Understanding HRA in Maharashtra: Is It Part of Minimum Wages or an Extra Benefit?

House Rent Allowance in Maharashtra

House Rent Allowance is applicable to Maharashtra state. Industries deduct 5% on basic and D.A. Are minimum wages inclusive of HRA? Or is it in addition to the minimum wages? Please guide.

Regards,
M.M. Kulkarni

HRA is applicable in Maharashtra State. It does not include minimum wages. Minimum wage is Basic + DA or only Basic as per the grade of the employee. HRA is a percentage share of Basic.

Hope this clarifies your doubt.

Regards,
Manasi

HRA is applicable in Maharashtra State. It does not include minimum wages. Minimum wage is Basic + DA or only Basic as per the grade of the employee. HRA is a percentage share of Basic.

Hope this clarifies your doubt.

Regards,
Manasi

Dear Tanuka, HRA is calculated at a minimum of 5% on Basic and 50% in metros like Mumbai, Delhi, Kolkata, and Madras. PF is not applicable on HRA. HRA is a part of Gross Salary, and ESIC is calculated on Gross Salary; hence, ESIC is applicable. Hope this resolves your query.

Regards