Revision of HRA Slab 27%, 18% and 9% of Basic Salary in X, Y and Z Class Cities from July 2021
Click to view the HRA Increase Order July 2021 PDF
DoPT HRA Rules
After the announcement of DA hike to 28%, the HRA will also increase as per the recommendations of 7th pay commission.
- House Rent Allowance (HRA) will be revised from 24% to 27% for Central Government employees working in the classification of the cities under X Class (A-1 Class) cities with effect from July 2021.
- House Rent Allowance (HRA) will be revised from 16% to 18% for Central Government employees working in the classification of the cities under Y Class (B Class) cities with effect from July 2021.
- House Rent Allowance (HRA) will be revised from 8% to 9% for Central Government employees working in the classification of the cities under Z Class (C Class) cities with effect from July 2021.
What says 7th CPC on HRA?
The recommendations of the 7th CPC was accepted by the Allowance Committee with the following modifications:
(i) HRA shall not be less than Rs.5,400 per month, Rs.3,600 per month and Rs.1,800 per month calculated @30% of minimum pay for X (population of 50 lakh & above), 20% for Y (5 to 50 lakh) and 10% for Z (below 5 lakh) category of cities.
(ii) HRA shall be revised to 27%, 18% and 9% of Basic Pay in X,Y and Z cities when Dearness Allowance (DA) crosses 25% and further to 30%, 20% and 10% of Basic Pay in X, Y and Z cities when DA crosses 50%
All Central Government Employees and Offices are eagerly waiting for the order to implement the revision of HRA as per the recommendations of 7th CPC.
Minimum HRA Rates after 7th CPC
The minimum HRA Slab will continue after the implementation of the recommendation on HRA. The Minimum House Rent Allowance (HRA) of Rs. 5400, Rs. 3600 and Rs. 1800 for Class X, Y, and Z cities respectively.
What are all ‘X Class’ (A Class) Cities in India?
The table describes a list of Cities classified as X Class in India for the purpose of HRA for Government Employees.
| States and UTs | Classified as ‘X Cities’ |
| Andhra Pradesh/ Telangana | Hyderabad (UA) |
| Delhi | Delhi (UA) |
| Gujarat | Ahmadabad (UA) |
| Karnataka | Bangalore/ Bengaluru (UA) |
| Maharashtra | Greater Mumbai (UA) and Pune (UA) |
| Tamil Nadu | Chennai (UA) |
| West Bengal | Kolkata (UA) |
What are all ‘Y class’ cities in India?
According to the population the cities and towns are classified in India for the purpose of HRA for Government employees. The below table indicates the list of cities and towns that are classified as Y Class cities.
| States/ Union Territories | Citites Classified as “X” |
| Andhra Pradesh/ Telangana | Vijayawada (UA), Warangal (UA), Greater Visakhapatnam (M.Corpn), Guntur (UA), Nellor (UA) |
| Assam | Guwahati (UA) |
| Bihar | Patna (UA) |
| Chandigarh | Chandigarh (UA) |
| Chhattisgarh | Durg-Bhilai Nagar (UA), Raipur (UA) |
| Gujarat | Rajkot (UA), Jamnagar (UA), Bhavnagar (UA), Vadodara (UA), Surat (UA) |
| Haryana | Faridabad*(M.Corpn.), Gurgaon*(UA) |
| Jammu & Kashmir | Srinagar (UA), Jammu (UA) |
| Jharkhand | Jamshedpur (UA), Dhanbad (UA), Ranchi (UA), Bokaro Steel City (UA) |
| Karnataka | Belgaum (UA), Hubli-Dharwad (M.Corpn.), Mangalore (UA), Mysore (UA), Gulbarga (UA) |
| Kerela | Kozhikode (UA), Kochi (UA), Thiruvanathapuram (UA), Thrissur (UA), Malappuram (UA), Kannur (UA), Kollam (UA) |
| Madhya Pradesh | Gwalior (UA), Indore (UA), Bhopal (UA), Jabalpur (UA), Ujjain (M. Corpn) |
| Maharashtra | Amravati (M. Corpn.), Nagpur (UA), Aurangabad (UA), Nashik (UA), Bhiwandi (UA), Solapur (M. Corpn), Kolhapur (UA), Vasai-Virar City (M. Corpn.), Malegaon (UA), Nanded-Waghala (M. Corpn.), Sangli (UA) |
| Odisha | Cuttack (UA), Bhubaneshwar (UA), Raurkela (UA) |
| Puducherry | Puducherry/ Pondicherry (UA) |
| Punjab | Amristar (UA), Jalandhar (UA), Ludhiana (M. Corpn.) |
| Rajasthan | Bikaner (M. Corpn.), Jaipur (M. Corpn.), Jodhpur (UA), Kota (M. Corpn.), Ajmer (UA) |
| Tamil Nadu | Salem (UA), Tiruppur (UA), Coimbatore (UA), Tiruchirappalli (UA), Madurai (UA), Erode (UA) |
| Uttar Pradesh | Moradabad (M. Corpn.), Meerut (UA), Ghaziabad*(UA), Aligarh (UA), Agra (UA), Bareilly (UA), Lucknow (UA), Kanpur (UA), Allahabad (UA), Gorakhpur (UA), Varanasi (UA), Saharanpur (M. Corpn.), Noida*(CT), Firozabad (NPP), Jhansi (UA) |
| Uttarakhand | Dehradun (UA) |
| West Bengal | Asansol (UA), Siliguri (UA), Durgapur (UA) |
What are all Higher TPTA Cities in India?
19 Cities are classified under Higher TPTA Cities in India for the purpose of Transport Allowance to Central government employees after 7th pay commission.
1. Ahmedabad (UA), 2. Bengaluru (UA), 3. Chennai (UA), 4. Coimbatore (UA), 5. Delhi (UA), 6. Ghaziabad (UA), 7. Greater Mumbai (UA), 8. Hyderabad (UA), 9. Indore (UA), 10. Jaipur (UA), 11. Kanpur (UA), 12. Kochi (UA), 13. Kolkata (UA), 14. Kozhikode (UA), 15. Lucknow (UA), 16. Nagpur (UA), 17. Patna (UA), 18. Pune (UA), 19. Surat (UA)
Details of Monthly Salary Elements
- Basic Salary
- Dearness Allowance
- House Rent Allowance
- Transport Allowance
- Other eligible Allowances
The total of above salary elements is equal to gross salary (Total Salary).
What is Take Home Salary?
The Hand in Salary is the amount of salary after all deductions from Government and Private. Generally, NPS and Insurance Scheme deductions from Government side. And the Housing Loan from Banks or Financial Institutions comes under private deductions.