indianapolis 12.01% 5,036.80 131,400
Kansas City 12.36% 5,036.80 131,400
Los Angeles 21.65% 5,378.40 140,300
Miami 16.77% 5,215.20 136,057
Milwaukee 13.62% 5,074.40 132,387
Minneapolis-St. Paul 15.99% 5,180.80 135,148
New York 20.99% 5,378.40 140,300
Orlando 11.75% 5,036.80 131,400
Philadelphia 16.67% 5,211.20 135,940
Pittsburgh 12.86% 5,040.80 131,501
Portland, OR 15.93% 5,177.60 135,078
Richmond 13.15% 5,053.60 131,839
Sacramento 16.51% 5,204.00 135,754
St. Louis 12.09% 5,036.80 131,400
San Diego 17.68% 5,256.00 137,117
San Jose-San Francisco 26.39% 5,378.40 140,300
Seattle 16.53% 5,204.80 135,777
Washington, DC 15.98% 5,180.00 135,136
Rest of United States 11.72% 5,036.80 131,400
Outside Continental U.S. NA 5,036.80 131,400

Notes:

  1. In certain emergency or mission-critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation.  (See 5 U.S.C. 5547(b) and 5 CFR 550.106-550.107.) Please note that the applicable annual rate in this table is not the annual premium pay cap.  The amount of the annual premium pay cap is computed by multiplying the applicable biweekly rate by the number of biweekly salary payments in the given year (26 or 27).  (See 5 CFR 550.106(d).)

  2. See 5 CFR 531.603(b) and the OPM website for definitions of locality pay areas.

  3. Effective May 1, 2005, the cap on special salary rates under 5 U.S.C. 5305 increased to the rate for level IV of the Executive Schedule.  (See section 301 of Public Law 108-411.)  The biweekly premium pay cap for certain special rate employees may have increased at that time.  Thus, certain special salary rate employees may have a higher biweekly premium pay pay cap at GS-15, step 10, than that shown in this chart.

Back to Top

2004

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule (GS) employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate for (1) GS-15, step 10 (including any applicable special salary rate or locality rate), or (2) level V of the Executive Schedule. (See Note 1.) The biweekly rate is computed by (1) dividing the applicable scheduled annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours. For example, in Los Angeles, the GS-15, step 10, scheduled annual locality rate of $136,466 divided by 2,087 hours yields an hourly rate of $65.39 and a biweekly rate of $5,231.20 ($65.39 x 80 hours). Similarly, the Executive Level V annual rate of $128,200 divided by 2,087 hours yields an hourly rate of $61.43 and a biweekly rate of $4,914.40 ($61.43 x 80 hours).

The table below provides the biweekly premium pay caps for 2004 by locality pay area. These caps are effective as of the first day of the first applicable pay period beginning on or after January 1, 2004.

Locality Pay Area
(see Note 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the Executive Schedule (see Note 3)
Biweekly CapApplicable Annual Rate
Atlanta 12.61% $4,914.40 $128,200
Boston 16.99% 5,097.60 132,987
Chicago 18.26% 5,152.80 134,431
Cincinnati 15.07% 5,014.40 130,805
Cleveland 13.14% 4,929.60 128,611
Columbus, OH 13.14% 4,929.60 128,611
Dallas-Ft. Worth 13.85% 4,960.80 129,418
Dayton 12.03% 4,914.40 128,200
Denver 16.66% 5,083.20 132,612
Detroit 18.32% 5,156.00 134,499
Hartford 17.87% 5,136.00 133,988
Houston 23.14% 5,248.00 136,900
Huntsville 11.49% 4,914.40 128,200
Indianapolis 11.11% 4,914.40 128,200
Kansas City 11.54% 4,914.40 128,200
Los Angeles 20.05% 5,231.20 136,466
Miami 15.54% 5,034.40 131,339
Milwaukee 12.64% 4,914.40 128,200
Minneapolis-St. Paul 14.75% 5,000.00 130,441
New York 19.29% 5,197.60 135,602
Orlando 10.93% 4,914.40 128,200
Philadelphia 15.32% 5,024.80 131,089
Pittsburgh 11.92% 4,914.40 128,200
Portland, OR 14.69% 4,997.60 130,373
Richmond 12.13% 4,914.40 128,200
Sacramento 15.18% 5,019.20 130,930
St. Louis 11.27% 4,914.40 128,200
San Diego 16.16% 5,061.60 132,044
San Francisco 24.21% 5,248.00 136,900
Seattle 15.12% 5,016.00 130,862
Washington, DC 14.63% 4,995.20 130,305
Rest of United States 10.90% 4,914.40 128,200
Outside Continental U.S. NA 4,914.40 128,200

Notes:

  1. In certain emergency or mission critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation.  (See 5 U.S.C. 5547(b) and 5 CFR 550.106 - 550.107.)

