Attention all Central Government employees with school-going children! The 7th Pay Commission has some great news for you. The Child Education Allowance has been increased by a whopping 50%! This means you now have a golden opportunity to enroll your kids in top-notch educational institutions, thanks to this generous allowance hike. Don’t miss out on this chance to secure a bright future for your little ones.
The Children Education Allowance is a financial incentive offered by the government specifically for families in need. The allowance offers financial aid, that can be used for educational expenses for dependent children up to the age of 18.
This money is dispensed in two instalments with each covering half the annual fees of tuition and other education-related costs. The funds are issued directly through banks or related payment systems to ensure secure delivery and processing of funds.
|Topic||Children Education Allowance|
|Beneficiaries||Central Govt Employees|
|Age Limit||As per Relevant Orders|
Child Education Allowance Eligibility For Central Govt Employees
The Child Education Allowance (CEA) and Hostel Subsidy (HS) are two educational benefit schemes provided by the Central Government to support the school education and hostel facility expenses for their employees’ children. These schemes were previously known as ‘Reimbursement of Tuition Fee’ before the 6th CPC, but were renamed ‘Educational Assistance’.
These schemes were introduced by the 2nd Central Pay Commission in March 1962 and have been modified and liberalized by the 3rd, 4th, 5th, and 6th Pay Commissions. The 6th Pay Commission gave high priority to this scheme and its recommendations were widely welcomed by Central Government employees.
In order to be eligible for the CEA and HS, the employee’s child should be of school-going age. The Central Government employees can avail these schemes to provide financial support for their children’s education and hostel expenses.
If you are a Central Government employee, make sure to take advantage of the 7th Pay Commission Child Education Allowance to support your children’s education and hostel expenses.”
CEA Form 2023 PDF
The Central Government has accepted the 7th Pay Commission’s recommendation on Child Education Allowance Before 7th CPC without any modifications. This means that Central Government employees are eligible to claim the school fees and other expenses for up to two children.
The Child Education Allowance (CEA) scheme was introduced by the 6th Pay Commission on 1.9.2008 to provide relief to government employees from the escalating school fees and education-related expenses of their children. Currently, the allowance is granted to two children enrolled in recognized schools up to the XII standard, with a maximum ceiling of Rs. 18,000. However, we propose doubling this amount and increasing it by 50% each time the Dearness Allowance (DA) component in salary crosses over 50%.
Presently, the process of claiming the allowance requires submitting receipts for each expense, which can be cumbersome. To streamline this process, we suggest that the employer may be asked to provide an affidavit confirming that the child/children are bonafide students of the school, and the need for receipts may be dispensed with.
Furthermore, we propose extending the CEA scheme to cover children pursuing Graduate/Post Graduate and Professional courses, as these courses entail huge expenses, especially with the Government’s withdrawal from the higher education sector and the rise of private institutions charging exorbitant fees for such courses.
To increase the coverage of the allowance, we suggest revising the present scheme’s quantum and maximum ceiling. By doing so, the CEA scheme can continue to provide much-needed relief to government employees in meeting their children’s education expenses.
Child Education Allowance Exemption Rules
If you’re wondering about child education allowance exemption, you’ll be pleased to know that the 7th CPC has recommended some significant changes. With effect from July 1, 2017, the existing child education allowance of Rs. 1500 has been increased to Rs. 2250, with a multiplication factor of 1.5. This applies to each child, up to a maximum of two. Additionally, hostel subsidies have been revised from Rs. 4500 to Rs. 6750 per child, per month, for up to two children. These recommendations have been implemented by the government, making it easier for families to access the support they need for their children’s education.
Proforma for Reimbursement of CEA 2023-24
The Government has implemented the revised rates and procedures for the 7th CPC Recommendations and Government Decisions, effective from 1.7.2017. As per the new scheme, the Child Education Allowance (CEA) is fixed at Rs. 2250 per month per child, whereas the Hostel Subsidy (HS) is fixed at Rs. 6750 per month per child. However, only one of the parents, who is a Government servant, can avail of reimbursement.
The rates for CEA and HS are automatically increased by 25% every time the Dearness Allowance (DA) reaches 50%. In case of differently-abled children, the CEA and HS amounts are doubled. However, reimbursement is allowed only after the completion of the financial year. For claiming CEA, a bonafide certificate from the school where the child studied during the previous academic year is mandatory, and for HS, a bonafide certificate with detailed expenditure for lodging and boarding is required.
The CEA and HS Scheme is also applicable for Railway Employees. CEA is applicable for children from nursery to twelfth grade, including classes 11th and 12th held by Junior Colleges or schools affiliated with Universities or Boards of Education. However, CEA can be claimed only for the two eldest surviving children, except in case of twins or multiple births resulting from the second childbirth.
Moreover, the residential educational institution should be located at least 50 kilometers from the Government servant’s residence. As per the 7th CPC Recommendations and Government Decisions, the annual amount of CEA for the academic year 2017-18 is Rs. 24,750 and Hostel Subsidy is Rs. 74,250. However, the commission has strongly objected to extending the allowance beyond Class XII.
Lastly, there is no time limit for claiming the child education allowance, and the Central Government will issue orders, rules, and clarifications from time to time. The application forms for CEA and HS are available for download in both Word and PDF formats.
CAE Rates For Central Govt Employees PDF
Learn about Child Education Allowance (CEA) and Hostel Subsidy (HS) rates before 7th CPC.
- Reimbursement of tuition fees applicable in the 6th pay commission was Rs. 40 per month for Class 1st to 10th, Rs. 50 per month for class 11th and 12th, and Rs. 100 for disabled and mentally retarded children in 1st to 12th Standard. Hostel Subsidy for children was Rs. 300 from Class 1st to 12th Std.
- After revision, the rates of CEA increased to Rs. 1000 per month per child (Rs. 12000 per year) and Hostel Subsidy to Rs. 3000 per month per child (Rs. 36000 per year) in the 6th CPC. The rates automatically increased by 25% whenever the Dearness Allowance (DA) went up by 50%.
- In January 2011, the rates of CEA and HS were revised for the first time when the rate of Dearness allowance increased to 51%. The second revision was held in January 2014, increasing the rates of CEA and HS to Rs. 1500 and Rs. 4500, respectively. Stay updated on CEA and HS rates with the 7th CPC.