You know those government job postings your friend keeps sending you? The ones with reliable hours, good benefits, and then... the salary section that hits like cold soup. Out of every cushy-sounding perk in a federal job, the pay for most General Schedule (GS) positions makes people scratch their heads and ask: Why is the GS payscale so low even as prices go through the roof?
The Nuts and Bolts of the GS Pay System
First, let’s get our facts straight. The General Schedule (GS) is basically the backbone for most white-collar federal jobs in the U.S., covering everything from admin assistants to analysts. It’s made up of 15 grades (GS-1 to GS-15), and each grade has 10 steps within it—think of steps as tiny pay bumps tied to how long you’ve stuck around. Here’s something wild: about 70% of federal civilian employees are paid under the GS system. That’s a huge chunk of people depending on this scale for their livelihoods.
Back in 1949, the U.S. government rolled out the GS scale, aiming to make things fair. But fair is complicated. The original pay plan was built for a different cost of living, and let’s be honest, it hasn’t kept up with the weirdness of the modern economy. Living in, say, San Francisco on a GS-9 salary? That’s rough. You’re getting paid the same base as someone in Topeka, Kansas, minus local adjustments.
The GS system tries to patch this with something called locality pay. Instead of just one flat amount nationwide, you get a percentage bump for expensive areas. Check out this table that’s straight from OPM’s last release:
| GS Grade | Base Salary (2025) | San Francisco Locality Adj. | Atlanta Locality Adj. |
|---|---|---|---|
| GS-7 Step 1 | $41,502 | $53,628 | $46,555 |
| GS-11 Step 1 | $59,319 | $76,643 | $66,483 |
| GS-13 Step 1 | $84,546 | $109,240 | $94,907 |
The catch? Locality pay never really makes up the difference when rent’s $4,000 a month. In fact, some federal workers in top cities live a kind of white-collar poverty—they do important work, but can’t afford their own zip code. Ever heard of the “commuter club”? It’s a running joke among DC workers who only dream of living near their jobs.
The real kicker? GS salaries get annual pay raises—sure. But every year, Congress and the President squabble over them, and sometimes those increases don’t even beat inflation. In the last 10 years, the average GS pay raise lagged behind national wage growth.
One more quirk: the processes to move up a step (and get a slight raise) are pretty slow. Sometimes you wait years, checking for that magic “step increase” email that takes you from, say, Step 3 to Step 4—in reality, it’s barely enough for a celebratory dinner, especially if you’re paying off student loans.
Why the GS Payscale Stays Low – By Design and by Drama
Alright, but why does it actually stay so low? Here’s the short answer: politics and cost control. But let’s dig deeper.
First, the federal government answers to taxpayers. Every raise or adjustment faces a chorus of “that costs too much!” Even when studies by the Federal Salary Council found that federal workers under GS make on average 23% less than their private sector counterparts (after locality pay!), Congress rarely fixes the gap. They fear backlash for government “bloat.”
You also have to look at how GS jobs compete. These salaries aren’t trying to lure superstar coders from Silicon Valley or top-notch lawyers from fancy firms. They’re meant for the big, stable, quiet middle: reliable work for reliable pay. It’s the public service pitch—moderate pay, but good benefits and job security. In fact, federal turnover rates among GS workers are some of the lowest in the country, often below 10% annually. Compare that to tech or retail—it’s clear that people stick around, paycheck or not.
This system, built for stability, also means raises get political fast. That’s because every federal pay raise eventually has to wind through Congress as part of the government’s budget. Sometimes raises are frozen or barely register, like in 2013-2014 when sequesters left federal salaries unchanged for two years.
But what really pulls down GS pay? Let’s list the big players:
- Bureaucratic inertia: Slow to react, especially to fast-moving wage changes in hot markets. It took years to get cybersecurity roles decent pay boosts—even after major hacking scandals.
- Pay grade compression: Sometimes, the difference between a higher and lower grade vanishes once you factor locality pay—meaning promotions become less attractive.
- Benefits masking the gap: On paper, federal jobs offer fat pensions and good insurance, so leaders defend the lower pay with “your benefit package is worth so much.” That only helps if you plan on staying 20-30 years.
- Civilian-military pay lag: Especially at entry and mid-levels, military pay has outpaced GS in some years, making federal civilian service a harder sell for ambitious types.
I remember chatting with a buddy who switched from private consulting to a GS position in D.C. He traded a higher base for the 9-to-5 predictability and softer workload. But four years in, even he was surprised by how slowly things moved—both in the office and on his paycheck. The "steady isn't always better" look is getting more common among new hires these days.
What’s At Stake and How to Make the Most of GS Careers
If you’re considering a GS position, or already feeling stuck, you might be wondering: Is it worth it? Here’s where things get interesting. While pay’s the headline, federal work can offer stealthy advantages.
First off, federal health insurance and the Thrift Savings Plan (TSP) are actually solid. After five years, you’re vested in a pension. For families, that’s peace of mind you can’t put a price on. My friend Gemma, who’s still on my family’s health plan, points out that dental and vision coverage is pretty sweet compared to most corporate gigs, even if base pay isn’t huge.
Next, GS jobs are usually unionized—meaning there’s backup when things get weird at work. Unions have bargained for domestic abuse leave, paid parental leave, and telework rights. These don’t show up in salary tables, but they matter a lot day-to-day.
But let’s be real: if you just want big money, GS isn’t the place. Here are a few ways pros stretch their paycheck:
- Jump between agencies strategically to move up grades faster. Sometimes the only way to get a meaningful raise is to hop between departments every few years.
- Specialize in high-demand fields (IT, cybersecurity, engineering). These areas sometimes get exceptions to pay limits—meaning fatter offers and faster step increases.
- Leverage tuition repayment and loan forgiveness. Federal employees in some roles get help with student debt, but you need to read the fine print—eligibility changes year to year.
- Work in tough locations (think remote Alaska or border posts). Extra locality and hardship pay can be surprisingly generous if you’re up for the adventure.
- Clock overtime where it’s available—though keep in mind that overtime pay is capped for some grades and roles.
And there are some hidden gems. After three years, you’re eligible for a transfer anywhere in the nation, meaning you can level up your lifestyle by relocating from a high-rent city to somewhere with a lower cost of living.
GS salaries might seem low at first glance, but the “total compensation” story is complicated. For folks planning a career marathon, not a private-industry sprint, the package adds up—especially if steady work, decent healthcare, and a pension sound good to you. But the pay raises are always sluggish, and if you’re supporting a family or staying in a big city, you’ll need to be creative to get ahead.
If you’re checking out those job boards and the posted pay leaves you underwhelmed, know you’re not alone. The GS pay system is overdue for a reboot, and more people are starting to speak up about it. For now, stay curious, do your homework before signing on, and always remember that what looks good on paper might need a closer look in real life.