  2. See 5 CFR 531.603(b) and the OPM website for definitions of locality pay areas.

  3. Under current law, special salary rates under both title 5 (established by OPM under 5 U.S.C. 5305) and title 38 (established by the Department of Veterans Affairs under 38 U.S.C. 7455) are capped at the rate for level V of the Executive Schedule.  Thus, no GS 15, step 10, special salary rate will produce a cap higher than that shown in the above chart.

Back to Top

2003

(Revised to Reflect the Consolidated Appropriations Resolution, Public Law 108-7, February 20, 2003 )

Under 5 U.S.C. 5547(a) and 5 CFR 550.105, General Schedule employees and other covered employees may receive certain types of premium pay for a biweekly pay period only to the extent that the sum of basic pay and premium pay for the pay period does not exceed the greater of the biweekly rate for (1) GS-15, step 10 (including any applicable locality rate or special salary rate), or (2) level V of the Executive Schedule. (See NOTES 1 and 2.) The biweekly rate is computed by (1) dividing the applicable scheduled annual rate by 2,087 hours, (2) rounding the resulting hourly rate to the nearest cent, and (3) multiplying the hourly rate by 80 hours. For example, in Los Angeles, the GS-15, step 10, scheduled annual locality rate of $130,284 divided by 2,087 hours yields an hourly rate of $62.43 and a biweekly rate of $4,994.40 ($62.43 x 80 hours). Similarly, the Executive Level V annual rate of $125,400 divided by 2,087 hours yields an hourly rate of $60.09 and a biweekly rate of $4,807.20 ($60.09 x 80 hours).

The table below provides the biweekly cap amounts for 2003 by locality pay area.  These caps are effective as of the first pay period beginning on or after January 1, 2003.

Locality Pay Area
(see Note 2)
Locality Pay PercentageGreater of the GS-15, Step 10, Locality Rate or Level V of the Executive Schedule (see Note 3)
Biweekly CapApplicable Annual Rate
Atlanta 10.85% $4,807.20 $125,400
Boston 15.00% 4,879.20 127,284
Boston (LEO 1) 16.00% 4,921.60 128,391
Boston (LEO 2) 15.00% 4,879.20 127,284
Chicago 16.15% 4,928.00 128,557
Cincinnati 13.44% 4,812.80 125,558
Cleveland 11.50% 4,807.20 125,400
Columbus, OH 11.78% 4,807.20 125,400
Dallas-Ft. Worth 12.10% 4,807.20 125,400
Dayton 10.67% 4,807.20 125,400
Denver 14.77% 4,869.60 127,030
Detroit 16.27% 4,932.80 128,690
Hartford 15.56% 4,903.20 127,904
Houston 20.53% 5,113.60 133,405
Huntsville 10.06% 4,807.20 125,400
Indianapolis 9.83% 4,807.20 125,400
Kansas City 10.26% 4,807.20 125,400
Los Angeles 17.71% 4,994.40 130,284
Miami 13.81% 4,828.80 125,967
Milwaukee 11.20% 4,807.20 125,400
Minneapolis-St. Paul 12.84% 4,807.20 125,400
New York (see Note 5) 16.83% 4,956.80 129,310
Orlando 9.65% 4,807.20 125,400
Philadelphia 13.43% 4,812.80 125,547
Pittsburgh 10.52% 4,807.20 125,400
Portland 12.97% 4,807.20 125,400
Richmond 10.75% 4,807.20 125,400
Sacramento 13.29% 4,807.20 125,400
St. Louis 9.99% 4,807.20 125,400
San Diego 14.07% 4,840.00 126,255
San Francisco 21.08% 5,136.80 134,000
Seattle 13.11% 4,807.20 125,400
Washington, DC 12.74% 4,807.20 125,400
Rest of U.S. 9.62% 4,807.20 125,400
Outside Continental U.S. NA 4,807.20 125,400

Notes:

  1. In certain emergency or mission-critical situations, an agency may apply an annual premium pay cap instead of a biweekly premium pay cap, subject to the conditions provided in law and regulation.  (See 5 U.S.C. 5547(b) and 5 CFR 550.106-550.107.)

