TS PRC HRA Rates 2021: House Rent Allowance Complete Information

Present HRA Rates 2021 in Telangana State. As per the 11th TS PRC recommendations, Pay Revision Commission has announced the TS PRC HRA Rates 2021 or TS PRC HRA Slab Rates 2021 in PRC report. According to the Telangana PRC 2021 report , the classification of cities and towns has been updated with reference to the Final Census figures of 2011 obtained from the Director of Census Operations and from the latest notification of new municipal areas from the Director of Municipal Administration, Hyderabad.

The existing rates of HRA viz. 30%, 20%, 14.5% and 12% has been changed to 24%, 17%, 13% and 11% respectively for different places, based on population. This has been done keeping 7th CPC recommendation in view. Additional HRA in lieu of rent free accommodation is retained at 8% of basic pay, but the monetary ceiling is increased from Rs.2,000/- to Rs.2,500/- p.m.

Here, TeachersBADI.In Team provided Complete Information On House Rent Allowance (HRA) and 11th Pay Revision Commission (RPS 2021) Recommendations. The House Rent Allowance is introduced in 1969  and HRA is paid to Government employees to meet to a certain extent, the additional burden on employees by way of higher rents.

The allowance was first provided to employees in 1969 in a small way. A scheme for payment of House Rent Allowance based on the twin criteria of population of cities / towns and the pay level of the employee was established.

Several associations of the employees, Teachers and Workers requested this PRC. for payment of HRA at 30% of basic pay without any ceiling in all municipalities, villages included in Greater Hyderabad Municipal Corporation City / HMDA. They also requested for HRA at 20% of basic pay without any ceiling for all District Headquarters and places within periphery of 67 15 KMs. For other places HRA at 12.5% basic pay without any ceiling was requested. Different associations requested for payment of HRA at different percentage rates, ranging from 15% to 30% of basic pay.

Accordingly, this Commission has gathered details of population of towns and cities of Telangana State as per final census 2011 from the Commissioner & Director of Municipal Administration, Hyderabad. In the last PRC the cities and towns have been grouped separately on the basis of their population and different slab rates with a ceiling has been prescribed from different groups of towns for House Rent Allowance. For example for GHMC jurisdiction the HRA is 30% of basic pay with a ceiling of Rs.20,000/-.

Central Pay Commission: The 7th CPC which is effective from 01.01.2016, while recommending new enhanced pay structure has reduced the slab rates of HRA for different categories of cities. For example, for GHMC which is a A1 City the HRA rate has been reduced from 30% to 24%. Similarly, for other categories of cities also the HRA slab rates have been reduced. The Commission now recommends a master scale based on a minimum basic pay of Rs.19,000/- per month. Whereas the pay scales of 7th CPC is based on a minimum basic pay of Rs.18,000/-. This gives a small edge to the Telangana State Government employees over employees of Central Government working in the State in determination of House Rent Allowance.

Moreover, the new basic pay will be arrived by merging DA and fitment with the old basic, so each employee will get HRA more than what they are getting at present. For example in GHMC area, {24% of (100 +30.392 [DA] + 7.5 [fitment]) > 30% of 100} and similarly for other places. In these circumstances the Commission recommends a HRA structure similar to the recommendation of 7th CPC. The 7th CPC has changed its slab rates of HRA from 30%, 20% & 10% to 24%, 16% and 8% of the basic pay respectively. They have reduced the slab rates uniformly by 20%. The Commission recommends reduction of slab rates as given in the table by reducing the slab rates in a graded manner starting from 20% for GHMC to about 10% in smaller towns.

Present HRA Rates in Telangana State

TS PRC 2021 HRA Slab rates as per the Classification Of Cities And Towns

District and all other district head quarters: (a) Towns where population is more than 50,000 and less than 2 Lakhs: 1. Adilabad 2.Kagaznagar 3.Nirmal 4.Bellampalle 5.Mandamarri 6. Mancherial 7.Bodhan 8.Kamareddy 9.Armur 10.Sircilla 11.Jagityal 12.Koratla 13.Metpalli 14.Siddipet 15.Zaheerabad 16.Sangareddy 17.Vikarabad 18.Tandur 19.Wanaparthy 20.Gadwal 21.Nalgonda 22.Miryalaguda 23.Suryapet 24.Bhongir 25. Kodad 26.Jangaon 27.Kothagudem, 28. Palwancha 29.Jalpally (R.R. Dist.) 30.Badepally (Mahaboobnagar Dist.) 31.Naspur (Mancherial Dist.) 32.Shadnagar. (**As per final census of 2011)

(b) All other District Headquarters with less than 50,000 population 1. Mulugu 2. Bhupalapally 3. Mahaboobabad 4.Narayanpet 5.Medak 6.Asifabad 7.Peddapalli 8.Nagarkurnool 9.Shamirpet (Medchal Malkajgiri Dist.) 10. Shamshabad (R.R. Dist.)

The above rates are recommended by the PRC without any ceiling limit. The HRA rates be increased to 27%, 18.5%, 14%, 11.5% when the Dearness Allowance exceeds 50% of the basic pay. The Commission also recommends that the existing rules with regard to payment of HRA at the rates applicable to the places located within the periphery of 8 KMs for the towns / cities concerned be continued.

Additional HRA In Lieu Of Rent Free Accommodation: The Government has been declaring certain posts in several departments as eligible for rent free accommodation. This is because their presence is essential for the discharge of duties not only during normal office hours but also beyond those hours. At times the supervisory authorities are required to stay in the hospitals, projects, institutions etc., throughout the day and night. But Government may not be in a position to provide accommodation on the premises or in the vicinity of the institution.

