Children Education Allowance for CG Employees – An Overview

Children Education Allowance for CG Employees – An Overview

7TH PAY COMMISSION AND INDIAN GOVERNMENT DECISION ON CHILDREN EDUCATION ALLOWANCE

One of the most anticipated hike in the allowance of CEA by Central Government employees, but 7th Pay Commission has recommended the allowance would continue as CEA Rs. 2250 pm per child and Hostel subsidy Rs. 6750 pm per child.

And the allowance will continue to be double for differently abled children. And the commission has strongly object to extend the allowance beyond Class XII.

Rate of Children Education Allowance (CEA) has been increased from Rs. 1500 per month / child (max. 2) to Rs. 2250 per month / child (max.2). Hostel Subsidy will also go up from Rs. 4500 per month to Rs. 6750 per month. Annual amount of CEA for the academic year 2017-18 will be Rs. 24750 and Hostel Subsidy will be Rs. 74250.

CEA an Overview: (Child education allowance in 7th Pay Commission)

The Children Education allowance was introduced w.e.f. 1-9-2008 on the basis of the recommendation of 6th CPC.

In the background of escalation of school fees, and other expenses connected with education of Children, the present scheme has been a big relief for the Government employees.

Presently the allowance is admissible for two children, for studying in a recognized school upto XII standard.

The maximum ceiling is stipulated at Rs.18000/- since this allowance had been hiked by 50% because of the DA component in salary having been crossed 100% on 1.1.2014.

We suggest doubling of this allowance and increasing the same by 50 % whenever the DA crosses over by 50%

Procedure of Reimbursement: The commission also recommended that the simplification of procedure for reimbursement. For CEA, a certificate from the head of institution where the ward of government employee studies should be sufficient for this purpose.

The certificate should confirm that the child studied in the school during the previous academic year.

The insistence of receipt for each and every expense to claim the allowance is a cumbersome procedure, which serves no purpose at all.

In order to avoid a probable misuse, the employer may be asked to produce an affidavit to the effect this child/children were bonafide student of the school. The production of receipt may be dispensed with.

We also suggest that the scheme may be extended to cover children studying for Graduate/Post Graduate and Professional courses.

This suggestion is being made in view of the huge expenses involved for the children’s higher studies, especially in the background of the Government with from higher education sector and allowing private institutions to come up and extract exorbitant changes for courses.

Since the quantum of allowance is fixed with a ceiling on maximum, our suggestion increase the coverage.

FAQ on CEA and Hostel Subsidy (Central government employees child education allowance)

REIMBURSEMENT CHILDREN EDUCATION ALLOWANCE – CLARIFICATION ON LEAVE OR SUSPENSION
The Children Education Allowance or hostel subsidy shall be admissible to a Govt. servant while he/she is on duty…

CLASS ELIGIBILITY OF CHILDREN FOR CHILDREN EDUCATION ALLOWANCE
Reimbursement of CEA and Hostel Subsidy shall be applicable for children from class nursery to twelfth…

UPPER AGE LIMIT FOR CHILDREN EDUCATION ALLOWANCE
The upper age limit for Divyaang children has been set at 22 years…

REIMBURSEMENT OF CHILDREN EDUCATION ALLOWANCE – IN CASE OF RETIREMENT…
In case of retirement, discharge, dismissal or removal from service, clarification given…

CEA CLARIFICATION – IF A GOVERNMENT SERVANT DIES…
If a Government servant dies while in service, the Children Education Allowance or hostel subsidy…

CLARIFICATION ON CEA – CHILD FAILS IN A PARTICULAR CLASS
The reimbursement of Children Education Allowance and Hostel Subsidy shall have no nexus…

CHILDREN EDUCATION ALLOWANCE – DISTANCE OF RESIDENTIAL EDUCATIONAL INSTITUTION
Clarification on distance for Residential Educational Institution studied children’s reimbursement…

REIMBURSEMENT OF CHILDREN EDUCATION ALLOWANCE – BOTH ARE GOVERNMENT SERVANTS
Clarification on Husband and wife both are Government Servants, reimbursement…

CHILDREN EDUCATION ALLOWANCE – PERIOD FOR REIMBURSEMENT
Quaterly, Half-Yearly or Annual reimbursement of Children Education Allowance…

REIMBURSEMENT OF CHILDREN EDUCATION ALLOWANCE – DA IMPACT
Increasing DA over 25%, the amount of Children Education Allowance…

REIMBURSEMENT OF CHILDREN EDUCATION ALLOWANCE – FOR DIVYAANG CHILDREN
Eligibility criteria of a Divyaang Children for reimbursement of CEA…

REIMBURSEMENT OF HOSTEL SUBSIDY – ELIGIBILITY OF AMOUNT
The amount of ceiling of hostel subsidy is…

REIMBURSEMENT OF CHILDREN EDUCATION ALLOWANCE – ELIGIBILITY OF AMOUNT
Eligibility amount of a Children for reimbursement of CEA…

REIMBURSEMENT OF CHILDREN EDUCATION ALLOWANCE – ELIGIBILITY OF CHILDREN
In case of failure of sterilization operation,…

CHILDREN EDUCATION ALLOWANCE PAYABLE FOR CITIZENS OF NEPAL AND BHUTAN – CLARIFICATION
CEA is payable for the children of all Central Government employees including citizens of Nepal and Bhutan…