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I have nearly studied every answer on the salary of IBPS PO but unfortunately most of the audience get confused about the salary and calculation because of some misconception of pay structure understanding.After studying the 10th bipartite agreement, discussion with PO friends and as I am working in an Insurance organization I think I will be able to clear the doubts.So what is bipartite agreement ?For Bank employees wage is revised after every 5 years just like the Pay Commission of Central Govt Employees which is revised after every 10 years. So the last time wage is revised for Bank employees is in 2012 acc to 10th Bipartite settlement. Actually it came into effect on June 2015 and all employees got the arrears from 2012 to 2015 acc to their pay scale. The next wage revision is due from 2017 i.e the 11th Bipartite settlement. Govt generally delays the revision for 3 years so it is expected to be revised on June 2020 but due to the Covid 19 pandemic it may delay further. But no worries as employees will get arrears acc to the new pay scale from 2017. So the salaries we are calculating on 10th bipartite settlement ; actual salary will be higher and you will get the extra remunerations as arrears after wage is revised.Now, when you join as a IBPS PO you are actually a Junior Management Officer in the grade Scale 1Here is the basic pay structure of Scale 1 -23700 - 980(7) - 30560 - 1145(2) - 32850 - 1310(7) - 42020So what is this pay structure?The values in odd places are called basic pays and the values in even places are called increments. This means your starting basic pay will be 23700 and after every one year of service you will get an increment of 980. This will continue for 7 years. After that when your basic pay will reach 30560 you will get increments of 1145 for 2 years. In this way your basic pay will increase and it will reach a maximum of 42020. This will only happen if you don’t take any promotion and stay in scale 1 for 16 years. So this is unnecessary. I just described you for your understanding. When you get promoted after 2 years you will be in Scale 2 and the pay structure will be different.Next thing is the Dearness allowance, What is this ?When you see someone telling the salary of PO 35000 someone is saying 38000 another one says 40000. This happens mainly because of this DA thing. See Dearness allowance is adjusted in accordance with the profit/loss of the organization and inflation rates of the market. In Banking organization Dearness allowance is revised( most of the time increases but can decrease also) after every 3 months so 4 times in a year while in central govt pay structure dearness allowance is revised only 2 times in a year. Last revised DA in Banking is on Feb 2020 which is 75.9% . It will be again revised in May 2020 so don’t get confused if salary differs after every 3 months.So the Dearness Allowance from Feb to April 2020 is 75.9% of basic pay.75.9% of 23700 = 17988.3/-Next thing is the House Rent Allowance, It is a variable thing why I said this I will explain hereA class cities HRA 9% , B class cities HRA 8% and other cities HRA 7% on the basic payYou generally have 3 choicesa) You will be provided accommodation by the bank if available, in this case you will not get any extra HRAb)You can take a rented flat on lease and the rent of the flat will be credited by your bank directly to the account of the owner of the flat. This is called leased accommodation and the leased amount will vary from bank to bank. It is not specified but there is certainly a cap above which no bank will provide the rent. You can approximately take is as 15k in metro cities and 8–10k for C class cities.c)If you don’t choose the above two conditions then you will get the HRA allowance added to your salary as the mentioned percentageLet you are working in the other city category area then you will get7% of 23700=1659/-Now the Special allowance benefitIt is a benefit given to the bank employees and according to the 10th bipartite settlement for IBPS PO Scale 1 it is7.75% of Basic pay + applicable Dearness allowanceLet’s do the calculation7.75 % of 23700 + 75.9% of ( 7.75% of 23700) = 1836.75 + 1394.09 = 3230.84/-City compensatory allowanceFor A class cities it is 4% and for B class it is 3% for other cities it is 0% on basic payThe above allowance will constitute your gross salary which will be23700 + 17988.3(DA) +1659( HRA ) + 3230.84( SPL allw ) = 46578.14/-The above salary is the