HRA Calculator

By ScaleSaathi Editorial · Updated 23 October 2026 · Facts checked against the Income Tax Department and CBDT

How to use this HRA calculator

1. Enter monthly basic, DA and any turnover-based commission — the three items that make “salary” under Rule 2A.
2. Enter HRA received and rent paid for the same period.
3. Set how many months in FY 2026-27 these figures cover (use less than 12 if you changed jobs or cities mid-year).
4. Pick metro or non-metro. Metro is only Mumbai, Delhi, Kolkata or Chennai.
5. Read the least of three breakdown, taxable HRA, and any landlord-PAN note. Print or copy the result. Make matching receipts with the rent receipt generator.

How HRA exemption is calculated (Rule 2A)

The exempt amount is the least of:

1. Actual HRA received for the period;
2. Rent paid minus 10% of salary for the period;
3. 50% of salary if you live in a metro city, otherwise 40% of salary.

Salary here means basic + dearness allowance (if it counts for retirement benefits) + commission based on a fixed percentage of turnover. If rent is not more than 10% of salary, the second limit is zero and the exemption is zero.

Worked examples (FY 2026-27)

Metro, excess rent is least: Basic ₹40,000, HRA ₹25,000, rent ₹22,000, 12 months in Delhi. Salary ₹4,80,000. Limits: HRA ₹3,00,000; rent − 10% = ₹2,16,000; 50% = ₹2,40,000. Exempt ₹2,16,000. Taxable HRA ₹84,000.

Non-metro, 40% is least: Same numbers in Pune. 40% of salary = ₹1,92,000. Exempt ₹1,92,000. Taxable HRA ₹1,08,000.

Rent below 10% of salary: Basic ₹50,000, HRA ₹20,000, rent ₹4,000. Excess rent is zero, so exempt ₹0 even though you receive HRA.

Old regime only

HRA exemption under Section 10(13A) is available only under the old tax regime. Under the new regime, HRA is fully taxable. Use this number when comparing regimes or filling your employer’s Form 124 declaration.

Landlord PAN when rent exceeds ₹1,00,000

CBDT Circular No. 08/2013 (10 October 2013) requires employees whose rent in a financial year exceeds ₹1,00,000 to furnish the landlord’s PAN to the employer (or Form 60/61 if the landlord has no PAN). The calculator warns when your entered rent crosses that threshold.

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Generate month-by-month or full-year receipts with the rent receipt generator. Estimate take-home pay with the salary calculator. Also useful: PF calculator, gratuity calculator, and all free calculators.

HRA calculator FAQ

What is HRA exemption under Section 10(13A)?

House rent allowance from your employer can be partly or fully tax-free under Section 10(13A), within the limits in Rule 2A of the Income-tax Rules. The exempt amount is the least of: actual HRA received, rent paid minus 10% of salary, and 50% of salary in a metro city or 40% elsewhere.

Which cities count as metro for HRA?

For Rule 2A, metro means Mumbai (Bombay), Delhi, Kolkata (Calcutta) and Chennai (Madras) only. Every other city or town uses the 40% limit. Claims that more cities now get 50% are not used here until the Income Tax Department or CBDT publishes them.

What is “salary” for the HRA formula?

Salary for Rule 2A is basic pay plus dearness allowance (to the extent it enters retirement benefits) plus commission based on a fixed percentage of turnover. Other allowances, bonus and perquisites are left out.

Does HRA exemption work under the new tax regime?

No. Section 10(13A) exemption is available only if you choose the old tax regime. Under the new regime (the default for many salaried people), HRA is fully taxable. This calculator still shows the Rule 2A figure so you can compare regimes and fill Form 124 if you stay on the old regime.

Do I need my landlord’s PAN?

If the rent you pay in a financial year is more than ₹1,00,000, CBDT Circular No. 08/2013 says you must give your employer the landlord’s PAN, or file Form 60/61 if they have no PAN. The calculator shows a warning when your entered rent crosses that line.

Can I claim HRA if I live with my parents?

Yes, if you actually pay rent to them (ideally with bank transfers and rent receipts) and they own the house. They may need to show that rent as income. Keep proof; your employer or the tax department can ask for it.

Can I claim HRA and a home loan interest deduction together?

Yes, in the old regime, if you live in a rented house and also pay interest on a home loan for another (or the same) property under the rules that apply to you. The two deductions are separate. This tool only computes HRA.

How do I show HRA to my employer?

Give rent receipts (and landlord PAN if rent exceeds ₹1,00,000 a year) with your Form 124 / employer declaration so TDS can reflect the exemption. Keep copies for your return.

Is this calculator free, and is my data stored?

Yes, it is free. All numbers stay in your browser. Nothing is uploaded to ScaleSaathi servers. There is no sign-up.

How is this different from ClearTax or Groww HRA calculators?

We show the three Rule 2A limits side by side and highlight which one is the least, support a month count for partial years, flag the ₹1,00,000 landlord-PAN rule, state the old-regime-only rule clearly, list the four official metros, and link straight to a matching rent receipt generator and salary calculator — all without ads or affiliate boxes.

Sources (checked 23 October 2026)

• Income Tax Department: I-T schedules / Section 10(13A) materials
• Income Tax Department (incometaxindia.gov.in) — Rule 2A HRA limits and regime FAQs
• CBDT Circular No. 08/2013 (10 Oct 2013): landlord PAN when rent exceeds ₹1,00,000

This calculator is for planning only. It is not tax advice. Your Form 16, Form 124 and a qualified tax professional decide what you can claim.