How much of my HRA is tax free?
If you pay rent and your salary includes HRA, part of the HRA can be tax free under the old regime. It is the lowest of three amounts; enter your figures to see which one applies and how much you save from tax.
Tax-free HRA a year
₹1,68,000
Indicative only. Your lender’s figures may differ. Nothing you enter here is sent anywhere or stored.
Tax-free HRA = lowest of (HRA received, rent − 10% of basic, 50% or 40% of basic)
All three are worked out for the year. From FY 2026-27, 50% applies in Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune and Ahmedabad; 40% everywhere else. The rest of your HRA is taxable. Only the old regime allows this exemption.
If you enter
You get
These are the calculator's starting values. Change them above to see your own.
Where your pay lands matters: compare interest rates and charges.
Kotak Mahindra Bank
IndusInd Bank
Equitas Small Finance Bank
DBS Bank India
It is the lowest of: the HRA you receive; the rent you pay minus 10% of your basic salary; and 50% of basic in Delhi, Mumbai, Kolkata, Chennai, Bengaluru, Hyderabad, Pune or Ahmedabad (the last four from FY 2026-27), 40% in other cities.
No. The new regime gives no HRA exemption. Compare both regimes with the income tax calculator to see which is cheaper for you.
Only if the rent is more than ₹1 lakh a year. Keep rent receipts either way; your employer will ask for them.
Short reads that explain how it works before you decide.
Automatically organise your spending, track expenses and understand where your money goes.
