DA Arrear Calculator
Enter basic pay and DA rates,
then tap Calculate Arrears.
DA Arrear Calculator 2026 – Dearness Allowance Arrears for Central Government Employees
Every time the government raises Dearness Allowance (DA) or Dearness Relief (DR), the new rate applies from 1 January or 1 July, but the order usually comes two to three months later. The difference for those months is paid as DA arrears. This free DA arrear calculator works out the exact arrears for each month from your basic pay, the old and new DA rates, the effective month and the month from which the new rate is paid – including the DA on Transport Allowance that many calculators forget, and changes in basic pay due to annual increment or promotion.
It works for Central Government employees and pensioners under the 7th Pay Commission, and also for state government, PSU and autonomous body employees who follow the central DA pattern. The current DA is 60% of basic pay from 1 January 2026.
How to Use the DA Arrear Calculator
- Choose employee or pensioner. Employees get DA; pensioners get Dearness Relief (DR) on basic pension.
- Enter your basic pay (or basic pension) as shown on the pay slip.
- Enter the old and new DA rates – for the January 2026 hike, 58% and 60%.
- Select the effective month (January or July) and the month from whose salary the new rate is paid. The months in between are the arrear months.
- Select your Transport Allowance – DA is also paid on TA, so the arrears include it.
- Tick the increment box if your basic pay changed during the arrear period, for example the annual increment on 1 July.
- Tap "Calculate Arrears" to see total arrears, the monthly increase and a month-wise table.
DA Arrear Formula
Monthly arrear = (Basic pay + TA) × (New DA% − Old DA%) ÷ 100
Total arrears = the sum of the monthly arrears for all months from the effective date until the month before the new rate is paid in salary. For pensioners, DR arrears = Basic pension × (New DR% − Old DR%) ÷ 100 for each month.
Example – DA Hike from 58% to 60% (January 2026)
The 2% DA hike effective from 1 January 2026 was approved by the Union Cabinet in April 2026. If the new rate is paid from the April salary, arrears are due for January, February and March 2026. For an employee at Level 6 with a basic pay of ₹35,400 and Transport Allowance of ₹1,800:
- DA arrear on basic = ₹35,400 × 2% = ₹708 per month
- DA arrear on TA = ₹1,800 × 2% = ₹36 per month
- Monthly arrear = ₹744 → total arrears for 3 months = ₹2,232
| Basic pay | Monthly DA arrear (2%) | 3 months (Jan–Mar 2026) |
|---|---|---|
| ₹18,000 (Level 1) | ₹360 | ₹1,080 |
| ₹25,500 (Level 4) | ₹510 | ₹1,530 |
| ₹35,400 (Level 6) | ₹708 | ₹2,124 |
| ₹56,100 (Level 10) | ₹1,122 | ₹3,366 |
| ₹78,800 (Level 12) | ₹1,576 | ₹4,728 |
The table shows DA on basic pay only; add DA on your Transport Allowance using the calculator.
DA Rates Under the 7th Pay Commission
| Effective from | DA / DR rate | Increase |
|---|---|---|
| 1 January 2022 | 34% | +3% |
| 1 July 2022 | 38% | +4% |
| 1 January 2023 | 42% | +4% |
| 1 July 2023 | 46% | +4% |
| 1 January 2024 | 50% | +4% |
| 1 July 2024 | 53% | +3% |
| 1 January 2025 | 55% | +2% |
| 1 July 2025 | 58% | +3% |
| 1 January 2026 | 60% | +2% |
The next revision is due from 1 July 2026 and is normally announced around October. When it is declared, enter 60% as the old rate, the new rate, July 2026 as the effective month and the payment month to calculate your arrears.
If the July 2026 DA Hike Is 3%
Expectations for the DA revision effective from 1 July 2026 are around 3%, taking DA from 60% to 63%, but it is not official until the Cabinet approves it. If it is 3% and paid from the October salary, arrears would cover July, August and September:
| Basic pay | Monthly increase (3%) | Arrears for 3 months |
|---|---|---|
| ₹18,000 | ₹540 | ₹1,620 |
| ₹25,500 | ₹765 | ₹2,295 |
| ₹35,400 | ₹1,062 | ₹3,186 |
| ₹56,100 | ₹1,683 | ₹5,049 |
| ₹78,800 | ₹2,364 | ₹7,092 |
Remember that the annual increment on 1 July also raises the basic pay used for the arrears. Tick the increment option in the calculator and enter your new basic pay for an exact figure.
How DA Arrears Are Paid
After the Department of Expenditure issues the office memorandum, each ministry and department implements the new rate in its payroll. Employees usually receive the arrears as a separate line in the salary for the month of implementation, while pensioners get the DR arrears from their pension-disbursing bank or through the SAMPANN system for telecom pensioners. State government employees receive DA hikes only when their own government issues orders, which can be at a different time and rate.
How DA Is Decided
DA is linked to the All India Consumer Price Index for Industrial Workers (AICPI-IW), published every month by the Labour Bureau. Under the 7th CPC formula, the average index of the last 12 months is compared with the base, and the resulting percentage (ignoring fractions) becomes the DA rate. The Union Cabinet approves the hike, and the Department of Expenditure issues the office memorandum. Dearness Relief for pensioners is increased by the same percentage.
Transport Allowance Rates (7th CPC)
| Pay level | Higher TPTA cities | Other places |
|---|---|---|
| Level 9 and above | ₹7,200 + DA | ₹3,600 + DA |
| Level 3 to 8 | ₹3,600 + DA | ₹1,800 + DA |
| Level 1 and 2 | ₹1,350 + DA | ₹900 + DA |
Higher TPTA (Transport Allowance) cities include Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune, Ahmedabad and other notified urban agglomerations. Because DA is added to TA, every DA hike also increases TA.
Is DA Arrear Taxable?
Yes. DA and its arrears are part of salary and are taxable in the year in which they are received. If arrears relating to an earlier financial year push you into a higher tax bracket, you can claim relief under the income tax rules by filing Form 10E before filing your return. HRA is not affected by DA changes, except when DA crosses the thresholds of 25% and 50%, which triggered HRA revisions under the 7th CPC.
Frequently Asked Questions
How is DA arrear calculated?
Monthly arrear = Basic pay × (new DA% − old DA%) ÷ 100, plus the same percentage on Transport Allowance. Multiply by the number of months from the effective date until the new rate is paid.
What is the current DA rate for central government employees?
DA is 60% of basic pay with effect from 1 January 2026.
How many months of arrears do I get for a January DA hike?
It depends on when the order is implemented. If the new rate is paid from the April salary, you get arrears for January, February and March – three months.
Is DA paid on Transport Allowance?
Yes. Under the 7th CPC, Transport Allowance is paid with DA on it, so a DA hike also creates arrears on TA.
Do pensioners get DR arrears?
Yes. Dearness Relief is increased by the same percentage from the same date, and arrears are paid on basic pension (including additional pension for older pensioners).
When is the July 2026 DA hike expected?
DA hikes effective from July are usually announced around October, with arrears for July to September paid along with the salary of the month of implementation.
Is this calculator official?
No. It is a free tool based on the standard formula. The final amount is computed by your Drawing and Disbursing Officer or pension disbursing bank.
Sources: Department of Expenditure, Ministry of Finance – DA office memoranda; 7th CPC Transport Allowance orders; Labour Bureau AICPI-IW.