Home Rent Allowance is paid against housing cost to government employees who do not live in any government accommodation.
The central government has divided Indian cities into three classes to calculate HRA – X, Y and Z class cities.
Transport allowance is given to government employees for commuting from residence to office. This is the only allowance on which DA is paid.
Travelling Allowance is given to a government employee in lieu of expenditure on travel for any official purpose i.e. for office work.
Leave Travel Concession is given to Central Government employees for traveling to their homes or to different parts of the country.
Children Education Allowance is provided for the schooling and hostel requirement of the children. It is given only for two children up to 12th standard.
Apart from these major allowances, there are many other types of allowances such as Newspaper Allowance, Briefcase Allowance, Uniform Allowance etc.
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