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http://www.bemoneyaware.com/blog/pay-and-perks-of-indian-mp-mla-and-prime-minister/
#EndVVIPRacism: MPs want 100% pay hike : The Newshour Debate (2nd July 2015)
Pay and Perks
of
Indian MP, MLA and Prime Minister
May 18, 2014
“In the forthcoming 60 months, the country won’t get a labourer like me,” said Narendra Modi after BJP won the Lok Sabha elections by landslide margin on 16th 2014. “I have always said the government doesn’t belong to a party but to the country. A government doesn’t belong to any group but works for all 125 crore people (of the country)….Improving everyone’s lives is the government’s priority,” he said.
So how much do the Prime Minister of India, Members of Parliament earn? What about the salary and perks of State Assemblies?
This article tries to answer these questions.
The act was written in 22nd May, 1954 and came into effect on 1st June 1954. Till today it has been amended 28 times by Acts Nos.
It is interesting to note that Indian MPs are paid lower than many Government bureaucrats, even though they outrank them in the order of precedence. During the debate in Parliament, several MPs recommended that their salaries be pegged at one rupee more than the salary of the Secretary to the Government of India. This would also result in automatic revision with each Pay Commission award. Two former chief ministers and leaders of their respective parties, Mulayam Singh Yadav and Lalu Prasad Yadav, demanded a 500% hike in salaries for MPs and stalled proceedings in Parliament during the debate on the salary increase in 2010. They wanted the basic salary to be fixed at Rs 80,001, one rupee more than the salary of a secretary in the Government of India. However, while most MPs run businesses from where they derive income, for bureaucrats, their salaries are usually their sole source of income. Moreover, while a bureaucrat gets pension after serving for 30-35 years, an MP is entitled to pension even if he has spent just one day in Parliament. Nor do bureaucrats get a daily allowance for attending office every day as MPs do for attending Parliament. Comparison of salaries of MPs with Government bureaucrats from PRS India document of
2010 How much India pays its legislators (pdf)
But the way it differentiates from rest of World is that in India MPs decide their own salary.
Salaries of MLA are decided by the states. There is wide variation in MLA salaries across state assemblies. Other than salary, MLAs also get similar facilities like MPs – daily allowance, constituency allowance, office expenses allowance, provisions for accommodation, travel etc. As is the case with salaries, these too vary across states.
Paycheck India, led by Indian Institute of Management-Ahmedabad faculty member Biju Varkkey, has compiled interesting data on the salaries of India’s ruling elite, including the PM, President and chief ministers (around2013). According to their data, ignoring Rs 1 annual salary by Tamil Naidu Chief Minister Rs 1,West Bengal Chief Minister Mamata Banerjee is the poorest CM earning Rs 96,000 per year while Punjab’s Parkash Singh Badal, with a salary of Rs 12 lakh per annum, is the richest.
From Times of India 17 th May 2014
Related Articles:
We have presented to you the facts regarding salary of Members of Parliament, MLAs,Prime Minister. While efforts have been made to provide correct information, apologies upfront for any mistakes. Please let us know and we will correct. So what do you feel about the Salaries, Pay,Perks,Allowances of Prime Minsiter of India, Members of Parliament , Member of Legislative Assembly (MLA).
Interested in serving the country? Do you think the MPs,MLAs are paid less or more?
Do you think kya humare Ache din aa gaye hain ?
http://www.bemoneyaware.com/blog/pay-and-perks-of-indian-mp-mla-and-prime-minister/
#EndVVIPRacism: MPs want 100% pay hike : The Newshour Debate (2nd July 2015)
Published on Jul 2, 2015
In a debate moderated by TIMES NOW's Editor-in-Chief Arnab Goswami, panelists -- Krishna Sagar Rao, Spokesperson, BJP; Dr CP Thakur, MP, Rajya Sabha, BJP & Member, Joint Parliamentary Committee (Salaries and Allowances); Dr Ajoy Kumar, National Spokesperson, Congress; Sudhindra Bhadoria, Leader, BSP; Kunwar Danish Ali, Spokesperson & National General Secy, JD(S); Shahid Siddiqui, Chief Editor, Nayi Duniya & Former, Member of Parliament; Maj Gen (Retd) Satbir Singh, Member Indian Ex-Servicemen Movement; Commodore (Retd) G J Singh, Defence Analyst; and Maj Gen (Retd) G D Bakshi, Editor, Indian Military Review -- discuss MPs asking for 100% salary hike, and whether pay hike over One Rank One Pension (OROP) promise justified.
