2025 Federal Pay Raise Update and Inflation Projections

2025 Federal Pay Raise Update and Inflation Projections

Federal employees can anticipate a 2.0% for the 2025 Federal Pay Raise – will this keep pace with inflation?

As we covered in a previous article, the White House suggested 2% for next year’s federal salary increase in the Biden Administration’s proposed budget for the upcoming fiscal year beginning October 1st. The pay raise would go into effect on January 1st unless there is more shutdown drama in which case it wouldn’t go into effect until later but could be backdated to the first day of the year like in 2019. Typically, the president signs an executive order around mid to late December that finalizes the figure.

The 2% suggestion appears to be the most likely outcome at this point. Although congress could pass a higher pay increase for the federal workforce, the current group of lawmakers on Capitol Hill have not managed to get much passed legislatively. Follow link to read more. https://stwserve.com/2025-federal-pay-raise-update-3-inflation-comparison/

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