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We were eager to know whether children Education allowance and Hostel subsidy were going to be increased consequent upon increase of Dearness Allowance to % w.e.f. 1.1.2011.
The Department of personnel (DOPT) vide Office Memorandum No.12011/01/2011-Estt. (Allowance) dated 04-05-2011 has issued clarification to the effect that Children Education Allowance and Hostel Subsidy allowance shall be enhanced by 25% as a result of enhancement of Dearness Allowance to 51% from w.e.f. 1st January, 2011. The excerpts of the DOPT Circular is as follows :
a) The annual ceiling limit for reimbursement of Children Education Allowance shall be Rs.15,000/- per child. Accordingly, the quarterly claim could be more than Rs.3750/- in one quarter and less than Rs.3750/- in another quarter subject to the annual ceiling of Rs.15,000/- per child and Hostel Subsidy shall be Rs.3750/- per month per child;
b) The rates of Special Allowance for Child Care to women with disabilities stands revised to Rs. 1250/- per month; and
c) The annual ceiling for reimbursement of education allowance for disabled children of Government employees shall be treated as revised to Rs.30,000 per annum per child and the rates of Hostel Subsidy for disabled children of Government employees shall be treated as revised from Rs.6000 per child per month to Rs.7500 per child per month.
These revisions are applicable with effect from 1′ January, 2011
For full text of the circular, download OM No. 12011/01/2011-Estt (Allow)