Children Education Allowance | 15 Things Central Government Employee Must Know

Children Education Allowance or CEA for any Central Government Employee. Important key points about CEA Including exceptions, wrong Info correction.

The Children Education Allowance is applicable to all the Central Government employees irrespective of any limit. Except Defense Personnel, Railway Servants, Persons paid from Contingency, Ad-hoc, Contract Basis, Part Time , Missions Abroad. The main points of Children Education Allowance (CEA) are:

Children Education Allowance or CEA is important perk for any Central Government Employee. Hence it's Important to know the key points about CEA Including exceptions, myths, wrong Info correction etc.1)   It’s applicable only for biological child, legally adopted child or step-child wholly dependent on Government Servant.

2) It’s applicable only for fits two surviving Children. But if the second pregnancy results in multiple births then they will also be eligible for the Assistance.

3) It’s applicable for children studying class 1st to Class 12th , plus two classes prior to class 1, irrespective of the nomenclature (Nursery or LKG or UKG).

4) There is no lower age limit for the child. But upper age limit is 20 years or age in class 12th, whichever is Less. But for physically or mentally handicapped Children the assistance is up to 22 years without minimum age.

5) The academic performance of the child HAS NO BEARING on the CEA. That’s CEA is not-connected to Academic performance.

6) Reimbursement under CEA includes Tuition Fee, VVN (Vidyalay Vikas Nidhi) , Science Fee, Practical Fee, Games and Sports Fee, Library Fee, Fee for Extra Curricular Activities. It also includes provision of one set of Text books & notebooks and notebooks, Two sets of school uniforms, A pair of shoes. The reimbursement of school bags, pens, pencils, etc is not included. There is NO item-wise Ceiling.

7) At present, the annual ceiling fixed for reimbursement is Rs 15000. The Annual Limit increases by 25 percent with every 50 percent rise in DA..Thus with the latest DA rise, the Ceiling has gone to  Rs 18, 750.

8) For disabled children , the limit will be Double the normal Limit. That’s Rs 37,500. The DA hike and CEA hike link is the same i.e. 25 percent.

9) Under this scheme, the reimbursement can be claimed quarterly/ half-yearly / Annually. It’s up to the employee. But there is a rule to follow here: If the person claims every quarter or every half yearly then he can do so 25 percent in each quarter or 50 percent half yearly respectively. But if the employee chooses the Annual plan, then he can apply only at the last quarter of the Financial Year. That’s you can’t claim full CEA at the beginning of the year.

10) If both husband and Wife are Central Government employees then only one can claim CEA. The one who is not claiming the CEA must provide Certificate to the claiming spouse that he/she is NOT Claiming the CEA.

11) After 6th Pay Commission CEA and Reimbursement of tuition Fee are merged and known as Children Education Allowance.

12) CEA is applicable to :

Two years of Pre School Education + 1 to Class 12th

Two years of Pre School Education + 1 to Class 10th + First Two years of Diploma or Certificate Course from Polytechnic / ITI / Engineering College after Class 10th.

13) If the Child is is in a Hostel (Boarding School / Professional Institution), then the parent can reimburse Rs 3750 per month per child. And in this case CEA can’t be be claimed. That’s either CEA or Hostel Subsidy can be claimed.

14) If the Government Employee dies while in service, then the event will have no bearing on the CEA  / Hostel Subsidy. That’s the CEA / Hostel Subsidy will continue as usual. In case , the living spouse is also a Central Government employee covered by CEA / Hostel Subsidy , then the CEA / Hostel Subsidy will be claimed by the living spouse.  And here the condition that only one spouse can avail the CEA/ Hostel subsidy will apply.

15) In case of dismissal or VRS or Retirement, the CEA will be admissible till the end of the academic year by the office in which the Government last worked.

Hope the above 15 points dispel some of the most common myths about CEA.



Comments on this entry are closed.

  • ss Aug 11, 2014, 12:09 pm

    i submitted cea claim for my son studing in class of lkg of an international school named eurokids ie,lkg,ukg class only.kindly clarify whether i am eligible or not for cea .

    • A Bisht Aug 11, 2014, 12:35 pm

      Dear SS,

      Both private and Government schools come under the ambit of CEA. If a school is registered outside India, then it may not come under the CEA. But you need to specifically query your department regarding your’s ward’s school. You can use RTI to get the information.

      Thanks Admin