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ACTUAL DEARNESS ALLOWANCE Loss in Salary Calculator for the period of January 2020 to June 2021

Additional DA Freeze (Temporarily Suspended) for Central Govt employees for eighteen months between January 2020 and June 2021.

July 2020 DA & January 2021 DA Calculation

The Cabinet Committee already approved to increase 4% additional DA from January 2020 on the basis of Consumer Price Index (CPI). The next installment from July 2020 is expected to increase by 4% additionally. And another installment will also be expected to hike by 4% with effect from 1st January 2021. The below-expected DA list, which is used in our software tool for your information:

1st January 2020 = Additional DA 4% (17% + 4% = 21%)
1st July 2020 = Additional DA 4% (Expected) (21% + 4% = 25%)
1st January 2021 = Additional DA 4% (Expected) (25% + 4% = 29%)

What will be the amount of DA loss in Salary for CG employees for 18 months?
The Finance Ministry issued order No.1/1/2020-E-II(B) on 23rd April 2020 to freeze the DA and DR to CG employees and pensioners in view of crisis arising out of Corona virus (COVID-19) outbreak.
We have created a simple online estimation tool to predict the approximate loss in salary for 18 months due to freezing the DA for Central Govt employees. The calculator will show the loss amount of individuals on the basis of input their basic salary and Transport allowance details.
Month / YearDA RateActual DA RateLoss in DA%
January 202017%21%4%
February 202017%21%4%
March 202017%21%4%
April 202017%21%4%
May 202017%21%4%
June 202017%21%4%
July 202017%
August 202017%
September 202017%
October 202017%
November 202017%
December 202017%
January 202117%
February 202117%
March 202117%
April 202117%
May 202117%
June 202117%

17% fixed DA for 18 months from January 2020 to June 2021 for Central Government Employees and Pensioners

As per the order issued by the Department of Expenditure (under Finance  Ministry) on 23rd April 2020, no additional  Dearness allowance and Dearness Relief for Central Government employees and pensioners for 18 months from January 2020 to June 2020. In other words, the existing rate of 17% DA will be continued up to June 2021.

Freezing of DA impact on various calculations
Freezing of Dearness Allowance is not only impacting on arrears but also in pension and all retirement benefits. The stoppage of DA will also affect the condition of revising all allowances including HRA if DA crosses 25%.

DA Calculation on Basic Salary

For example, see the 17% DA chart for all pay matrix level of starting pay scale:
Pay Level 1 – Basic Salary Rs. 18000: Rs. 3060
Pay Level 2 – Basic Salary Rs. 19900: Rs. 3383
Pay Level 3 – Basic Salary Rs. 21700: Rs. 3689
Pay Level 4 – Basic Salary Rs. 25500: Rs. 4335
Pay Level 5 – Basic Salary Rs. 29200: Rs. 4964
Pay Level 6 – Basic Salary Rs. 35400: Rs. 6018
Pay Level 7 – Basic Salary Rs. 44900: Rs. 7633
Pay Level 8 – Basic Salary Rs. 47600: Rs. 8093
Pay Level 9 – Basic Salary Rs. 53100: Rs. 9027
Pay Level 10 – Basic Salary Rs. 56100: Rs. 9537

Difference in DA for 6 months from January to June 2020

Difference in DA for 6 months from January to June 2020
Pay Matrix LevelInitial Basic PayDA 17%DA 21%Difference per month
Pay Level 1 – Basic Salary1800030603780720
Pay Level 2 – Basic Salary1990033834179796
Pay Level 3 – Basic Salary2170036894557868
Pay Level 4 – Basic Salary25500433553551020
Pay Level 5 – Basic Salary29200496461321168
Pay Level 6 – Basic Salary35400601874341416
Pay Level 7 – Basic Salary44900763394291796
Pay Level 8 – Basic Salary47600809299961904
Pay Level 9 – Basic Salary531009027111512124
Pay Level 10 – Basic Salary561009537117812244
Read at sapost.blog

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