Pay and Perks
of
Indian MP, MLA and Prime Minister
May 18, 2014
“In the forthcoming 60 months, the country won’t get a labourer like me,” said Narendra Modi after BJP won the Lok Sabha elections by landslide margin on 16th 2014. “I have always said the government doesn’t belong to a party but to the country. A government doesn’t belong to any group but works for all 125 crore people (of the country)….Improving everyone’s lives is the government’s priority,” he said.
So how much do the Prime Minister of India, Members of Parliament earn? What about the salary and perks of State Assemblies?
This article tries to answer these questions.
After election to LokSabha, the members become entitled to salaries, allowances, travelling facilities, medical facilities, accommodation, telephones, etc . These amenities are provided to members with a view to enable them to function effectively as Members of Parliament.
These are governed by the Salary, Allowances and Pension of Members of Parliament Act, 1954 and the rules/amendment of it.
What MPs Earn
The salary of MPs are covered in the act THE SALARY, ALLOWANCES AND PENSION OF MEMBERS OF PARLIAMENT ACT, 1954 AND RULES MADE THEREUNDER is available at website mpa.nic.in and salary and amenties at http://loksabha.nic.in/
An MP , since Aug 2010, is paid a base salary of Rs 50,000 per month and is entitled to a pension of 20,000 per month. If an MP serves as a member for a period exceeding five years, this pension increases by 1,500 for each additional year of service. In addition, MPs are compensated for official expenses through various allowances :
- Daily allowance of 2,000 for each day of attending Parliament. Parliament has three sessions every year. The Budget Session (February to May), Monsoon session (July to September), and Winter session (November and December).
- Constituency allowance for expenses incurred in the constituency of 45,000 per month and
- Office expenses of Rs 45,000 for staff (limit of 30,000), stationery and postage(15,000) per month
An MP’s wage is tax-free and comes with additional perquisites such as free petrol, free telephone calls and free housing. Most household expenses , furniture, electricity, water, laundry , is also paid for . MPs can travel anywhere in the country by rail, first class, and get 34 free air tickets for themselves or a companion a year. Spouses of MPs can travel free by air from their residence to New Delhi eight times a year when Parliament is in session and unlimited number of times by rail.
- Each MP gets near-free electricity of 50,000 units every year. And free water.
- The MP’s bungalow is furnished — with air conditioners, refrigerators and television sets — free of cost. Maintenance of the house — including washing of sofa covers and curtains — is done free of cost by the government.
- MPs are entitled to three phone lines and 170,000 free local calls every year.
- When an MP travels abroad officially, he is entitled to free business class air tickets. He is also paid a daily travelling allowance, which varies depending upon the country being visited.
- Most medical expenses of MPs are taken care of by the Contributory Health Service Scheme of the Union government.
So if you try to add all the perks etc conservative CTC (Cost to the Country) of an MP is close to Rs.35 Lakhs ($70k), excluding the cost of maintaining security guards, the cost of life long pension, insurance, sarkari vehicle etc as shown by Nitin Jain in his blog post How much our MP’s’ earn, REVEALED !! . Our article Salary, Net Salary, Gross Salary, Cost to Company: What is the difference covers CTC, Base Salary for an employee.
Cost to Country of a MP
How Salary of MPs have Changed over Period of Time
The act was written in 22nd May, 1954 and came into effect on 1st June 1954. Till today it has been amended 28 times by Acts Nos.
