Cabinet approved the substitute formulae in place of option-1 of recommendation of 7th CPC. It is to understand as follow.

Pay Scale on 31-10-1998 or 30-9-2000 as the case may be

Last Pay drawn with number of increment

Notional fixation on 1-1-2006 accordingly

Divided by 2 and get the Notional Pension on 1-1-2006

Multiply by 2.57 to the arrived Notional Pension on 1-1-2006

It will be your new Pension on 1-1-2016

Example No.1

Pay Scale on 31-10-1998 is                                               4500-125-7000

Last Pay drawn (three increment)                                 4875

Notional Fixation on 1-1-2006                                        11870

Notional Pension on 1-1-2006 ( divide by 2)                 5935

Pension on 1-1-2016 ( 5935 X 2.57 )                                15253

Example No.2

Pay Scale on 30-9-2000                                                      7500-250-12000

Last Pay drawn ( nine increment)                                  9750

Notional Fixation on 1-1-2006                                         22940

Notional Pension on 1-1-2006(divide by 2)                  11470

Pension on 1-1-2016 ( 11470 X 2.57)                              29478