7th Pay Commission Salary Hike Calculator:
Check How Much Salary Will Increase
7th Pay Commission Salary Hike Calculator: DA To Be Hiked To 46%?
Check How Much Salary Will Increase
7th Pay Commission
The latest AICPI Index data have given the much needed enthusiasm to lakhs of central government employees who have been waiting for the announcement of the Dearness Allowance (DA). AICPI Index is the final data for determining the calculation of Dearness Allowance and the foundation for determining the DA quantum. Figures of AICPI Index number for the month of June paints an optimistic picture.
The figures for June 2023 AICPI index have been declared by the government that shows that there has been a big jump in the index. The June index has reached 136.4 points as compared to the index number in May which was 134.7 points. A total increase of 1.7 points has been registered in June. According to the figures of May, the total DA score was 45.58 percent, which has increased to 46.24 percent in June 2023, depending on AICPI index figures.
DA May Increase To 46 Percent
Media reports are abuzz with speculations that now central employees will be paid Dearness Allowance at the rate of 46 percent. The announced regarding the same will be made by the government in the month of September, reports have added. The recognised formula, which is based on the recommendations of the 7th Central Pay Commission, shall be followed in order to raise DA.
The Dearness Allowance of central government employees is revised twice a year. The first is given from January to June, while the second comes from July to December.
How Much Will Central Government Employee's Salary Increase After 46% DA Hike
Currently the central government employees are getting 42 percent DA hike. After the increase the DA will reportedly be 46 percent. On a basic salary of Rs 18,000, the annual DA increase will be Rs 8640 while on a basic salary of Rs 56,900, the annual DA increase will be Rs 27,312.
Here Is The Calculation On Minimum Basic Salary: DA Hike
1. Basic Salary – Rs 18,000
2. Current DA at 42 percent - DA hike by Rs 7,560 per month
3. New DA at 46 percent - DA hike by Rs 8,280 per month
4. DA Increase – Rs 8,280- 7,560 = Rs 720 per month
5. Annual Salary Increase Rs 720 X 12= Rs 8,640
Here Is The Calculation On Maximum Basic Salary: DA Hike
1. Basic Salary – Rs 56900
2. Current DA at 42 per cent – Rs 23,898 per month
3. New DA at 46% - DA hike by Rs 26,174 per month
4. DA Increase - Rs 26,174 - Rs 23,898 = Rs 2,276 per month
5. Annual Increase in DA – Rs 2,276 X 12 = Rs 27,312
DA Hike May be announced in September
Meanwhile, it must be noted that till the new DA rates are announced by the government, the employees will be paid DA at the rate of 42 percent. However, once the Government announces a hike in DA, the increased amount will be paid along with the arrears. The benefit of this increase in dearness allowance will be given to the central government employees, who are getting salary under the 7th Pay Commission. Atotal of more than 1 crore central employees and pensioners will be directly given the benefit of this increase.
Dearness Allowance Hike March 2023
It may be recalled that te Union Cabinet chaired by the Prime Minister Narendra Modi, in March gave its approval to release an additional instalment of Dearness Allowance to Central Governments employees and Dearness Relief to Pensioners with effect from 01.01.2023. The additional instalment will represent an increase of 4% over the existing rate of 38% of the Basic Pay/Pension, to compensate against price rise. The combine impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs. 12,815.60 crore per annum.
This will benefit about 47.58 lakh Central Governments employees and 69.76 lakh pensioners.