- 9 of 1955, 55 of 1958, 26 of 1964, 25 of 1969, 29 of 1972, 65 of 1974, 48 of 1975, 105 of 1976, 33 of 1977, 27 of 1979,
- 21 of 1981, 35 of 1982, 61 of 1982, 22 of 1983, 74 of 1985, 60 of 1988, 30 of 1989, 3 of 1993, 48 of 1993, 18 of 1995,
- 28 of 1998, 16 of 1999, 17 of 2000, 46 of 2001, 34 of 2002,9 of 2004, 40 of 2006 and 37 of 2010
- In 1968 MP’s salary was Rs 400 + Rs 31 Daily Allowance
- From 1969 to 1985 salary was Rs 500 + Rs 51 Daily Allowance
- Pension for MPs was introduced in 1977
- In 1985 salary was Rs 1500
- Since 2010 it is Rs 1,40,000
Salary of MP increased from 2010
It is interesting to note that Indian MPs are paid lower than many Government bureaucrats, even though they outrank them in the order of precedence. During the debate in Parliament, several MPs recommended that their salaries be pegged at one rupee more than the salary of the Secretary to the Government of India. This would also result in automatic revision with each Pay Commission award. Two former chief ministers and leaders of their respective parties, Mulayam Singh Yadav and Lalu Prasad Yadav, demanded a 500% hike in salaries for MPs and stalled proceedings in Parliament during the debate on the salary increase in 2010. They wanted the basic salary to be fixed at Rs 80,001, one rupee more than the salary of a secretary in the Government of India. However, while most MPs run businesses from where they derive income, for bureaucrats, their salaries are usually their sole source of income. Moreover, while a bureaucrat gets pension after serving for 30-35 years, an MP is entitled to pension even if he has spent just one day in Parliament. Nor do bureaucrats get a daily allowance for attending office every day as MPs do for attending Parliament. Comparison of salaries of MPs with Government bureaucrats from PRS India document of
2010 How much India pays its legislators (pdf)
Montlhy base salary of Govt. officials in India
Salary of MPs in comparison with Rest of World
An outdated but to give you an idea of how salary of MP’s compare with rest of world from PRS India document of 2010 How much India pays its legislators (pdf) is as follows
Salaries of National Legislators across countries, when adjusted for the relative cost of living, provide a useful metric for comparison. The adjustment is done using the Purchasing Power Parity (PPP) which takes into account the relative prices of products in each country. On PPP-adjusted terms, Indian MPs earn about 25% of their counterparts in the US. In fact, most advanced democracies pay their national legislators an amount significantly higher than India. Parliaments in these advanced democracies also provide higher level of support to their legislators. For instance, the allowances accorded for hiring support staff. Whereas an Indian MP gets an allowance of `28,000 per month (as part of office expenses) for hiring assistants, his counterpart, the US Congressman gets $70,000 per month and can hire up to 18 permanent employees.
Comparison of salary of MPs of India with rest of world
But the way it differentiates from rest of World is that in India MPs decide their own salary.
In France and Japan, salaries of MPs are determined in relation to the salaries of the highest paid bureaucrats.
In Germany, Article 48 (3) of the Basic Law says that the members of Bundestag will get remuneration adequate enough to ensure their independence.
In Switzerland, parliamentarians do not get any salary or allowance. They just get paid leave from their employers on the days of session.
In Mexico, MPs are paid handsomely, but they cannot do any business or practise any profession. They cannot even be office bearers of any political party.
In the USA, members of Congress cannot earn more than 15% from outside of their Congressional salary.
There is no such bar on the MPs or MLAs in India. An MP who has a defence equipment business is allowed to be on a defence committee which formulates defence policy and a parliamentarian who has aviation interests to be on a civil aviation committee, thereby making policy changes which benefit them individually.
There is no such bar on the MPs or MLAs in India. An MP who has a defence equipment business is allowed to be on a defence committee which formulates defence policy and a parliamentarian who has aviation interests to be on a civil aviation committee, thereby making policy changes which benefit them individually.
In the UK, the Review Body on Senior Salaries established by law, advises the prime minister on the pay and pensions of MPs, ministers, judges, defence personnel, senior civil officers and other such high posts. It is an independent body consisting of non-MPs who have served in high positions in the judicial and managerial offices with distinction.
