A House Rent Allowance (HRA) Exemption Calculator

by Vinaya HS on December 28, 2009

in Finance

Thanks for visiting Capital Advisor. I frequently update this blog to cover various topics on personal finance such as investment strategies, financial products that you should buy and ones that you really should stay away from, financial calculators, emerging themes such as early retirement and financial independence, and much more. You can Subscribe through Email and receive new articles directly in your Inbox or you can Subscribe through the RSS Feed and receive new articles in your feed reader.

As a follow-up to my wayback post on calculating the income tax exemption on house rent allowance, here’s a simple calculator that tells you how much income tax exemption you can get through the house rent allowance component of your salary.

You can also use this calculator to test various scenarios and ask your employer to structure your salary accordingly.

Download the House Rent Allowance (HRA) Exemption Calculator.




Thanks for reading this article. I'd love to hear your opinion. Please use the comments section below to share your thoughts. I frequently write new articles that also cover several other aspects of personal finance including credit cards, financial goals, health insurance, income tax, life insurance, mutual funds, retirement planning, and much more. You can Subscribe through Email and receive new articles directly in your Inbox or you can Subscribe through the RSS Feed and receive new articles in your feed reader.

{ 24 comments… read them below or add one }

Anoop December 28, 2009 at 2:54 PM

This is cool very helpful.

Anonymous December 28, 2009 at 8:08 PM

Good Job :)

Rajesh January 4, 2010 at 12:25 PM

It seems that the calculation is wrong for Figure #2 Actual house rent paid by you less 10% of your basic salary; here 10% has been reduced for only one month; not for 12 months i.e. it should be (10% per month) *12.

Anonymous January 4, 2010 at 5:46 PM
Vinaya HS January 5, 2010 at 11:27 AM

Rajesh,

Thanks for pointing out the error. I have corrected the worksheet accordingly.

ashok shendge January 9, 2010 at 12:25 PM

Thanks for giving help H.R.A. CALCULTIONA in income tax.

Anonymous January 11, 2010 at 4:35 PM

what is the definition of salary after the implementation of 6th pay commission is it only basic pay grade pay or is it basic pay grade pay and non practicing allowance please clarify

Assunta January 11, 2010 at 4:36 PM

let me know the definition of salary is it basic pay grade pay only or basic pay grade pay and non practicing allowance

Pranab January 22, 2010 at 5:54 PM

Thanks a lot… I was bit confused with the HRA calculation. Now its clear. Thanks a lot.

sk February 6, 2010 at 5:12 PM

its most helpfull

akd March 22, 2010 at 11:33 AM

Hi, could you please let me know how HRA is to be calculated – My basic pay (consolidated pay) is 48000, the employer do not give any HRA neither do they deduct any TDS. I have paid advance tax but I have no idea how to calculate HRA.
Thanks in advance.

akd March 22, 2010 at 11:35 AM

I pay a rent of 12000 pm

akd March 22, 2010 at 11:43 AM

I went through your HRA calculator- but because my employer does not give me a HRA- the calculator shows HRA as Zero.
I want to know if there is provision for a person getting a consolidated salary to get an exemption for the rent we pay?
Thanks once again

Santhosh Kumar April 10, 2010 at 12:17 PM

i want to know how to caculate HRA from salary, i need a breakup with example.

Thanks

Kungfu Chandran April 15, 2010 at 12:51 PM

Awsome Dude

Ajay May 15, 2010 at 1:05 PM

Thanks a lot… I was bit confused with the HRA calculation. Now its clear. Thanks a lot.

kamal sharma May 20, 2010 at 3:29 PM

i want of know if tds certificate issued two time to a party but should be the rectification

SHAILENDRA June 19, 2010 at 4:33 PM

WHAT IS THE ACTUAL RENT PAID DEFINATION

RENT PAID BY EMPLOYEE TO LAND LOARD
OR RENT RECEIVED FROM EMPLOYER

Parmod Singh July 2, 2010 at 5:51 PM

How to calculate the 10% of salary for 3 point

pls help to the calculation

divya August 4, 2010 at 4:17 PM

its really helpfull for calculating taxes

raj September 14, 2010 at 2:23 PM

Hello

I am the Govt. Employee in a University. Can I claim the HRA benefit, if the house is in my wife’s name? Is there any rule that I may get the rent receipt from my wife.

Kindly reply. My e-mail ID is rajgod10@yahoo.in

Thanks & regards.

Pramil Chaudhary September 17, 2010 at 3:59 PM

Thanks a lots dear, its very helpful…..

Jainil Shah October 15, 2010 at 9:41 AM

I am salarised employee. My texable salary is Rs. 50,000. also i am living as a paying guest. can i take benefit of HRA (House Rent allowance) deduction from the tax.

Please advise to act ahead.

mahesh C December 2, 2010 at 12:28 PM

Dear Sir,
I am an accountant in Pvt.Ltd.Co I want to know how to calculate exemption from salary income of employee who pay House Rent individually? in our organisation employee get consolidated Salary nobody get any HRA allowances So please let me know how can I give them deduction from there salary Income as I want to give them Form 16.

Previous post:

Next post: