House Rent and Compensatory Allowances Quiz
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Questions and Answers

What is the primary purpose of classifying localities into different categories like A-1, A, B-1, and B-2?

  • To determine salary increments for employees
  • For the allocation of compensatory (city) and house rent allowances (correct)
  • To assess the economic development of the regions
  • For the distribution of work responsibilities among employees
  • Which factor influences a Railway employee's eligibility for compensatory and house rent allowances?

  • Whether they have a family or not
  • Their educational qualifications
  • The distance between their residence and place of duty (correct)
  • The number of hours worked per week
  • What condition must be met for Railway employees residing outside the limits of a qualified city to receive house rent allowance?

  • Their place of duty must be within 8 kilometers of the city's periphery (correct)
  • Their residence must be 10 kilometers away from the city limits
  • They must submit a formal application for consideration
  • They must have been employed for more than five years
  • What is NOT a requirement for railway employees to receive compensatory allowances when residing outside the municipal limits?

    <p>Their place of duty should be in a rural area (D)</p> Signup and view all the answers

    Under which circumstances can an employee be denied compensatory (city) and house rent allowances?

    <p>If they are absent from duty during holidays (D)</p> Signup and view all the answers

    What is the primary purpose of the compensatory allowance according to the regulations?

    <p>To cover additional cost of living expenses (B)</p> Signup and view all the answers

    Under what condition can the President withdraw or reduce the compensatory allowance?

    <p>If circumstances justify such actions (C)</p> Signup and view all the answers

    What amount of compensatory allowance is granted for a Railway servant with a basic pay of Rs. 5000 stationed in an A-1 class city?

    <p>200 Rs. per month (D)</p> Signup and view all the answers

    Which of the following amounts corresponds to the Compensatory (City) Allowance for a pay range of Rs. 3000 to Rs. 4499 in class B-2 cities?

    <p>35 Rs. per month (B)</p> Signup and view all the answers

    What is the compensatory allowance amount for Railway servants stationed in class A cities earning below Rs. 3000 per month?

    <p>90 Rs. per month (A)</p> Signup and view all the answers

    As of the regulations cited, what threshold of basic pay qualifies for the maximum compensatory allowance in all classes of cities?

    <p>Rs. 6000 p.m and above (C)</p> Signup and view all the answers

    What classes of cities are defined under the compensatory (city) allowance regulations?

    <p>A-1, A, B-1, B-2 (A)</p> Signup and view all the answers

    What happens to the Compensatory (City) Allowance and House Rent Allowance during the joining time of a Railway employee?

    <p>They remain at the same rates as before transfer. (D)</p> Signup and view all the answers

    How is the Compensatory (City) Allowance determined for re-employed pensioners?

    <p>At the pay fixed on re-employment before pension deduction. (A)</p> Signup and view all the answers

    What additional stipulation applies when joining time is affixed to leave?

    <p>It adds to the 180-day period for certain calculations. (B)</p> Signup and view all the answers

    What happens to the allowances of a Railway employee undergoing training abroad?

    <p>They continue at rates from the station of origin. (B)</p> Signup and view all the answers

    During training in India that is treated as duty, what is true about Compensatory (City) Allowance and House Rent Allowance?

    <p>They are provided based on whichever place offers a better rate. (B)</p> Signup and view all the answers

    What is a requirement for a Railway employee to receive allowances during training abroad?

    <p>Production of certificates as prescribed. (C)</p> Signup and view all the answers

    If a re-employed pensioner's allowance is based on the pay ignoring the pension, how is it calculated?

    <p>Only the re-employment pay is considered. (D)</p> Signup and view all the answers

    How are allowances impacted if an employee is transferred and immediately takes leave?

    <p>They continue at the previous station's rates. (C)</p> Signup and view all the answers

    Which of the following is NOT a factor for determining allowances for a re-employed pensioner?

    <p>Previous employment duration. (A)</p> Signup and view all the answers

    What is required for a Railway employee to draw Compensatory (City) Allowance during a temporary transfer?

