In India, the house rent allowance for government workers is a key element. The government reimburses its employees for their accommodation costs under the HRA programme. HRA is a crucial part of the compensation package for government workers since it lessens the burden of housing costs. So you must know how much HRA for central government employees.
Use NoBroker to pay your rent and get assured cashback.How much is the house rent allowance for central govt employees?
The 7th Central Pay Commission has recommended reducing the HRA % for all types of employees who work for the Central Government. Earlier, Class X cities received the HRA at a rate of 30% of basic pay, Class Y cities at a rate of 20%, and Class Z cities at a rate of 10%. For Class X cities, the percentages have been reduced to 24% of basic pay, Class Y cities to 16%, and Class Z cities to 8%.
A city is classified as a Class X city if it has 50 lakh or more residents, a Class Y city if it has 5 lakhs to 50 lakhs, and a Class Z city if it has fewer than 5 lakhs.
But, the 7th Central Pay Commission stated that the HRA should not be less than Rs. 5,400 for Class X cities, Rs. 3,600 for Class Y cities, and Rs. 1,800 for Class Z cities. Because the revised HRAs might not be enough for the employees who are in a lower pay band. These sums were determined as 30%, 20%, and 10% of the minimum wage of Rs. 18,000, respectively. In addition, the 7th Central Pay Commission has recommended that when Dearness Allowance is greater than 50%, the rate of House Rent Allowance be revised to 27%, 18%, and 9% for Class X, Class Y, and Class Z cities, respectively.
What does HRA mean under the 7th Pay Commission?
For workers in other cities, the 7th Pay Commission suggested an increase of 8% of the matrix pay. The minimum House Rent Allowance is equal to 10% because the lowest basic wage is 18000 and the HRA is 1800.
You are now aware of the HRA for central government employees.
Read More: Is rent receipt mandatory for HRA exemption? How much HRA can be claimed without proof?Your Feedback Matters! How was this Answer?
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Authors Of The Question
How much HRA do central govt employees get?
sarfaraz
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1 Year
2023-03-31T18:35:43+00:00 2023-04-03T12:44:48+00:00Comment
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