How this is worked out
The three indices are averaged and cut to two decimals; 123.03 is taken away to give the DA percentage. Your pay is then worked at the old and new DA, on basic, Special Allowance and the ₹850 Learning or Transport Allowance, to show the change. This is the rule in Chapter 1 of The Banker’s Money Book.
The figures filled in are the July, August and September 2026 indices, which give today’s 31.33%. Put in October, November and December 2026 to see the DA from 1 February 2027.
Questions bankers ask
How is bank DA worked out?
Under the 12th Bipartite Settlement and 9th Joint Note, DA % = the average of three months’ All India Consumer Price Index for Industrial Workers (2016 = 100) minus 123.03. Each full point of index adds 1% DA. The same rule applies to sub-staff, clerks and officers.
Which months decide which quarter?
October, November and December set the DA from 1 February; January to March set 1 May; April to June set 1 August; July to September set 1 November.
On what is DA paid?
On basic pay, Special Allowance and the ₹850 Learning Allowance (officers) or Transport Allowance (clerical and sub-staff), and on special pay. Not on HRA, CCA or location allowance.
Where do I find the index?
The Labour Bureau publishes the AICPI-IW every month, about a month later. IBA then issues the DA circular for the quarter. We update the current DA on these pages each quarter.
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Indicative figures for planning. They follow the 12th Bipartite Settlement and 9th Joint Note (8 March 2024), IBA’s DA circular of 2 November 2026 and the Income-tax Act, 2025, as on 12 November 2026. Your bank’s payslip, service regulations, circulars and Form 16 prevail. Bankers Pioneer Academy is independent; not affiliated with IBA, IIBF, the Reserve Bank of India or any bank. Nothing you type here leaves your device.