    <p>Certification that the employee will return to the same station. (C)</p> Signup and view all the answers

    What determines the rate of Compensatory (City) Allowance for a Railway employee on deputation abroad?

    <p>The rates admissible from the station where the employee proceeded abroad. (D)</p> Signup and view all the answers

    What happens if a Railway employee is on deputation abroad for over one year?

    <p>They can still receive allowances if their family stays at the last duty station. (D)</p> Signup and view all the answers

    In the case of a temporary transfer, what document must the Railway employee provide?

    <p>A certificate similar to one prescribed in Rule 1707. (A)</p> Signup and view all the answers

    If a Railway employee applies for family passage to a place of deputation abroad, what must happen with the allowances?

    <p>The allowances can continue until the family moves to the new location. (A)</p> Signup and view all the answers

    How is the eligibility for Compensatory (City) Allowance determined after a deputation initially set for one year is extended?

    <p>Eligibility continues until the extension orders are issued. (A)</p> Signup and view all the answers

    What is the implication of not providing the required certificate during deputation abroad?

    <p>The employee may have no entitlement to allowances. (C)</p> Signup and view all the answers

    If a Railway employee on deputation abroad wishes to claim allowances, what period is covered for those on a deputation not exceeding one year?

    <p>For the entire period of deputation. (C)</p> Signup and view all the answers

    What do employees need to do to draw Compensatory (City) Allowance after one year of deputation is extended?

    <p>They are required to furnish a new certificate as per Rule 1707. (A)</p> Signup and view all the answers

    What does 'pay' include according to the defined rules?

    <p>Pay, dearness allowance, and interim relief (D)</p> Signup and view all the answers

    In the context of the rules, how is 'rent' defined?

    <p>Charges for accommodation occupied by a Railway employee (C)</p> Signup and view all the answers

    What is excluded from the definition of 'family' for a Railway employee?

    <p>Parents with independent sources of income (D)</p> Signup and view all the answers

    According to the rules, which of the following is an example of 'running allowance'?

    <p>A payment included in the pay element for running staff (D)</p> Signup and view all the answers

    Which of the following best describes the term 'locality' as used in the rules?

    <p>The limits of the named municipality or corporation (C)</p> Signup and view all the answers

    What does the term 'interim relief' refer to in the context of pay?

    <p>A temporary raise based on inflation (B)</p> Signup and view all the answers

    Which condition must be met for a parent to be considered part of the 'family' of a Railway employee?

    <p>The parent's income must be below Rs. 250 per month (C)</p> Signup and view all the answers

    What additional payment can a Railway employee receive if they retain the pre-revised pay scale?

    <p>Dearness allowance and interim relief (C)</p> Signup and view all the answers

    Which of the following scenarios qualifies as 'rent' under the stated rules?

    <p>Paying fees for a boarding house arrangement (B)</p> Signup and view all the answers

    What additional elements are included in the pay for Running staff?

    <p>Specific pay elements determined by administrative orders (C)</p> Signup and view all the answers

    How is the rate of House Rent Allowance determined for a Railway servant stationed in a class B-1 city?

    <p>15% of actual basic pay drawn (B)</p> Signup and view all the answers

    What is required for a Railway servant residing in their own house to receive House Rent Allowance?

    <p>Certificate of contributing towards property maintenance (B)</p> Signup and view all the answers

    For which classification of cities is a Railway servant entitled to receive the highest House Rent Allowance percentage?

    <p>A-1 (A)</p> Signup and view all the answers

    In what situation can a Railway employee be granted a higher rate of Compensatory (City) Allowance than normal?

    <p>On providing special orders (D)</p> Signup and view all the answers

    Which factor does NOT determine the eligibility for House Rent Allowance for Railway servants?

    <p>The nature of the employment type (A)</p> Signup and view all the answers

    What percentage of actual basic pay drawn is prescribed for House Rent Allowance in unclassified cities?

    <p>5% (B)</p> Signup and view all the answers

    Which of the following correctly describes the limitation placed on the Compensatory (City) Allowance for railway servants who receive free boarding and lodging?

