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HRA Calculator as per Cabinet Decision

June 30, 2017 By admin Leave a Comment

HRA Calculator as per Cabinet Decision

7th Pay Commission HRA Calculator as per Cabinet Decision

Cabinet approval on 7th CPC House Rent Allowance (28.6.2017) : HRA is currently paid @ 30% for X (population of 50 lakh & above), 20% for Y (5 to 50 lakh) and 10% for Z (below 5 lakh) category of cities. 7th CPC has recommended reduction in the existing rates to 24% for X, 16% for Y and 8% for Z category of cities.

As the HRA at the reduced rates may not be sufficient for employees falling in lower pay bracket, it has been decided that HRA shall not be less than ₹5400, ₹3600 and ₹1800 for X, Y and Z category of cities respectively. This floor rate has been calculated @ 30%, 20% and 10% of the minimum pay of ₹18000. This will benefit more than 7.5 lakh employees belonging to Levels 1 to 3.

7th CPC had also recommended that HRA rates will be revised upwards in two phases to 27%, 18% and 9% when DA crosses 50% and to 30%, 20% and 10% when DA crosses 100%. Keeping in view the current inflation trends, the Government has decided that these rates will be revised upwards when DA crosses 25% and 50% respectively. This will benefit all employees who do not reside in government accommodation and get HRA.

Related posts:

  1. Cabinet Decision on HRA – Shocking News for Central government Employees
  2. Cabinet approval on 7th CPC House Rent Allowance
  3. 7th Central Pay Commission Fitment and HRA – No Change Therein is Envisaged
  4. NC JCM Staff Side Welcomed the Cabinet Decision on 7th CPC Allowances
  5. 7th CPC HRA Enhanced Pay Scales with Profit for 3 Levels

Filed Under: 7th Central Pay Commission Tagged With: 7th CPC HRA Calculator, HRA, n 7th Pay Commission




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