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HomePersonal Finance7th pay commission: After DA hike Govt increases HRA by 3%, know...

7th pay commission: After DA hike Govt increases HRA by 3%, know details

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HRA Hike: Apart from DA, the government has also increased HRA. With this, DA has become maximum 50 percent and HRA maximum 30 percent. HRA has been increased separately according to X, Y and Z categories.


7th Pay Commission: Bumper announcements were made in the cabinet meeting held on Thursday for lakhs of central government employees and pensioners. In the meeting held before Holi, it was decided to increase DA and DR from 46 percent to 50 percent. Along with this, House Rent Allowance of employees has also been increased. With this change, employees working in X category cities will be given 30 percent HRA from January 1 instead of 27 percent. Due to increase in HRA, the government’s expenditure will increase by Rs 9,000 crore.

How much did the HRA of the employees increase?

In the cabinet meeting, it has been decided to increase the HRA of employees working in Y category cities by 2 percent. Currently it is 18 percent, after increasing it will become 20 percent. Similarly, HRA in Z category has increased by 1 percent and it has increased from 9 to 10 percent.

Understand the complete mathematics of HRA

  • X category cities are Delhi, Ahmedabad, Bengaluru, Mumbai, Pune, Chennai and Kolkata. The employees working here will now get 30 percent HRA of the basic pay. Earlier it was 27 percent.
  • Y category cities include Faridabad, Ghaziabad, Gurgaon, Noida, Ranchi, Jammu, Srinagar, Gwalior, Indore, Bhopal, Jabalpur, Ujjain, Kolhapur, Aurangabad, Nagpur, Sangli, Solapur, Nashik, Nanded, Patna, Lucknow, Visakhapatnam, Guntur, Vijayawada, Guwahati, Chandigarh, Raipur, Rajkot, Jamnagar, Vadodara, Surat, Amravati, Cuttack, Bhubaneswar, Rourkela, Amritsar, Jalandhar, Ludhiana, Moradabad, Meerut, Bareilly, Aligarh, Agra, Lucknow, Kanpur, Allahabad, Gorakhpur, Firozabad, Jhansi, Varanasi, Saharanpur, Bikaner, Jaipur, Jodhpur, Kota and Ajmer come. Till now HRA is paid at the rate of 18 percent. Now it will increase by 2 percent to 20 percent.
  • All other cities of the country have been kept in Z category. Z category cities currently get HRA at the rate of 9 percent. It has been increased by 1 percent, which has increased to 10 percent.

Pravesh Maurya
Pravesh Maurya
Pravesh Maurya, has 5 years of experience in writing Finance Content, Entertainment news, Cricket and more. He has done BA in English. He loves to Play Sports and read books in free time. In case of any complain or feedback, please contact me @ businessleaguein@gmail.com
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