    <p>Limited to half of the specified amount (B)</p> Signup and view all the answers

    What is required for a Railway employee to continue receiving House Rent Allowance during temporary transfer?

    <p>The authority must certify the return to a duty station. (A)</p> Signup and view all the answers

    During a deputation exceeding one year, when does a Railway employee lose eligibility for Compensatory (City) Allowance?

    <p>When the family relocates from the last place of duty. (B)</p> Signup and view all the answers

    What occurs if a deputation abroad is initially planned for less than one year but is later extended?

    <p>The employee continues to receive allowances till the extension orders. (D)</p> Signup and view all the answers

    Which scenario does NOT require the submission of a specific certificate by the Railway employee?

    <p>Family passage to the foreign location. (C)</p> Signup and view all the answers

    What determines the rate of Compensatory (City) Allowance for a Railway employee on temporary transfer?

    <p>The employee's previous allowance rate before the transfer. (A)</p> Signup and view all the answers

    What condition applies when a Railway employee applies for family passage while on deputation abroad?

    <p>No refund of allowances is required up to a specific date. (D)</p> Signup and view all the answers

    Under which situation may a Railway employee NOT continue receiving Compensatory Allowance while on deputation abroad?

    <p>If they fail to provide the necessary certificate. (B)</p> Signup and view all the answers

    What must a Railway employee's authority sanction for receiving allowances during a temporary transfer?

    <p>A certificate of their future return plans. (B)</p> Signup and view all the answers

    For how long can an employee on deputation abroad for one year claim allowances?

    <p>Up until the completion of the one-year period. (C)</p> Signup and view all the answers

    What is included in the definition of 'pay' for Railway employees according to the rules?

    <p>Pay in the revised scale and running allowance for Running staff. (A)</p> Signup and view all the answers

    Which criterion disqualifies a relative from being considered a family member for a Railway employee?

    <p>Having an independent source of income exceeding Rs. 250 per month. (A)</p> Signup and view all the answers

    What does 'rent' encompass for a Railway employee living in their own house?

    <p>Rental charges as assessed for municipal purposes. (C)</p> Signup and view all the answers

    What additional payment does a Railway employee receive if they opt for the pre-revised scale of pay?

    <p>Interim relief and dearness allowance. (A)</p> Signup and view all the answers

    Which aspect of 'family' is excluded from consideration for Railway employees?

    <p>Parents with an independent income exceeding Rs. 250 monthly. (C)</p> Signup and view all the answers

    What is the effect of living in a hostel on a Railway employee's classification of 'rent'?

    <p>It counts as rent along with the charges paid for boarding. (A)</p> Signup and view all the answers

    What defines the limits of the locality for the application of the rules?

    <p>The named municipality, contiguous suburban areas, and notified zones. (A)</p> Signup and view all the answers

    What is a primary component of the 'running allowance' for Railway staff?

    <p>Pay attributed to the operational nature of their duties. (B)</p> Signup and view all the answers

    Which of the following statements accurately describes 'interim relief' in regards to pay?

    <p>A temporary financial aid given during pay scale transitions. (B)</p> Signup and view all the answers

    What is the maximum duration a Railway employee can draw allowances during leave before any conditions apply?

    <p>180 days (D)</p> Signup and view all the answers

    Under what circumstance can house rent allowance be drawn for a period beyond 8 months?

    <p>When the employee is suffering from T.B., Cancer or similar ailments (A)</p> Signup and view all the answers

    What allowance is a Railway employee entitled to during leave taken for medical reasons, in addition to house rent allowance?

    <p>Compensatory (City) Allowance (D)</p> Signup and view all the answers

    What criteria must be fulfilled for an employee's family member to share accommodation without sacrificing the house rent allowance eligibility?

    <p>Only one family member can receive the house rent allowance (C)</p> Signup and view all the answers

    If a Railway employee is suffering from a chronic illness and takes leave exceeding the standard duration, who has the authority to grant additional allowances?

    <p>The General Manager, subject to consultation (C)</p> Signup and view all the answers

    What is the effect on the House Rent Allowance when a Railway employee is transferred?