  2. Section 1114 of Public Law 107-107 (December 28, 2001) amended 5 U.S.C. 5547 effective on the first day of the first pay period beginning on or after April 27, 2002.  On April 19, 2002, OPM issued interim regulations implementing this new law and revising 5 CFR 550.105-550.107.  The interim regulations may be viewed as a PDF .

  3. See 5 CFR 531.603(b) for definitions of locality pay areas.

  4. Under current law, special salary rates under both title 5 (established by OPM under 5 U.S.C. 5305) and title 38 (established by the Veterans Administration under 38 U.S.C. 7455) are capped at the rate for level V of the Executive Schedule.  Thus, no GS-15, step 10, special salary rate will produce a cap higher than that shown in the above chart.

  5. The locality pay percentage for New York in 2003 (16.83 percent) is higher than the special LEO geographic pay adjustment of 16 percent. Therefore, LEOs in the New York locality pay area are entitled to receive the higher locality pay percentage (16.83 percent). The LEO special geographical adjustment in New York was terminated retroactively as of the first applicable pay period beginning on or after January 1, 2003.

Back to Top

Fact Sheets

The fact sheets below provide information on various topics concerning pay administration for Federal employees covered under title 5 of the United States Code and title 5 of the Code of Federal Regulations.


Premium Pay Fact Sheets

What's New in Pay & Leave List Server

Welcome to the What's New in Pay & Leave list server. Once you subscribe you will be provided, via email, Compensation Policy Memoranda and other information on pay and leave policies issued by OPM. Listed below are the instructions to subscribe or unsubscribe to this list server.

Subscribe

To subscribe to the list send an email to: listserv@listserv.opm.gov.

In the body of the message enter:
SUBSCRIBE PAYLEAVE firstname lastname
where "firstname" and "lastname" are replaced by the subscriber's real first and last name.

Unsubscribe

To unsubscribe to the list send an email to: listserv@listserv.opm.gov.

In the body of the message enter:
SIGNOFF PAYLEAVE

Information About the List Server

This is a distribution tool only. Email messages to this list server are not accepted. Research capabilities and archived materials are not available via this list server. If you wish to obtain archived pay and leave policy information, we suggest that you visit the Pay and Leave website. You may also contact us via telephone at 202-606-2858.

