7th Pay Commission’s latest news today: For central government employees; dearness allowance is likely to be increased from the current 17 percent to 28 percent; (17 percent plus 3 percent from January to June 2020) and 4 percent from July to December 2020. is. And a 4 percent DA increase is expected from January to June 2021).
7th Pay Commission’s latest news today
For central government employees; dearness allowance is likely to be increased from the current 17 percent to 28 percent (17 percent plus 3 percent from January to June 2020); and 4 percent from July to December 2020. is. And a 4 percent DA increase is expected from January to June 2021). Critically, this increase in DA will have a direct impact on their provident fund (PF); and gratuity contributions along with the monthly salary.
7th CPC: PF calculation
The good news was explained in a simple way; Speaking on how the monthly PF and gratuity of central government employees will change after DA reinstatement; Karthik Jhaveri, director – wealth management, said in Transned Consultants; “Central government employees’ monthly The decision was made on the basis of provident fund (PF) contribution and gratuity basic salary plus DA. Since, DA will increase, PF and gratuity calculation is bound to go up as per the increase in DA. “
Central Government Employees Provident Fund (PF) Contribution Rules
Jhaveri said that the PF contribution rule allows up to 12 percent of one’s DA plus basic salary. if the central government employees DA increases from the current 17 percent to 28 percent; their PF and gratuity contribution will also increase in the same way.
Seventh Pay Commission gratuity hike
The gratuity contribution of Central Government Employees (CGS) is calculated on the basis of basic salary and dearness allowance (DA). Since the DA for CGS will increase from the current 17 per cent to around 28 per cent from July; contribution of monthly gratuity is bound to jump in that case as well.
7th Pay Commission: Traveling Allowance (TA)
Central Government Employees Travel Allowance (TA) will increase as DA increases. TA is also expected to jump in view of DA increase from 17 percent to 28 percent from July 2021.
7th Pay Commission: DR benefits for pensioners
Central government pensioners DR benefit is directly associated with DA increase of central government employees the expected DA increase in July 2021 is expected to increase in the same way in monthly pension.