    <p>It remains unchanged from the previous station's rate. (C)</p> Signup and view all the answers

    When is a Railway employee entitled to receive Compensatory (City) Allowance during training abroad?

    <p>When they produce the required certificates from their previous station. (B)</p> Signup and view all the answers

    What condition applies when a Railway employee's training in India is treated as duty?

    <p>They receive compensatory allowances for the duration of training. (A)</p> Signup and view all the answers

    What occurs if a Railway employee is on leave during the joining time?

    <p>Joining time is added to the 180-day period specified in the regulations. (D)</p> Signup and view all the answers

    What impact does the allowance calculation have for re-employed pensioners whose pay is based on ignoring their pension?

    <p>Their re-employment pay only is used for allowances. (C)</p> Signup and view all the answers

    Which situation does NOT qualify for additional Compensatory Allowance during temporary transfers?

    <p>When the employee has been in the new position for more than a month. (C)</p> Signup and view all the answers

    What are the provisions regarding allowances for a Railway employee sent on duty abroad for training?

    <p>They can choose between allowances from their home station or abroad. (D)</p> Signup and view all the answers

    Flashcards

    Compensatory Allowance

    An allowance given to compensate for higher living costs in specific cities.

    City Class

    Categorization of cities based on costs of living, affecting the amount of Compensatory Allowance.

    Compensatory Allowance Rate

    The amount of the allowance, varying based on the employee's pay range and the city class.

    Basic Pay

    The foundational salary of a Railway employee, used to determine the Compensatory Allowance.

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    Pay Range (Basic Pay)

    Different salary brackets; each bracket results in different compensatory allowances.

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    Railway Employee Allowance

    These are allowances provided to employees of railways, to compensate for higher costs.

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    President's Power

    The President has the authority to adjust or remove the compensatory allowance if justified.

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    Compensatory Allowance During Joining

    A railway employee transferred to a new location continues to receive the same Compensatory Allowance they were getting at their previous station while joining their new post.

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    Joining Time and Leave

    If the employee's joining time falls within a leave period, the joining time is counted towards the 180-day allowance period mentioned in Rule 1707.

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    Allowance for Re-employed Pensioners (Initial Pay)

    When a pensioner is re-employed, their Compensatory Allowance and House Rent Allowance are calculated based on their new pay, excluding the non-ignorable part of their pension.

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    Allowance for Re-employed Pensioners (Full Pension)

    For re-employed pensioners whose initial pay ignores their full pension, allowances are calculated based on the pay received on re-employment, without adding the pension.

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    Allowance During Training Abroad

    A Railway employee on training abroad under government or non-official schemes receives Compensatory and House Rent Allowance at the rates they were getting at their previous station.

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    Allowance During Training in India

    A Railway employee undergoing training in India, considered as 'duty' under rule 103 (16), receives Compensatory and House Rent Allowance at the rates they were getting at either their training location or their home station, whichever is higher.

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    Proof Required for Allowance (Abroad)

    To receive allowances during training abroad, the employee needs to provide certificates similar to those required under Rule 1707 (iii).

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    Allowances for Training in India (Duty Period)

    Training in India is considered duty under rule 103 (16), so employees receive allowances for the entire training duration.

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    Favorable Allowance Rate (Domestic Training)

    Employees undergoing training in India can choose to receive allowance at the rate from their training location OR their home station, whichever is more beneficial.

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    Temporary Transfer Allowance

    A Railway employee on temporary transfer receives Compensatory (City) Allowance and House Rent Allowance at the same rate as before the transfer.

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    Temporary Transfer Condition

    To receive temporary transfer allowances, the employee must be certified likely to return to their original station or a station with similar allowances.

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    Deputation Allowance

    Railway employees on deputation abroad receive Compensatory (City) Allowance and House Rent Allowance at the same rate as their last station in India.

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    Deputation Duration Allowance

    If deputation abroad is less than a year, allowances are paid for the full period. For longer deputation, allowances are paid until the employee's family leaves India.

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    Family Passage Allowance

    If an employee requests family passage abroad or transfer allowance for their family's journey, they don't have to refund allowances received until their family leaves India.

