- After DA increase, more money will come in the hands of employees!
- Whose salary will increase according to basic pay?
- See detailed calculation
DA Hike: An important news has come to light regarding Dearness Allowance DA of Central Employees. The central government has approved a 3% hike in dearness allowance under the 7th Pay Commission. Now increased from 60% to 63%. This will directly affect the monthly salary. The new rates will be effective from July 1, 2026. How much will your salary increase” Hike
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What exactly would be the benefit?
Most importantly, this government decision will increase the monthly pay of central employees, while pensioners will also benefit from increased inflationary allowance. Besides, dearness allowance has been increased from 262% to 269% (+7%) for those coming under 6th Pay Commission and from 483% to 497% (+14%) under 5th Pay Commission. The government will spend Rs 10,016 crore on this entire inflationary allowance increase.
DA is now 63% from 60%
This decision of the government will directly benefit approximately 49 lakh central government employees and more than 68 lakh pensioners. This entire increase is based on the formula established as per the recommendations of the 7th Pay Commission. DA has now increased from 60% to 63%, so employees will get an additional dearness allowance of 3% of their basic salary. The calculation for different basic salaries will be as follows.
| Current Basic Salary | Current Dearness Allowance (60%) | New Dearness Allowance (63%) | Extra per month |
|---|---|---|---|
| ₹18,000 | ₹10,800 | ₹11,340 | ₹540 |
| ₹25,000 | ₹15,000 | ₹15,750 | ₹750 |
| ₹29,000 | ₹17,520 | ₹18,396 | ₹876 |
| ₹35,000 | ₹21,240 | ₹22,302 | ₹1,062 |
| ₹44,900 | ₹26,940 | ₹28,287 | ₹1347 |
| ₹47,600 | ₹28570 | ₹29,988 | ₹1428 |
This means, if an employee's basic salary is ₹18,000, they will get an additional ₹540 per month. Meanwhile, an employee with a basic salary of ₹ 44,900 may see an increase of ₹ 1,347 per month in dearness allowance.
How much arrears if implemented from July 1, 2026?
The new dearness allowance rate is said to be effective from July 1, 2026. If the government implements the hike from that date, eligible employees can also get differential arrears from July. For example, for an employee with a basic salary of ₹18,000, the difference in dearness allowance would be ₹540 per month. A four-month difference would be ₹2,160 and a five-month difference would be ₹2,700.
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