7th CPC House Rent Allowance

7th CPC House Rent Allowance

“House Rent Allowance for Central Government Employees

HRA is a compensation for expenses in connection with the rent of the residential accommodation to be hired/leased by the employee and is graded based on the level of the employee”

HRA paid from 2008 @ 30% for X (population of 50 lakh & above), 20% for Y (5 to 50 lakh) and 10% for Z (below 5 lakh) category of cities as per 6th CPC Recommendations. Now, 7th CPC has recommended reduction in the existing rates to 24% for X, 16% for Y and 8% for Z category of cities.

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