The Finance Ministry may send a proposal regarding hike dearness allowance decided by 7th Pay commission earlier. After the approval from the Cabinet, a DA hike can be announced.
7th Pay Commission, Salary DA Calculator: September is an essential month for the central employees. As they may get a big update about salary increment and DA hike. This month AICPI index numbers for the month of July 2024 will be released. AICPI index is important for central government employees because it’s used to calculate Dearness Allowance (DA) for them.
The government can soon announce a dearness allowance for central government employees in September. Dearness allowance has been decided on the AICPI index numbers from January 2024 to June 2024. However, its formal announcement has not been made yet. The central government may approve it soon. If sources are to be believed, this time it may be announced in September. It can be approved in the cabinet meeting to be held on September 25, according to the Zee Business report.
How Much Increase In Dearness Allowance (DA)?
There is to be an increase of 3 percent in dearness allowance for central employees. Currently, they are getting 50 percent DA from January 2024. But, after an increase of 3 percent, it will become 53 percent. According to the AICPI index, the total dearness allowance has reached 53.36 percent by June 2024. But, the government does not count decimals. Therefore only 53 percent will be decided.
How Was 6 Month AICPI Index?
| Month | Index Data | Dearness Allowance |
| January 2024 | 138.9 Points | 50.84 % |
| February 2024 | 139.2 Points | 51.44 % |
| March 2024 | 138.9 Points | 51.95 % |
| April 2024 | 139.4 Points | 52.43 % |
| May 2024 | 139.9 Points | 52.91 % |
| June 2024 | 141.4 Points | 53.36 % |
How Much Salary Will Increase?
According to the 7th Pay Commission, the basic salary of Central employees at Level-1 starts from Rs 18000 to the maximum bracket of Rs 56900.
Salary Calculation On Basic Pay (Rs 18,000)
- Basic salary of employee Rs 18,000
- New Dearness Allowance (53%) Rs 9540/month
- Till now dearness allowance (50%) is Rs 9000/month.
- How much dearness allowance increased 9540-9000= Rs 540/month
- Increase in salary for 6 months 540X6= Rs 3240
Salary Calculation On Maximum Basic Pay Of Rs 56900
- Basic salary of employee Rs 56,900
- New dearness allowance (53%) Rs 30,157/month
- Till now dearness allowance (50%) is Rs 28,450/month.
- How much dearness allowance increased? 30,157-28,450 = Rs 1707/month
- Increase in salary for 6 months 1707X6= Rs 10,242
(Note: This calculation has been done on the basis of estimates. The final salary is formed after adding other allowances to it.)