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    Deputation Extension Allowance

    If a deputation initially planned for less than a year gets extended, allowances are paid until the extension order is issued.

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    Deputation Extension Beyond 1 Year

    After deputation abroad is extended beyond one year, allowances are paid as per the rules for deputation exceeding one year.

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    Certificate Requirement

    To receive these allowances, Railway employees must provide specific certificates confirming their circumstances related to the transfer or deputation.

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    Rule 1707 (iii)

    This rule outlines the specific requirements for the certificate regarding an employee's likelihood of returning to their original station or a station with similar allowances.

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    Rule 1707 (ii)

    This rule outlines the specific requirements for the certificate regarding an employee's family residing at their last duty station in India.

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    What is included in 'Pay' for railway employees?

    'Pay' includes basic salary, stagnation increment, non-practising allowance, dearness allowance, interim relief, and the pay element in running allowance.

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    What is considered 'Rent' for railway employees?

    'Rent' includes charges paid for accommodation, rental value of a self-owned house, and charges paid for hostels, boarding houses, or paying guest arrangements.

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    What is the definition of 'Family' for railway employees?

    'Family' includes a railway employee's wife/husband, children, and other dependent persons residing with them. A dependent person with an independent income exceeding Rs. 250 per month is not considered family.

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    Where do these rules apply?

    These rules apply within the limits of named municipalities or corporations, including contiguous suburban municipalities, notified areas, or cantonments.

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    What is 'Stagnation Increment?'

    A periodic increment in pay given even when an employee is not promoted, to prevent their pay from stagnating.

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    What is 'Non-Practising Allowance?'

    An allowance given to railway employees when they are temporarily unable to perform their regular duties due to illness, injury, or other reasons.

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    What is 'Dearness Allowance?'

    An allowance to compensate for inflation and the rising cost of living.

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    What is 'Interim Relief?'

    A temporary allowance provided during periods of wage negotiations or before permanent changes in pay are implemented.

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    What is 'Running Allowance?'

    An allowance paid to railway employees who are involved in running trains or performing other operational duties requiring travel.

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    What is 'Running Staff?'

    Railway employees who are directly involved in the operation of trains or other railway services.

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    City Limits and Allowances

    The State Government can modify the boundaries of a city, and these changes will automatically affect the Compensatory (City) and House Rent Allowances for railway employees working there.

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    Employee Eligibility for City Allowances

    A railway employee working within the qualifying limits of a city is eligible for both Compensatory (City) and House Rent Allowances, regardless of their residence location.

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    House Rent Allowance Proximity Rule

    Railway employees working within 8 kilometers of a qualified city's border, but residing outside, can still receive the city's House Rent Allowance rate if certain conditions are met.

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    Proximity Rule Conditions

    To get House Rent Allowance at the city rate, the employee must be within 8 kilometers of the city border, no other municipality within that radius, and the area must depend on the city for essential supplies.

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    Essential Supplies and House Rent

    If an area relies heavily on a qualified city for essential resources, railway employees there can receive the city's House Rent Allowance even if they reside outside the city limits.

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    Who gets half the Compensatory (City) Allowance?

    Railway employees who are provided free boarding and lodging as a condition of their employment.

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    What is the key factor for getting Compensatory (City) Allowance?

    The location of the employee's place of duty must be within the designated qualifying area of the station for which the allowance is prescribed.

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    How much is House Rent Allowance (HRA)?

    HRA rates vary based on the city's classification: A-1 (30%), A (15%), B-1 (15%), B-2 (15%), C (7.5%), Unclassified (5%) of actual basic pay.

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    Who is eligible for HRA?

    All railway employees (except those provided with government accommodation) are eligible for HRA regardless of the rent paid, but they need to prove they incur some expenditure on rent.

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    What's the difference between HRA for city classification and special orders?

    Railway employees receiving HRA under special orders continue to receive the specified rate for A-1, A, B-1, or B-2 cities until further notice.

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    What is the purpose of Compensatory (City) Allowance?