FAQs

Computation of Payment of Reservist Differential

  • For the purpose of paying a recruitment incentive, newly appointed refers to —
    • The first appointment, regardless of tenure, as an employee of the Federal Government;
    • An appointment of a former employee of the Federal Government following a break in service of at least 90 days; or
    • An appointment of an individual in the Federal Government when his is her Federal service during the 90-day period immediately preceding the appointment was limited to one or more of the following:
      • A time-limited appointment in the competitive or excepted service;
      • A non-permanent appointment (excluding a Schedule C appointment under 5 CFR part 213) in the competitive or excepted service;
      • Employment with the government of the District of Columbia (DC) when the candidate was first appointed by the DC government on or after October 1, 1987;
      • An appointment as an expert or consultant under 5 U.S.C. 3109 and 5 CFR part 304;
      • Employment under a provisional appointment designated under 5 CFR 316.403; or
      • Employment under the Student Career Experience Program under 5 CFR 213.3202(b).
    (See the definition of newly appointed in 5 CFR 575.102.)
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • Yes.  Agencies must report to the IRS the amount of student loan repayment benefits they have provided to an employee.  (See Questions and Answers on Tax Liability.)
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • A position is considered to be in a different geographic area if the worksite of the new position is 50 or more miles from the worksite of the position held immediately before the move. If the worksite of the new position is less than 50 miles from the worksite of the position held immediately before the move, but the employee must relocate (i.e., establish a new residence) to accept the position, an authorized agency official may waive the 50-mile requirement and pay the employee a relocation incentive. (See 5 CFR 575.205(b).)
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • No. An agency may not use this authority to recruit an individual from outside the agency who is currently employed in the Federal service.  (See 5 CFR 537.105(c).)
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • By March 31 in each of the years 2006 through 2010, each agency must submit a written report to OPM on the use of the recruitment and relocation incentive authorities within the agency during the previous calendar year for use in compiling an OPM report to Congress, as required by section 101(c) of Public Law 108-411. Each agency report must include—
    • A description of how the authority to pay recruitment and relocation incentives was used by the agency during the previous calendar year;
    • The number and dollar amount of recruitment and relocation incentives paid during the previous calendar year by occupational series and grade, pay level, or other pay classification; and
    • Other information, records, reports, and data as OPM may require.
    (See 5 CFR 575.113(b) and 575.213(b).)
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • For each determination to pay a retention incentive, the agency must document in writing—
    • The basis for determining the agency has a special need for the employee’s (or group of employees‘) services that makes it essential to retain the employee(s), based on the agency‘s mission needs and the employee’s (or group of employees‘) competencies, during a period of time before the closure or relocation of the employee’s (or group of employees‘) office, facility, activity, or organization;
    • The basis for determining, in the absence of a retention incentive, the employee (or a significant number of employees in the group) would be likely to leave for a different position in the Federal service; and
    • The basis for determining the amount and timing of the incentive payments and the length of the service period.
    (See 5 CFR 575.315(d)(1).)
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • Yes. Under 5 CFR 575.105(b), agencies may target groups of positions that have been difficult to fill in the past or that may be difficult to fill in the future and may make the required written determination to offer a recruitment incentive on a group basis (excluding positions covered by 5 CFR 575.103(a)(2), (a)(3), or (a)(5) or in similar categories approved by OPM). All requirements in the regulations and the agency's recruitment incentive plan must be met in order to pay a recruitment incentive to an individual employee in the covered group. For example, agencies may authorize a recruitment incentive of up to 25 percent of the annual rate of basic pay of the employee at the beginning of the service period multiplied by the number of years (including fractions of a year) in the service period (not to exceed 4 years), and the employee must be newly appointed in the Federal Government and must sign a service agreement of at least 6 months with the appointing agency.
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • A service requirement must be set for a period of time not less than 3 years.  (See 5 U.S.C. 5379(c)(1)(A).)  Agencies may require service agreements of more than 3 years.
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • Any employee who does not satisfy the terms of the service agreement is required to reimburse the Government for all loan payments received.  However, agencies may waive recovery if they determine it to be against equity and good conscience or contrary to the public interest.  (See 5 U.S.C. 5379(c)(3) and 5 CFR 537.109(e).)
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • FLSA-covered (nonexempt) employees are entitled to receive overtime pay for time spent in entry-level training on the sixth day of a 6-day training course under the conditions specified below. Time spent in apprenticeship or other entry-level training outside regular working hours is not considered hours of work, provided no productive work is performed during such periods (see 5 CFR 551.423(a)(3)). However, under 5 CFR 551.423(a)(1), time spent in training during regular working hours is considered hours of work. The regulations at 5 CFR 551.421 clarify that, for purposes of part 551, "regular working hours" means the days and hours of an employee's regularly scheduled administrative workweek established under 5 CFR part 610. The phrase "regularly scheduled administrative workweek" is defined in 5 CFR 610.102 as the period within an administrative workweek within which an employee is regularly scheduled to work. Also, see the definition of "regularly scheduled work" in 5 CFR 610.102, which hinges on whether the work was scheduled in advance of the administrative workweek. When FLSA-covered employees are scheduled in advance of the administrative workweek to attend a 6-day entry-level training class for a specified number of hours (e.g., 