7th Pay Commission: How much will March salary increase, which allowances are going to increase? Know the complete details..

While giving a gift to its employees before Holi, the Central Government has announced a 4 percent increase in Dearness Relief (DR) and Dearness Allowance (DA). This means that central employees and pensioners will get dearness allowance equal to 50 percent of their basic salary.

This is going to benefit 49.18 lakh employees and 67.95 lakh pensioners. The annual burden on the government treasury will also increase by Rs 12,868.72 crore.

Let us know how central government employees and pensioners will get the benefit of increase in dearness allowance.

These allowances will increase
With a four per cent increase in dearness allowance, there will be a 25 per cent increase in transport, deputation and canteen allowances. The dearness allowance rates of central employees will be 50 percent of their basic salary from January 1, 2024, which was earlier 46 percent. Which allowances will increase? Things like House Rent Allowance (HRA), Child Education Allowance, Hostel Subsidy and Gratuity Ceiling will increase.

How much will the salary increase?
Suppose you are a government employee and your basic salary is Rs 25,600 per month. In such a situation, earlier your dearness allowance as per 46 percent was Rs 11,776. Since now dearness allowance will be 50 percent, this amount will become Rs 12,800 i.e. an increase of Rs 1,024.

HRA also increased
With the allowance of central employees reaching 50 percent, the House Rent Allowance (HRA) will also increase. If central employees live in X, Y and Z category cities/towns, then HRA has been reduced to 30, 20 and 10 percent respectively. Compared to Pahal, this has increased by 3, 2 and 1 percent respectively.

Big salary will come in March
This decision of the Central Government will come into effect from January 2024. This means that central employees will also get DA arrears of January and February in the salary of March. Besides, increase in HRA and other allowances will also be added. In such a situation, central employees will get a good amount of salary in March.