HRA Calculator (India)
Calculate your HRA exemption and taxable HRA with a clean breakdown — metro vs non-metro included.
Explanation
The HRA (House Rent Allowance) exemption is available to salaried individuals who receive HRA and pay rent for accommodation. The exemption is calculated as the minimum of three values:
- Actual HRA received
- Rent paid minus 10% of salary
- 50% of salary (metro) or 40% of salary (non-metro)
Tip: If rent is low relative to salary, the “Rent − 10% of salary” limit can become zero and reduce exemption. Keep rent receipts and required landlord details for compliance.
Formula
Exempt = min( Actual HRA received, Rent paid − 10% of Salary, 50% of Salary (Metro) OR 40% of Salary (Non-metro) ) Taxable HRA = Actual HRA received − Exempt Salary = Basic + DA (only if DA is considered for retirement benefits)
FAQs
Which cities?
Metro category uses 50% of salary as the cap. Choose non-metro if you’re unsure.
Rent receipts?
Maintain rent receipts and any required landlord details as proof.
If owner?
HRA exemption is not applicable if you live in your own house and don’t pay rent.
Partial months?
Select eligible months to prorate annual figures.
Include other allowances?
HRA exemption is calculated separately from other allowances.