HRA CITY LIST & RATES 2026
X, Y, Z Class Upgradation & 8th CPC Hike
(HRA Rates: Kya Aapka Shehar List Mein Hai?)
As of January 2026, with the Dearness Allowance (DA) crossing the 50% mark, the House Rent Allowance (HRA) has automatically revised to the ceiling rates of 30%, 20%, and 10%. The 8th Pay Commission is now reviewing demands to upgrade rapidly developing Tier-2 cities into higher categories.
HINDI UPDATE (SARAL BHASHA MEIN):
HRA Kya Hai? Yeh wo allowance hai jo sarkar aapko kiraye ke ghar mein rehne ke liye deti hai.
Abhi Rate Kya Hai? January 2026 se, agar aap X Class shehar (jaise Delhi, Mumbai) mein hain, toh aapko Basic Pay ka 30% HRA milega. Y Class shehar mein 20% aur Z Class mein 10% milega.
Official City Classification 2026 (Projected)
| Category | Current HRA Rate | Key Cities (Udaharan) |
|---|---|---|
| X Class (Population > 50 Lakh) |
30% of Basic | Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Ahmedabad, Pune. |
| Y Class (Population 5-50 Lakh) |
20% of Basic | Jaipur, Lucknow, Patna, Kochi, Indore, Coimbatore, Nagpur, Surat, Ghaziabad. |
| Z Class (Population < 5 Lakh) |
10% of Basic | All other towns and rural areas not covered above. |
Cities Demanding Upgrade (Sambhavit Badlav)
Several cities have grown significantly since the 2011 Census. The 8th Pay Commission may upgrade the following:
- 🔼 To X Class: Surat and Jaipur (Strong demand due to metro expansion).
- 🔼 To Y Class: Large district headquarters previously in Z category.
Calculate your Total Gross Salary with 30% HRA!
🔍 Chief Editor’s Note (Negative Audit):
- Tax Trap: Under the New Tax Regime (Default), HRA is fully taxable. You get the money, but you pay tax on it. Tax exemption is only available in the Old Regime.
- Census Delay: City upgrades depend on Census data. Since Census 2021 was delayed, many deserving cities might stay in lower brackets until official data is released.
- Quarter Quota: If you accept Government Quarters, you forfeit 100% of your HRA.