Bonus Hike: The government has rolled out a special bonus gift for central government employees just in time for Diwali celebrations. The Modi government has greenlit a 30-day non-productivity-linked, or ad-hoc, bonus for qualifying employees for the accounting year 2025-26. On October 15, 2026, the Finance Ministry’s Department of Expenditure sent out a memo letting everyone know about the President’s approval. The bonus will come from the already-approved budget allocations of the respective ministries and departments for the financial year 2026-27. All payments will be made in round figures.
Maximum bonus amount
The bonus gets calculated using a monthly salary cap of Rs 7,000. The highest payout for 30 days comes to Rs 6,908. If an employee’s average monthly salary falls below this cap, the bonus will be scaled down accordingly.
Who can get the bonus?
Group C and non-gazetted Group B employees who aren’t part of the Productivity-Linked Bonus Scheme qualify for this bonus. Eligible staff members from the CAPFs and Armed Forces are in too. Employees working for Union Territory administrations who follow the central government’s salary structure and aren’t covered by any other bonus or ex-gratia scheme also make the cut.
What do you need to qualify for the bonus?
You’ll need to have put in at least six months of continuous service during 2025-26. Generally speaking, you’ve got to be on the job on March 31, 2026. If your service runs between six months and one year, you’ll get the bonus on a pro-rata basis. The eligibility period gets counted in months.
Special rules for retirement, death and deputation
Employees who retired after reaching superannuation, took medical invalidity retirement, or passed away before March 31, 2026, still qualify—as long as they completed at least six months of regular service that year. Employees on deputation to a state government, union territory, or public sector undertaking (PSU) won’t receive the bonus from their home central department. In case of transfer without a break, eligibility can be achieved by combining service from both central offices.
What is the math of Rs 6,908?
The employee’s average monthly salary and the Rs 7,000 ceiling will be the basis for the bonus, whichever is lower. The monthly amount will be divided by 30.4 to arrive at the daily bonus. This will then be multiplied by the number of bonus days. Calculation on a salary of Rs 7,000: Rs 7,000 × 30 ÷ 30.4 = Rs 6,908
What will casual labour get?
Casual laborers working in offices with six days a week must work at least 240 days per year for three years or more. Those working in offices with five days a week must work at least 206 days per year for three years or more. The monthly ceiling for these workers is Rs 1,200. 30-day bonus: Rs 1,200 × 30 ÷ 30.4 = Rs 1,184
If the actual monthly salary is less than Rs 1,200, the calculation will be based on that. Qualifying working days from multiple central offices can be added, provided bonuses, ex-gratia, or incentives have not already been received for those days. Casual labor regularized during the year will also be eligible if the conditions are met.