Understanding Dearness Allowance: How Does It Affect Your HRA and Salary?

sandeepbanna
Respected Seniors,

I have seen some posts in which Dearness Allowance is added to the basic salary to find out HRA (House Rent Allowance); in some posts, it was not included. I want to know:

1. Does every organization give DA?
2. What is the current rate of DA?
3. How is DA calculated?
4. Is there uniformity in every organization regarding the rate of DA, or does it vary from organization to organization?
5. How is HRA calculated?
6. What percentage of HRA is given based on the basic salary and DA?

Regards,
Sandeep Singh Bhati
HR Executive
[Phone Number Removed For Privacy Reasons]
[Email Removed For Privacy Reasons]
pon1965
All companies don't provide a separate DA component. HRA is 50% of the basic salary in metros or 40% in non-metros.

Pon
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