DA Hike Calculations: Dearness allowance (DA) is an effective tool for helping central government employees to adjust their basic pay to adjust to rising inflation. The government raises the DA rate twice a year. For January 2025, it was 2 per cent, when DA rose from 53 per cent to 55 per cent. For July, it is all set to be 3 per cent after the June data of the All India Consumer Price Index for Industrial Workers (AICPI-IW) is out. The June data reading is 145, which makes the 12-month data average 143.6. Calculated from the DA formula, the DA rise is all set to be 58.18 per cent, or 58 per cent in terms of rise. The increased DA will be reflected in the salaries once the central government announces it officially. The announcements mostly come during festivals and may happen around Diwali in October.
But how is DA calculated, and after the DA hike, what can be the expected monthly pay rise for employees with basic pays in the Rs 20,000-Rs 1,50,000 range? See our estimates to know-
AICPI-IW reading for last 12 months
The 12-month average is 143.57.
DA calculation formula
DA (%) = [(CPI-IW average × 2.88) – 261.42] ÷ 261.42 × 100
CPI-IW average is the 12-month average of AICPA -IW data
261.42 is the base value for the year 2016 (7th Pay Commission).
It is the 12-month average of AICPA-IW average from January 2015 to 2016.
2.88 is the multiplier the Labour Bureau of the finance ministry issued in October 2020 while launching the revised AICPI-IW index.
DA for July 2025 (projected)
Dearness allowance for July 2025 (DA) = [(143.57 × 2.88) – 261.42] ÷ 261.42 × 100
= (413.48 – 261.42) ÷ 261.42 × 100
= 152.06 ÷ 261.42 × 100
= 58.17%
How 58% DA may revise basic pay
We are calculating how much increase employees with basic pay of Rs 20,000 to Rs 1,50,000 will see their salary rise if DA increases from 55 per cent to 58 per cent.
Expected DA rise at Rs 20,000-Rs 40,000 basic salary
| Basic pay |
Salary at 55% DA |
Salary at 58% DA |
Estimated monthly rise |
| ₹20,000 |
₹31,000 |
₹31,600 |
₹600 |
| ₹21,000 |
₹32,550 |
₹33,180 |
₹630 |
| ₹22,000 |
₹34,100 |
₹34,760 |
₹660 |
| ₹23,000 |
₹35,650 |
₹36,340 |
₹690 |
| ₹24,000 |
₹37,200 |
₹37,920 |
₹720 |
| ₹25,000 |
₹38,750 |
₹39,500 |
₹750 |
| ₹26,000 |
₹40,300 |
₹41,080 |
₹780 |
| ₹27,000 |
₹41,850 |
₹42,660 |
₹810 |
| ₹28,000 |
₹43,400 |
₹44,240 |
₹840 |
| ₹29,000 |
₹44,950 |
₹45,820 |
₹870 |
| ₹30,000 |
₹46,500 |
₹47,400 |
₹900 |
| ₹31,000 |
₹48,050 |
₹48,980 |
₹930 |
| ₹32,000 |
₹49,600 |
₹50,560 |
₹960 |
| ₹33,000 |
₹51,150 |
₹52,140 |
₹990 |
| ₹34,000 |
₹52,700 |
₹53,720 |
₹1,020 |
| ₹35,000 |
₹54,250 |
₹55,300 |
₹1,050 |
| ₹36,000 |
₹55,800 |
₹56,880 |
₹1,080 |
| ₹37,000 |
₹57,350 |
₹58,460 |
₹1,110 |
| ₹38,000 |
₹58,900 |
₹60,040 |
₹1,140 |
| ₹39,000 |
₹60,450 |
₹61,620 |
₹1,170 |
| ₹40,000 |
₹62,000 |
₹63,200 |
