Pay Looms Large in Budget Debate

By Kellie Lunney

January 24, 2013

There’s been a lot of talk about pay freezes in the last week. The debt ceiling suspension bill the House approved on Wednesday withholds lawmakers’ pay if they don’t pass a fiscal 2014 budget resolution by April 15. Legislation that would extend the pay freeze for federal employees was introduced, briefly put on the House floor schedule, and then postponed. And then there’s the looming trio of threats that could affect the pay of federal employees: a debt default, sequestration, and the possibility of a government shutdown if Congress allows the current continuing resolution to expire.

Let’s recap how federal pay could fare under each possible scenario facing government employees this winter and spring:

More Mass Transit

The mass transit subsidy benefit for commuters in 2013 is $245 per month. Previous news reports, including in Government Executive, reported the 2013 benefit was $240. It is $240 for 2012; Congress made the increase retroactive to Jan. 1, 2012 (in 2011 and 2012 the subsidy was $125 per month). Due to inflation, however, the 2013 benefit is $245 per month. Read the Internal Revenue Service guidance to employers on applying the retroactive portion of the benefit to employees.


By Kellie Lunney

January 24, 2013

http://www.govexec.com/pay-benefits/pay-benefits-watch/2013/01/pay-looms-large-budget-debate/60836/