Therefore, the Government officials are required to stay in a private accommodation near their place of duty. Government had declared various categories of employees who are entitled for rent free accommodation from time to time. If rent free accommodation is not provided, Government have been allowing Additional HRA to meet the additional cost.

TS PRC 2015: PRC 2014 has recommended Additional HRA of 8% of basic pay subject to a maximum of Rs.2000/- p.m. 07.21 Accordingly, Government have issued orders on Additional HRA in lieu of Rent Free Accommodation vide G.O.Ms. No.46, dt:21.04.2015, G.O.Ms.No.85, dt:27.05.2015, G.O.Ms.No.92, dt:20.06.2015, G.O.Ms.No.127, dt:08.09.2015 and G.O.Ms.No.62, dt:24.05.2016 of Finance (HRM.IV) Department

This Commission recommends that in the context of increase in the house rents in various cities and towns and in order to meet the additional burden, the existing rate of Additional HRA of 8% of basic pay subject to a maximum of Rs.2,000/- be continued at 8% of the basic pay subject to a maximum of Rs.2,500/- per month.

The population is more than 50 Lakhs: Hyderabad and Secunderabad classified as A1 City and areas falling within the jurisdiction of Greater Hyderabad Municipal Corporation.

The population is more than 2 Lakhs: Karimnagar, Khammam, Mahaboob Nagar, Nizamabad, Ramagundam, Warangal.

The population is more than 50000 and less than 2 Lakhs: 1. Adilabad, 2.Kagaznagar, 3.Nirmal, 4. Bellampalle, 5. Mandamarri, 6.Mancherial (Adilabad District), 7. Bodhan, 8.Kamareddy, 9.Armur (Nizamabad District), 10. Sircilla, 11.Jagityal, 12.Koratla, 13. Metpalli (Karimnagar Dist.), 14. Siddipet, 15. Zahirabad, 16. Sangareddy(Medak Dist.),17. Vikarabad, 18.Tandur(RR Dist.), 19. Wanaparthy, 20. Gadwal (Mahabubnagar Dist.), 21. Nalgonda, 22. Miryalaguda, 23. Suryapet, 24. Bhongir (Nalgonda Dist.), 25. Jangaon(WarangalDist.), 26. Palwancha, 27. Kothagudem (Khammam District).

IN PRC 2010: The 9th P.R.C recommended four grades and the rates of HRA admissible to the employees.

NOTE: vide G.O.Ms.No.59, Finance(P.C.I) Department, dated 11/04/2011, HRA Rates have been Revised in Grade-III and Grade-IV category. Then, In Grade-III: At the rate of 14.5%  for cities with population exceeding 50,000 but below 2 lakhs. In Grade-IV: At the rate of of 12% for  places with population below 50,000.

IN PRC 2005: The PRC 2005 continued the pattern adopted by the PRC 1999 but had recommended enhancing the ceiling to Rs.3,000/‐ which was raised later to Rs.4,000/‐ per month by the O.M.C. Subsequently, based on the declaration of the Hyderabad city as Greater Hyderabad Municipal Corporation and in consequence of the population having crossed more than 50 lakhs, the Government of India classified Hyderabad as A1 City.

Government of Andhra Pradesh have also declared Hyderabad as A1 City and the employees working in Greater Hyderabad Municipal Corporation were made eligible for drawal of HRA at 30% of basic pay, subject to maximum of Rs.6,000/‐ vide G.O. (P) No.10, Finance (PC‐I) Department, dt.17.1.2008. NOTE: These rates of HRA are also extended to the places located within the periphery of 8 kms.

IN PRC 1999: The PRC 1999 recommended 20% of basic pay for those employees who are residing in cities / towns  where the population is 2 lakhs and above. For  those employees who are residing in District Headquarters and other municipal towns other than the above cities, the HRA was fixed at 12.5%, where the population is more than 50000 but below 2 lakhs. In respect of other places the payment of HRA was fixed at 10% of basic pay(where the population is less 50000). All of them were subject to a maximum of Rs.2,000 per month.

IN PRC 1993: The 1993 PRC, recommended payment of HRA at 16% in 12 major towns including the twin cities, 10% in respect of 13 district headquarters and for the remaining places 8% of basic pay. All this was subject to a ceiling of Rs.1,000/‐ p.m. Government subsequently revised the percentage rates of 20%, 12.5% and 10% respectively and also the ceiling limit with effect from 1.1.1994.

In PRC 1986: By 1986, the HRA was being paid at 20% in all cities with a population of above 2 lakhs i.e., Hyderabad and 9 other towns.  Employees at Tirupati were also declared eligible for receipt of 15% as a special case.  In respect of other specified towns with a population 50,000 above and below 2 lakhs, HRA was fixed at 7.5% and in all other places it was at 4% of basic pay.

Subsequently, the quantum of House Rent Allowance payable to Government employees in certain places was revised from 1st July 1986. In 14 District headquarters, the HRA was revised to 12.5% of basic pay and for other places it was fixed at 10% of basic pay.

In PRC 1978: By the time the PRC 1978 was constituted, Hyderabad and four other major cities were classified into one group and the House Rent Allowance was fixed at the rate of 15% of the basic pay subject to a maximum of Rs.400/- per month.

IN PRC 1969: In 1969  House Rent Allowance based on the twin criteria of population of cities / towns and the pay level of the employee was established. In PRC 1975: In 1975 apart from the large cities and towns a small amount was also given to those living in sub taluk, taluk and municipal towns.