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HRA Exemption Planner
Estimate annual HRA exemption with a simpler flow
Enter annual salary, DA, rent and HRA figures to estimate exemption under Section 10(13A) based on metro or non-metro rules.
Section 10(13A)
Metro / Non-metro logic
Email + PDF report
Input format
Annual INR values
Output
Estimated exemption
Enter annual HRA details
Keep figures in yearly INR amounts for consistent comparison.
Before you calculate
- Basic salary and DA should be annual totals.
- If you are in Mumbai, Delhi, Kolkata or Chennai, select metro.
- This tool gives an estimate for planning and documentation support.
How this HRA estimate is calculated
Exemption is computed as the lowest of: actual HRA received, rent paid minus 10% of salary, and 50% (metro) or 40% (non-metro) of salary.
Rule 1
Actual HRA received from employer.
Rule 2
Rent paid minus 10% of salary.
Rule 3
50% salary for metro, otherwise 40% salary.
How this HRA calculator applies the exemption rule
HRA exemption under Section 10(13A) is generally the least of three values: actual HRA received, rent paid minus 10% of salary, and 50% of salary for metro cities or 40% for non-metro cities. This page is built around that exact comparison so you can see the likely exempt amount before payroll declaration or return preparation.
The form expects annual figures. If your payslip shows monthly salary, DA, HRA, or rent, first convert each figure into a yearly total and then enter it here. That keeps the least-of-three comparison consistent and avoids overstating exemption because one input was monthly while another was annual.
Salary base used in the formula
Basic salary and the eligible DA component form the salary base for the rent-minus-10% and metro or non-metro limit checks. Entering the correct annual salary base is usually the biggest factor in getting a realistic estimate.
Metro adjustment matters
Mumbai, Delhi, Kolkata, and Chennai use the 50% salary cap, while other cities use 40%. If you switch cities during the year or are unsure about the correct category, verify that selection before relying on the result.
Old regime relevance
This estimate is most useful when you are evaluating or filing under the old regime, because HRA exemption is generally not available in the standard new-regime salary computation. Use it alongside the income tax calculator if you are comparing both regimes.
Records to keep ready
Keep rent receipts, landlord PAN details where required, salary breakup, and the period for which rent was actually paid. The calculator is a planning aid, but payroll proof and filing support documents still control the final claim.
HRA calculator FAQs
How does this calculator apply the least-of-three HRA rule?
It compares actual HRA received, rent paid minus 10% of salary, and 50% of salary for metro cities or 40% for non-metro cities, then shows the lowest eligible amount as the estimated exemption.
Should I enter monthly or yearly values?
This page is designed for annual values. If you have monthly numbers, multiply by 12 before entering.
What counts as salary for this HRA estimate?
This calculator uses the annual basic salary and DA figures you enter as the salary base for the exemption comparison, so those two inputs should match your payroll records.
Does metro selection change the HRA exemption result?
Yes. Metro selection changes the third limit in the formula from 40% of salary to 50% of salary, which can materially increase the exempt amount.
Is HRA mainly relevant under the old tax regime?
Yes, this estimate is mainly relevant when you are evaluating or filing under the old regime, because HRA exemption is generally not claimed in the standard new-regime salary calculation.
Can I claim HRA and home loan benefits together?
Yes, in eligible situations both can apply together, but the final claim depends on property use, occupancy facts, and supporting documents.