Salary of MLA
Salary of Delhi MLA
Salary of Delhi MLA’s from their webpage MLA Salaries & Allowances Of Ministers//Speaker/Dy. Speaker/Leader Of Opposition/Chief Whip
1.
| Salary | Rs. 12,000/- per mensem |
2.
| Constituency Allowance | Rs. 18,000/- per mensem |
3.
| Secretarial Allowance | Rs. 10,000/- per month |
4.
| Conveyance Allowance | Rs. 6,000/- per month |
5.
| Telephone Facilities | Rs. 8,000/- per month to meet the cost of telephone call charges |
6.
| Daily Allowance | Rs. 1,000/- per day (subject to a maximum up to 40 days per year) for attending Assembly session/committee meetings etc. |
7.
| Conveyance Advance | Upto Rs. 4,00,000/- (repayable within his office term) |
Salary of MLA in Maharashtra
The bill passed in Dec 2010, resulted in an increase of the legislators’ salary from Rs 44,000 to Rs 75,000 and ministers’ salary from Rs 29,000 to Rs 67,000. However, in a rare case, the bill was given a retrospective effect. Bill was passed in December 2010 but the rise was effected from April 2010Salary of MLAs in Karantaka
Passing of Karnataka Ministers Salaries and Allowances (Amendment) Bill, 2011 and Karnataka Legislature Salaries, Pensions and Allowances (Second Amendment) Bill, 2011 paved the way for raising the salaries of MLAs by an average of 73 per cent to over Rs 95,000 per month. Till then, the MLAs were paid a salary of Rs 51,000 per month approximately and the ministers in the cabinet drew Rs 3,000 more per month. In addition to this, the members will be entitled to travel and dearness allowances, constituency maintenance allowance and wages for their personal staff among others. Apart from the salary and other allowances, the members will also be entitled to 750 litres of petrol as against 500 litres per month paid till now.Ref Business StandardPaycheck India, led by Indian Institute of Management-Ahmedabad faculty member Biju Varkkey, has compiled interesting data on the salaries of India’s ruling elite, including the PM, President and chief ministers (around2013). According to their data, ignoring Rs 1 annual salary by Tamil Naidu Chief Minister Rs 1,West Bengal Chief Minister Mamata Banerjee is the poorest CM earning Rs 96,000 per year while Punjab’s Parkash Singh Badal, with a salary of Rs 12 lakh per annum, is the richest.
| Name of CM | State | Monthly Salary | Annual Salary |
| Nitish Kumar | Bihar | 99,500 | 11,94,000 |
| Parkash Singh Badal | Punjab | 1,00,000 | 12,00,000 |
| Tarun Gogoi | Assam | 83,000 | 9,96,000 |
| Omar Abdullah | Jammu and Kashmir | 70,000 | 8,40,000 |
| Prithviraj Chavan | Maharashtra | 57,000 | 6,84,000 |
| Shivraj Singh Chouhan | Madhya Pradesh | 50,000 | 6,00,000 |
| Vasundhara Raje | Rajasthan | 25,000 | 3,00,000 |
| Manohar Parrikar | Goa | 20,000 | 2,40,000 |
| Mamata Banerjee | West Bengal | 8,000 | 96,000 |
| J Jayalalithaa | Tamil Nadu | 1 |
Salary and Perks of Prime Minister of India
From PM Salary document (pdf) at Website of PM of India http://pmindia.nic.in/. Our article President of India and Rashtrapati Bhavan shows that Pranab Mukherjee will draw a salary of Rs.1.5 lakh a month
Pay and allowances of PM of India
How does PM of India Travel
From Times of India 17 th May 2014
How does PM of India travel
Post retirement benefits of PM of India
From Times of India 17 th May 2014 Post retirement benefits of PM of India are given below
Benefits of PM post retirement
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We have presented to you the facts regarding salary of Members of Parliament, MLAs,Prime Minister. While efforts have been made to provide correct information, apologies upfront for any mistakes. Please let us know and we will correct. So what do you feel about the Salaries, Pay,Perks,Allowances of Prime Minsiter of India, Members of Parliament , Member of Legislative Assembly (MLA).
Interested in serving the country? Do you think the MPs,MLAs are paid less or more?
Do you think kya humare Ache din aa gaye hain ?