    To compensate railway employees for the higher cost of living in certain designated cities.

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    What is the connection between the city's classification and HRA?

    The classification of a city determines the percentage of basic pay that is used to calculate an employee's House Rent Allowance.

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    Joining Time Allowance

    When a Railway employee is transferred, they continue receiving their Compensatory (City) Allowance and House Rent Allowance at the same rates they were getting at their previous location during the joining period.

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    Re-employed Pensioner's Allowance

    When a pensioner is re-employed, their Compensatory (City) Allowance and House Rent Allowance are calculated based on their new pay, excluding the non-ignorable part of their pension.

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    Who gets HRA?

    All Railway employees, except those provided with government accommodation, are eligible for House Rent Allowance (HRA).

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    What is HRA based on?

    House Rent Allowance (HRA) is calculated as a percentage of an employee's basic pay, with the percentage varying based on the city's classification.

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    When is Compensatory Allowance paid?

    Compensatory (City) Allowance is paid to Railway employees working within the designated qualifying area of the station for which the allowance is prescribed.

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    What determines the HRA rate?

    The classification of a city (A-1, A, B-1, B-2, C, Unclassified) determines the percentage of basic pay that is used to calculate an employee's House Rent Allowance (HRA).

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    What's the difference between HRA based on city classification and special orders?

    Railway employees receiving HRA under special orders continue to receive the specified rate for A-1, A, B-1, or B-2 cities until further notice.

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    Temporary Transfer Criteria

    To get allowances during temporary transfer, the employee must be certified likely to return to their original station or a station with similar allowances.

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    Deputation Abroad Allowance

    Railway employees on deputation abroad receive Compensatory (City) and House Rent Allowance at the rate of their last station in India, with variations based on deputation duration.

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    Deputation Duration and Allowance

    If deputation abroad is less than a year, allowances are paid for the full period. For longer deputation, allowances are paid until the employee's family leaves India.

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    Family Passage and Allowance

    If an employee requests family passage abroad or transfer allowance for their family's journey, they don't have to refund allowances received until their family leaves India.

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    Certificate Requirement for Allowances

    To receive allowances for temporary transfer or deputation, Railway employees must provide specific certificates confirming their circumstances related to the transfer or deputation.

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    Study Notes

    House Rent and Compensatory Allowances

    • Compensatory allowance is regulated so it doesn't profit the recipient
    • President can withdraw or reduce allowance if circumstances warrant
    • Allowance can be granted by general or special orders, with conditions outlined in those orders
    • Allowances for classes of cities (A-1, A, B-1, B-2) are detailed with pay ranges and associated amounts
    • Allowance is limited to 50% for those with free boarding and lodging
    • Allowance applies to those stationed in a qualifying area

    House Rent Allowance

    • Defined rates for House Rent Allowance (HRA) for different city classes (A-1, A, B-1, B-2, C, Unclassified)
    • HRA is based on a percentage of actual basic pay.
    • HRA is available even if employee doesn't pay rent directly or has government-owned accommodation; subject to fulfilling specific conditions
    • Employee receives HRA for own house if contributing rent or property/maintenance taxes
    • Definition of "rent" includes accommodation costs for various living arrangements (hostels, boarding, tenant)
    • Definition of "family" includes wife/husband, children living with the employee, other dependents who depend on the employee's income, if below a certain amount
    • Allowances apply to employees whose workplace is within a city's limits, regardless of residence
    • HRA eligibility for employees near cities, but outside city limits, under specific conditions and distance

    Special Considerations for Allowances

    • Allowance for periods of leave (180 days maximum, extendable in certain circumstances)
    • Allowance during training abroad or temporarily transferred, with some specific conditions
    • Allowances for re-employed pensioners, calculated on initial pay
    • Allowance during periods specially treated as duty
    • Exceptions to allowance rules for certain designated employees with specifics outlined in the document

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    Description

    Test your understanding of House Rent and Compensatory Allowances regulations. This quiz covers important details about eligibility, allowance percentages, and classifications based on city categories. Prepare to answer questions regarding the conditions and calculations of these allowances.

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