The year 2021 is about to end. This year has been good for central employees. He got bumper gifts in the second half. Dearness Allowance (DA) increased twice. At the same time, after increasing DA, there was a big jump in salary due to allowances like HRA. Central government employees are currently getting 31 percent dearness allowance. HRA-House Rent Allowance was also increased this year after increasing Dearness Allowance (DA Hike).
Salary increased by Rs 20,160: HRA was also revised as soon as dearness allowance crossed 25 per cent. The government had increased the Dearness Allowance in July, after that there was a revision in the House Rent Allowance. Due to this, there was an increase in the salary of the employees up to Rs 20,160.
Bumper hike in HRA: According to DoPT, revision in House Rent Allowance (HRA) for central employees (Kendriye Karmachariyon) has been done on the basis of dearness allowance. All employees are getting the benefit of increased HRA. According to the category of the city, the HRA has become 27 percent, 18 percent and 9 percent. This increase is also applicable with DA from 1st July 2021.
How much is the House Rent Allowance?: The category of House Rent Allowance (HRA) is according to the X, Y and Z class cities. Central employees who fall in the X category are now getting more than Rs 5400 per month HRA. After this, Rs 3600 per month for Y class and Rs 1800 per month for Z class.
How is HRA Calculated?: According to the 7th Pay Matrix, the maximum basic salary of central employees is Rs 56,000 per month, then how much will be his HRA at the rate of 27 percent, it can be understood by simple calculation.
HRA = Rs 56,000 x 27/100 = Rs 15,120 per month
First HRA = Rs 56,000 x 24/100 = Rs 13,440 per month
Employees in the maximum salary bracket have increased by Rs 1,630 per month. In such a situation, his salary has increased by Rs 20,160 on an annual basis.
How much HRA was available before July: After the implementation of the 7th Pay Commission, the HRA was reduced to 24, 18 and 9 per cent from the earlier rates of 30, 20 and 10 per cent. Also, 3 categories were created in terms of cities X, Y and Z. During that time DA was reduced to zero. At that time itself, it was mentioned in the notification of DoPT that when the DA crosses the 25 percent mark, then the HRA will also be revised itself.
What is the category X, Y and Z in HRA?: Cities with a population of more than 50 lakhs come in the X category. Central employees posted in these cities will get 27% HRA. At the same time, it will be 18 percent in Y category cities and 9 percent in Z category.
(Sources: zeebiz.com)
Ms Kalinga
Angoor khatte hain… 😉
Why don’t you guys publish the truth? DA increase is not an add on or extra which central government is giving their employees. It is a regular process which central govt has to follow. Why don’t you guys mention basic salaried employee hike? Why only maximum salaried employee hike? Basic salary will be less in number and it will look bad on govt part. . please show some true figures of basic central government employee’s salary to maximum salary drawn employee. That gives holistic article.