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The Centre has raised DA from 60% to 63% from July 1, 2026. Check how much arrears central government employees could receive for July to October based on their basic pay.
DA Hike July 2026.
DA Hike July 2026: The central government has announced a 3% hike in dearness allowance (DA) for central government employees from 60% to 63% of basic pay, with effect from July 1, 2026. The Union Cabinet approved the increase on October 28, bringing relief to around 48.54 lakh central government employees and 68.71 lakh pensioners.
With the revision effective retrospectively from July, eligible employees will be entitled to DA arrears for July, August, September and October 2026.
DA Hike: How Much Arrears Will Employees Get?
The 3-percentage-point increase means that employees will receive an additional 3% of their basic pay as DA every month. For example, an employee with a basic salary of Rs 18,000 will receive an additional Rs 540 per month, while an employee earning Rs 56,100 in basic pay will get Rs 1,683 more per month.
Assuming four complete months of arrears from July to October, the total additional DA payable can be calculated by multiplying the monthly increase by four.
DA Arrears Calculation For July-October 2026
| Basic Monthly Pay | DA And 60% | DA And 63% | Monthly Increase | Arrears For 4 Months |
|---|---|---|---|---|
| Rs 18,000 | Rs 10,800 | Rs 11,340 | Rs 540 | Rs 2,160 |
| Rs 19,900 | Rs 11,940 | Rs 12,537 | Rs 597 | Rs 2,388 |
| Rs 21,700 | Rs 13,020 | Rs 13,671 | Rs 651 | Rs 2,604 |
| Rs 25,500 | Rs 15,300 | Rs 16,065 | Rs 765 | Rs 3,060 |
| Rs 29,200 | Rs 17,520 | Rs 18,396 | Rs 876 | Rs 3,504 |
| Rs 35,400 | Rs 21,240 | Rs 22,302 | Rs 1,062 | Rs 4,248 |
| Rs 44,900 | Rs 26,940 | Rs 28,287 | Rs 1,347 | Rs 5,388 |
| Rs 47,600 | Rs 28,560 | Rs 29,988 | Rs 1,428 | Rs 5,712 |
| Rs 53,100 | Rs 31,860 | Rs 33,453 | Rs 1,593 | Rs 6,372 |
| Rs 56,100 | Rs 33,660 | Rs 35,343 | Rs 1,683 | Rs 6,732 |
Note: These are illustrative calculations based on the basic pay figures shown and four complete months of arrears. Actual payments may vary depending on the employee’s basic pay during the period and applicable payroll adjustments.
Note: These are illustrative calculations based on the basic pay figures shown and four complete months of arrears. Actual payments may vary depending on the employee’s basic pay during the period and applicable payroll adjustments.
DA Hike: How Much Extra Money Will Employees Get?
For an employee with a basic salary of Rs 18,000, the monthly DA will increase from Rs 10,800 to Rs 11,340. This translates into an additional Rs 540 per month and estimated arrears of Rs 2,160 for July to October.
Similarly, an employee with a basic salary of Rs 29,200 will see monthly DA rise from Rs 17,520 to Rs 18,396. The monthly increase will be Rs 876, taking the additional DA for four months to Rs 3,504.
For employees earning Rs 56,100 in basic pay, monthly DA will increase from Rs 33,660 to Rs 35,343. The monthly benefit will be Rs 1,683, while the illustrative arrears for the four-month period will amount to Rs 6,732.
These amounts represent the additional DA payable, not the employee’s total salary or final take-home pay.
Who Will Benefit From The DA Hike?
The DA hike will benefit about 48.54 lakh central government employees and 68.71 lakh pensioners. While serving employees receive dearness allowance, pensioners receive dearness relief (DR). The Cabinet has also approved a 3-percentage-point increase in DR, raising the rate from 60% to 63% of the basic pension with effect from July 1, 2026.
The government said the combined annual impact of the DA and DR increases on the exchequer would be Rs 10,016.10 crore.
The latest revision follows the DA calculation formula based on the recommendations of the 7th Central Pay Commission. The allowance is revised periodically to help government employees and pensioners cope with rising prices.
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Ask News18The Union Cabinet approved a 3% hike in dearness allowance (DA) for central government employees, raising it from 60% to 63% of basic pay effective from July 1, 2026.
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Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalis…Read More
October 29, 2026, 12:42 IST
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