8 hours), those regularly scheduled training hours on the sixth day are "regular working hours" and are considered hours of work for overtime pay purposes. For example, an FLSA-covered employee who is required to attend a 6-day training session at the Federal Law Enforcement Training Center (FLETC) is entitled to overtime pay for the sixth day of training, since the employee was scheduled in advance of the administrative workweek to attend the FLETC training course. Because the regularly scheduled training hours on the sixth day are considered to be "regular working hours" (and the training will not occur outside regular working hours), it is irrelevant that the FLETC training is entry-level training and that no productive work is being performed. Agencies are responsible for determining whether an employee is entitled to receive overtime pay for regularly scheduled training hours under the conditions specified above. Agencies may need to recompute an employee's overtime pay entitlement and provide back pay under 5 CFR part 550, subpart H, for overtime hours that occurred during regularly scheduled training.
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • No. Under 5 CFR 575.102, newly appointed is defined as the first appointment as an employee of the Federal Government. All three branches are part of the Federal Government for this purpose.
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • Yes. Because a student loan payment owed by the employee is made by the Federal Government on behalf of the employee, the payment is includible in the employee’s gross income and wages for Federal employment tax purposes even though it is made directly to the loan holder.  Consequently, the agency must withhold and pay employment taxes from either the employee’s regular wages, the loan payment, or a separate payment made by the employee.  The applicable employment taxes include Federal income taxes withheld from wages (and, where appropriate, State and local income taxes) and the employee’s share of Social Security and Medicare taxes.  Tax withholdings must be deducted or applied at the time any loan payment is made.  (See 5 CFR 537.106(a)(6).)  The agency may choose among several different methods for withholding taxes.  (See Questions and Answers on Tax Liability.)  Please note the implications of deducting taxes directly from a gross loan payment.  For example, if the agency has approved a student loan repayment benefit of $10,000 and the employee’s tax deductions are $3,000, then the agency will make a loan payment of $7,000.  The full $10,000 counts toward the maximum limitations described in question #4.
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • Under 5 CFR 575.309(e)(2), waiver requests must include—
    • A description of the employee’s work requirements and responsibilities or, if requesting a group retention incentive, a description of the group or category of employees and the number of employees to be covered by the proposed retention incentive;
    • A description of the critical agency need the proposed retention incentive would address;
    • The written documentation required by 5 CFR 575.308;
    • The proposed retention incentive percentage rate and a justification for that percentage;
    • The timing and method of making the retention incentive payments;
    • The service period required; and
    • Any other information pertinent to the case at hand.
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • No. The gaining agency is not obligated to make any loan payments previously agreed to by another agency.
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • By March 31 in each of the years 2006 through 2010, each agency must submit a written report to OPM on the use of the retention incentive authority within the agency during the previous calendar year for use in compiling an OPM report to Congress, as required by section 101(c) of Public Law 108-411. Each agency report must include—
    • A description of how the authority to pay retention incentives was used by the agency during the previous calendar year;
    • The number and dollar amount of retention incentives paid during the previous calendar year by occupational series and grade, pay level, or other pay classification; and
    • Other information, records, reports, and data as OPM may require.
    (See 5 CFR 575.313(b).)
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • Before paying a retention incentive, an agency must establish a plan for using the authority. (See 5 CFR 575.307 and 575.315(c).) The plan must include the designation of officials with authority to review and approve payment of retention incentives, the categories of employees who are prohibited from receiving retention incentives, required documentation for determining that an employee would be likely to leave the Federal service or would be likely to leave for a different position in the Federal service, any requirements for determining the amount of a retention incentive, the payment methods that may be authorized, requirements governing service agreements (including the criteria for determining the length of a service period, the conditions for terminating a service agreement, and the obligations of the agency if it terminates a service agreement), the conditions for terminating retention incentive payments when no service agreement is required, and documentation and recordkeeping requirements.
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • An agency may unilaterally terminate a recruitment or relocation incentive service agreement based solely on the management needs of the agency.  For example, an agency may terminate a service agreement when the employee’s position is affected by a reduction in force, when there are insufficient funds to continue the planned incentive payments, or when the agency assigns the employee to a different position (if the different position is not within the terms of the service agreement). In such cases, the employee is entitled to all incentive payments attributable to completed service and to retain any portion of an incentive payment already received that is attributable to uncompleted service. An agency must notify an employee in writing when it terminates a recruitment or relocation incentive service agreement. (See 5 CFR 575.111 and 575.211.)
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • No.
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.
  • No.  Student loan payments are not subject to the aggregate limitation under 5 U.S.C. 5307.  The aggregate limitation on pay applies to direct payments made to the employee, whereas student loan payments are paid to the loan holder on behalf of the employee.
    How well did this answer your question? Submit
    Submitting rating...
    Thank you for your feedback!
    An error occurred while trying to submit your feedback.
    Please try again later.


Total Count: 172, Number of Pages: 9, Page: 4
Control Panel