If media reports are to be believed, the House Rent Allowance may also increase by 3 percent if there is 50 percent dearness allowance, after which it will reach 30 percent.
Central employees HRA Hike: There is good news for central employees. Before the upcoming Lok Sabha elections, the employees can get another big gift. According to media reports, after increasing the DA in July, the central government may also revise the House Rent Allowance of the employees covered under the 7th Pay Commission, although this increase is likely to happen next year. As soon as the DA crosses 50 per cent under the Chunky rule, HRA will also be revised. There is a possibility that the employees may get the benefit of HRA hike in the new year 2024. However, no official statement or confirmation has been made in this regard yet.
HRA expected to increase after DA
According to media reports, the dearness allowance of central employees is estimated to increase by 4 percent once again in July from the data of AICPI index that has come so far. At present the dearness allowance to the employees is 42% and after increasing by 4% it will be 46%. After this, the next DA will increase in January 2024, since the dearness allowance of the employees is increased twice a year, in such a situation, if the DA is increased by 4% in January also, it will become 50%, after which the HRA is also expected to increase. This is estimated from the memorandum issued in 2015, which states that the HRA of the employees is linked to the Dearness Allowance and as soon as DA crosses 50 per cent, HRA will also be revised.
Signs of HRA increase of 3 per cent
If media reports are to be believed, the House Rent Allowance may also increase by 3 percent if there is 50 percent dearness allowance, after which it will reach 30 percent. Earlier in July 2021, HRA was increased with 25% cross of dearness allowance and at that time DA was also increased to 28%. At present, house rent allowance is being given at the rate of 27 per cent, 18 per cent and 9 per cent according to the category of the city. Since HRA is determined by the category of that city. Where they work, there are indications of increasing the house allowance by 3%.
How much will the salary increase?
Please tell that there are 3 categories in HRA – X-YZ. Cities with a population of more than 50 lakhs fall in the ‘X’ category. Those with a population of more than 5 lakhs fall in the ‘Y’ category. Cities with a population of less than 5 lakhs fall in the ‘Z’ category. The minimum HRA for all the three categories will be Rs 5400, Rs 3600 and Rs 1800. There is a possibility of 3 to 4 per cent hike in HRA for employees living or working in X class cities, 2 per cent for Y class cities and 1 per cent for Z class cities. For example if a If the employee’s salary is Rs 56,900 per month, then his HRA is estimated to be around Rs 15,000 at 27%, but at 30%, it is estimated to be Rs 17,000/month and Rs 20,000 annually.
