Child Education Allowance (CEA) New Rates 2026: How to Claim ₹33,750 Per Child
Trending Utility | January 9, 2026
If you are a Central Government employee with school-going children, it’s time to check your 2026 entitlements. Under the existing rules, Child Education Allowance (CEA) and Hostel Subsidy rates increase automatically by 25% whenever Dearness Allowance (DA) crosses the 50% mark.
As of January 2026, with DA confirmed at 60%, the new rates have officially kicked in. Here is the breakdown of what you can claim this financial year.
New CEA & Hostel Subsidy Rates (Effective 2026)
| Allowance Type | Old Rate (Monthly) | New Rate 2026 (Monthly) | Annual Claim |
|---|---|---|---|
| CEA (Normal) | ₹ 2,250 | ₹ 2,812.50 | ₹ 33,750 |
| CEA (Divyang) | ₹ 4,500 | ₹ 5,625.00 | ₹ 67,500 |
| Hostel Subsidy | ₹ 6,750 | ₹ 8,437.50 | ₹ 1,01,250 |
How to Claim CEA in 2026: No Receipts Required?
Many employees are still confused about the documentation. As per the latest DoPT guidelines, you do not need individual fee receipts for uniforms, books, or shoes anymore.
The New Simplified Process:
- Submit a Bonafide Certificate from the Head of the Institution (School/College).
- The certificate must confirm that the child studied in the school during the previous academic year.
- Self-attested copies of the report card can also be used if the school certificate is delayed.
Important 2026 Rule:
CEA is admissible for the two eldest surviving children only. However, if the second birth results in twins or triplets, the allowance can be claimed for all three children.
Taxation on CEA (8th CPC Context)
Under the Old Tax Regime, you get a small exemption of ₹100 per month per child. However, since most employees are shifting to the New Tax Regime in 2026 due to the 8th Pay Commission salary hike, remember that CEA is fully taxable under the new regime. Factor this into your tax planning today.
Curious how your 8th CPC Salary looks with these allowances?