₹1,200 |
Expected DA rise at Rs 41,000-Rs 60,000 basic salary
| Basic pay |
Salary at 55% DA |
Salary at 58% DA |
Estimated monthly rise |
| ₹41,000 |
₹63,550 |
₹64,780 |
₹1,230 |
| ₹42,000 |
₹65,100 |
₹66,360 |
₹1,260 |
| ₹43,000 |
₹66,650 |
₹67,940 |
₹1,290 |
| ₹44,000 |
₹68,200 |
₹69,520 |
₹1,320 |
| ₹45,000 |
₹69,750 |
₹71,100 |
₹1,350 |
| ₹46,000 |
₹71,300 |
₹72,680 |
₹1,380 |
| ₹47,000 |
₹72,850 |
₹74,260 |
₹1,410 |
| ₹48,000 |
₹74,400 |
₹75,840 |
₹1,440 |
| ₹49,000 |
₹75,950 |
₹77,420 |
₹1,470 |
| ₹50,000 |
₹77,500 |
₹79,000 |
₹1,500 |
| ₹51,000 |
₹79,050 |
₹80,580 |
₹1,530 |
| ₹52,000 |
₹80,600 |
₹82,160 |
₹1,560 |
| ₹53,000 |
₹82,150 |
₹83,740 |
₹1,590 |
| ₹54,000 |
₹83,700 |
₹85,320 |
₹1,620 |
| ₹55,000 |
₹85,250 |
₹86,900 |
₹1,650 |
| ₹56,000 |
₹86,800 |
₹88,480 |
₹1,680 |
| ₹57,000 |
₹88,350 |
₹90,060 |
₹1,710 |
| ₹58,000 |
₹89,900 |
₹91,640 |
₹1,740 |
| ₹59,000 |
₹91,450 |
₹93,220 |
₹1,770 |
| ₹60,000 |
₹93,000 |
₹94,800 |
₹1,800 |
Expected DA rise at Rs 61,000-Rs 80,000 basic salary
| Basic pay |
Salary at 55% DA |
Salary at 58% DA |
Estimated monthly rise |
| ₹61,000 |
₹94,550 |
₹96,380 |
₹1,830 |
| ₹62,000 |
₹96,100 |
₹97,960 |
₹1,860 |
| ₹63,000 |
₹97,650 |
₹99,540 |
₹1,890 |
| ₹64,000 |
₹99,200 |
₹101,120 |
₹1,920 |
| ₹65,000 |
₹100,750 |
₹102,700 |
₹1,950 |
| ₹66,000 |
₹102,300 |
₹104,280 |
₹1,980 |
| ₹67,000 |
₹103,850 |
₹105,860 |
₹2,010 |
| ₹68,000 |
₹105,400 |
₹107,440 |
₹2,040 |
| ₹69,000 |
₹106,950 |
₹109,020 |
₹2,070 |
| ₹70,000 |
₹108,500 |
₹110,600 |
₹2,100 |
| ₹71,000 |
₹110,050 |
₹112,180 |
₹2,130 |
| ₹72,000 |
₹111,600 |
₹113,760 |
₹2,160 |
| ₹73,000 |
₹113,150 |
₹115,340 |
₹2,190 |
| ₹74,000 |
₹114,700 |
₹116,920 |
₹2,220 |
| ₹75,000 |
₹116,250 |
₹118,500 |
₹2,250 |
| ₹76,000 |
₹117,800 |
₹120,080 |
₹2,280 |
| ₹77,000 |
₹119,350 |
₹121,660 |
₹2,310 |
| ₹78,000 |
₹120,900 |
₹123,240 |
₹2,340 |
| ₹79,000 |
₹122,450 |
₹124,820 |
₹2,370 |
| ₹80,000 |
₹124,000 |
₹126,400 |
₹2,400 |
Expected DA rise at Rs 81,000-Rs 1,00,000 basic salary
| Basic pay |
Salary at 55% DA |
Salary at 58% DA |
Estimated monthly rise |
| ₹81,000 |
₹125,550 |
₹127,980 |
₹2,430 |
| ₹82,000 |
₹127,100 |
₹129,560 |
₹2,460 |
| ₹83,000 |
₹128,650 |
₹131,140 |
₹2,490 |
| ₹84,000 |
₹130,200 |
₹132,720 |
₹2,520 |
| ₹85,000 |
₹131,750 |
₹134,300 |
₹2,550 |
| ₹86,000 |
₹133,300 |
₹135,880 |
₹2,580 |
| ₹87,000 |
₹134,850 |
₹137,460 |
₹2,610 |
| ₹88,000 |
₹136,400 |
₹139,040 |
₹2,640 |
| ₹89,000 |
₹137,950 |
₹140,620 |
₹2,670 |
| ₹90,000 |
₹139,500 |
₹142,200 |
₹2,700 |
| ₹91,000 |
₹141,050 |
₹143,780 |
₹2,730 |
| ₹92,000 |
₹142,600 |
₹145,360 |
₹2,760 |
| ₹93,000 |
₹144,150 |
₹146,940 |
₹2,790 |
| ₹94,000 |
₹145,700 |
₹148,520 |
₹2,820 |
| ₹95,000 |
₹147,250 |
₹150,100 |
₹2,850 |
| ₹96,000 |
₹148,800 |
₹151,680 |
₹2,880 |
| ₹97,000 |
₹150,350 |
₹153,260 |
₹2,910 |
