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Central employees will get good news before Diwali! DA will increase by 3% once again

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7th Pay Commission: If Dearness Allowance is increased by 3 percent in June, then the total DA will become 31 percent. The index for June 2021 has increased by 1.1 points, taking it to 121.7.


New Delhi: 7th Pay Commission: From July 1, the dearness allowance (DA) of central employees and dearness relief (DR) for pensioners has started getting 28 percent. The central government has increased the dearness allowance from 17% to 28%. Now another good news is that before Diwali 3% dearness allowance is expected to increase further. If this happens, then the total dearness allowance will be 31%.

Dearness allowance will increase before Diwali!

The employees union is demanding that the government should soon announce an increase of 3% dearness allowance, so that the employees can get some relief from inflation. The data of AICPI index is out. The index has reached 121.7. In such a situation, the dearness allowance for June 2021 is set to increase by 3%. The index for June 2021 has increased by 1.1 points, taking it to 121.7.

Dearness Allowance will be 31%

Accordingly, dearness allowance will be 31.18 percent, but, the calculation of DA is done in round figure. In this case DA will be 31%. It is being estimated that the Dearness Allowance (DA) for June 2021 may be announced by mid-September. At the same time, its payment can also be done with the salary of September.

Now how much will the salary increase

Now if the dearness allowance increases by 3 percent in June, then the total DA will become 31 percent. According to the 7th Pay Commission Matrix, the salary range of Level-1 of central employees ranges from Rs 18,000 to Rs 56900. Now at the rate of 28% on the basic salary of Rs 18,000, the monthly dearness allowance is Rs 5040, at 31% it will increase to Rs 5580. Accordingly, the increase in annual salary will be Rs 6480.

How much will the salary increase?

1. Basic salary of the employee – Rs. 18,000
2. New Dearness Allowance (31%) – Rs.5580/month
3. Dearness Allowance so far (28%) –  Rs.5040/month
4. How much dearness allowance increased –  5580-5040 = Rs 540/month
5. Increase in annual salary – 540X12 = Rs 6480

Calculation on maximum basic salary

Now let’s see the maximum basic salary of this calculation level-1 at Rs 56900.

Calculation on 31% DA

1. Basic salary of the employee –  Rs 56900
2. New Dearness Allowance (31%) –  Rs 17639/month
3. Dearness Allowance so far (28%) –  Rs 15932/month
4. How much dearness allowance increased –  17639-15932 = Rs 1707/month
5. Increase in annual salary –  1707X12 = Rs 20484

That is, the increase in annual salary will be Rs 20484. However, it does not include HRA. Final salary will be made only after adding HRA.

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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