| ₹98,000 |
₹151,900 |
₹154,840 |
₹2,940 |
| ₹99,000 |
₹153,450 |
₹156,420 |
₹2,970 |
| ₹100,000 |
₹155,000 |
₹158,000 |
₹3,000 |
Expected DA rise at Rs 1,01,000-Rs 1,20,000 basic salary
| Basic pay |
Salary at 55% DA |
Salary at 58% DA |
Estimated monthly rise |
| ₹101,000 |
₹156,550 |
₹159,580 |
₹3,030 |
| ₹102,000 |
₹158,100 |
₹161,160 |
₹3,060 |
| ₹103,000 |
₹159,650 |
₹162,740 |
₹3,090 |
| ₹104,000 |
₹161,200 |
₹164,320 |
₹3,120 |
| ₹105,000 |
₹162,750 |
₹165,900 |
₹3,150 |
| ₹106,000 |
₹164,300 |
₹167,480 |
₹3,180 |
| ₹107,000 |
₹165,850 |
₹169,060 |
₹3,210 |
| ₹108,000 |
₹167,400 |
₹170,640 |
₹3,240 |
| ₹109,000 |
₹168,950 |
₹172,220 |
₹3,270 |
| ₹110,000 |
₹170,500 |
₹173,800 |
₹3,300 |
| ₹111,000 |
₹172,050 |
₹175,380 |
₹3,330 |
| ₹112,000 |
₹173,600 |
₹176,960 |
₹3,360 |
| ₹113,000 |
₹175,150 |
₹178,540 |
₹3,390 |
| ₹114,000 |
₹176,700 |
₹180,120 |
₹3,420 |
| ₹115,000 |
₹178,250 |
₹181,700 |
₹3,450 |
| ₹116,000 |
₹179,800 |
₹183,280 |
₹3,480 |
| ₹117,000 |
₹181,350 |
₹184,860 |
₹3,510 |
| ₹118,000 |
₹182,900 |
₹186,440 |
₹3,540 |
| ₹119,000 |
₹184,450 |
₹188,020 |
₹3,570 |
| ₹120,000 |
₹186,000 |
₹189,600 |
₹3,600 |
Expected DA rise at Rs 1,21,000-Rs 1,40,000 basic salary
| Basic pay |
Salary at 55% DA |
Salary at 58% DA |
Estimated monthly rise |
| ₹121,000 |
₹187,550 |
₹191,180 |
₹3,630 |
| ₹122,000 |
₹189,100 |
₹192,760 |
₹3,660 |
| ₹123,000 |
₹190,650 |
₹194,340 |
₹3,690 |
| ₹124,000 |
₹192,200 |
₹195,920 |
₹3,720 |
| ₹125,000 |
₹193,750 |
₹197,500 |
₹3,750 |
| ₹126,000 |
₹195,300 |
₹199,080 |
₹3,780 |
| ₹127,000 |
₹196,850 |
₹200,660 |
₹3,810 |
| ₹128,000 |
₹198,400 |
₹202,240 |
₹3,840 |
| ₹129,000 |
₹199,950 |
₹203,820 |
₹3,870 |
| ₹130,000 |
₹201,500 |
₹205,400 |
₹3,900 |
| ₹131,000 |
₹203,050 |
₹206,980 |
₹3,930 |
| ₹132,000 |
₹204,600 |
₹208,560 |
₹3,960 |
| ₹133,000 |
₹206,150 |
₹210,140 |
₹3,990 |
| ₹134,000 |
₹207,700 |
₹211,720 |
₹4,020 |
| ₹135,000 |
₹209,250 |
₹213,300 |
₹4,050 |
| ₹136,000 |
₹210,800 |
₹214,880 |
₹4,080 |
| ₹137,000 |
₹212,350 |
₹216,460 |
₹4,110 |
| ₹138,000 |
₹213,900 |
₹218,040 |
₹4,140 |
| ₹139,000 |
₹215,450 |
₹219,620 |
₹4,170 |
| ₹140,000 |
₹217,000 |
₹221,200 |
₹4,200 |
Expected DA rise at Rs 1,41,000-Rs 1,50,000 basic salary
| Basic pay |
Salary at 55% DA |
Salary at 58% DA |
Estimated monthly rise |
| ₹141,000 |
₹218,550 |
₹222,780 |
₹4,230 |
| ₹142,000 |
₹220,100 |
₹224,360 |
₹4,260 |
| ₹143,000 |
₹221,650 |
₹225,940 |
₹4,290 |
| ₹144,000 |
₹223,200 |
₹227,520 |
₹4,320 |
| ₹145,000 |
₹224,750 |
₹229,100 |
₹4,350 |
| ₹146,000 |
₹226,300 |
₹230,680 |
₹4,380 |
| ₹147,000 |
₹227,850 |
₹232,260 |
₹4,410 |
| ₹148,000 |
₹229,400 |
₹233,840 |
₹4,440 |
| ₹149,000 |
₹230,950 |
₹235,420 |
₹4,470 |
| ₹150,000 |
₹232,500 |
₹237,000 |
₹4,500 |
(Disclaimer: These are projections. Actual revised payouts may vary.)