least salary one will get after joining in a C class city with no CCA and less HRA.Besides this PO is entitled to get the following benefits alsoMedical reimbursement of 8000 per yearNewspaper reimbursement every monthMobile Bill reimbursement every monthEntertainment allowanceCanteen subsidyTravel AllowanceOfficers get travel allowance as petrol reimbursement of 2 wheeler or 4 wheeler which again varies from bank to bank. If you have vehicle you can get the reimbursement for petrol expenses. You can take an approx 1000–2000/- for petrol reimbursement.These are all the general allowance you will get.There are other allowances like Leave Travel Concession, Deputation allowance, Hill allowance, Halting allowance, Special area allowance, mid academic year transfer allowance, compensation on transfer allowance, split duty allowance, furniture allowance etc etc . You don’t need to know every details as you will not get this benefits immediately. After joining you will be well aware of every details.The above salary discussion is for the period FEB 2020 to April 2020 after that DA will be revised and salary will change again. Once the wage revision is done acc to the 11th bipartite settlement the whole pay structure will change.Here I have discussed the basic gross salary, If you guys are interested I will come up with the details of the allowances too.Feel free to ask your doubts. Please check my other answer on LIC ASSISTANT SALARY to have a clear idea.Give an UPVOTE if you liked it.EDIT 1 : REVISED DA FROM MAY TO JULY is 76.1% ( previous 75.9%)

After clearing the Bank PO Exam, the salary is as follows:-Basic Salary: 23700/-Dearness Allowance: 17775/-House Rent Allowance: 1659/- (If you don't take HRA and take the lease, you get an amount in between Rs. 6600 - Rs. 15000 depending on location)Special Allowance: 1777.50/-DA on Special Allowance: 1333.10/-Total - Rs. 44000–45000 per month. (Perks not included)Edit:As asked by Navkiran Mahajan, I am adding the perks by Union Bank of India:-Newspaper: Rs 450 per monthMaid: Rs. 550 per monthMobile Bill: Rs. 500 per monthPetrol: 35 Lites per monthThis monthly adds up to Rs. 4000–4200 per month.Apart from this, there are a few annual allowances as wellMedical Allowance: Rs. 8000/-Entertainment Allowance: Rs. 7000/-This annual one adds up to Rs. 15000/-Then comes the miscellaneous ones:-Mobile Handset - Once in 3 YearsBriefcase - Once in 3 YearsLFC - Once in 2/4 YearsFurniture - 1.2 Lakhs and so on.

SALARY AND ALLOWANCES OF A NEWLY RECRUITED PO IN REGIONAL RURAL BANKS (JUNE 2019):Pay scale: Junior Management Grade – Scale I: Officer i.e. PO23700 – 980 – 30560 – 1145 – 32850 – 1310- 42020A. GROSS salaryBasic = 23700DA in 645 slabs= 15286HRA(7,8,9 % depends upon place of posting) = 1659 (7% rural posting)Special DA= 1184Special all= 1836Total Gross salary= 43666 ( without lease accommodation, if you opt for it HRA will be deducted from your salary)B. DEDUCTIONSEPF = 1800INCOME TAX= Approx 100PROFESSIONAL TAX= 200Total Deductions= 2100NET SALARY(A-B) = 43666- 2100 = APPROX. 41600I am attaching a salary slip of may, just to show you how it looks. DA is increased in this quarter so add another 920 Rupees in this salary slip for the present salary.Pic credit: my mobileNote: the above salary is due for wage revision since Nov 2017, after 11 bps you can expect around 15% increase in your gross salary.C. Other allowances and perks apart from salary:Petrol allowance Rs. 650Entertainment allowance Rs. 150Medical allowance on declaration Rs. 8000 per annul (RS 666 per month)you can opt for leased accommodation facility which is presently Rs.4200 ( for rural areas) and Rs. 4900 ( for urban areas). The lease accommodation facility is approved by only Maharashtra gramin bank and not all the RRBs but soon you can expect it for all. In case you opt for it you will not get the HRA component in your salary.Medical insurance of self and dependents Rs. 4 lacs per annum( max limit) Note: allowances slightly varies from State to state.you can opt for leased accommodation facility which is presently Rs.4200 ( for rural areas) and Rs. 4900 ( for urban areas). The lease accommodation facility is approved by only Maharashtra Gramin bank and not all the RRBs but soon you can expect it for all. In case you opt for it you will not get the HRA component in your salary.Interest free festival advance ( almost equal to your net salary) once in a year.Housing and vehicle loan at concessional interest rate.So, the CTC of a RRB PO (June 2019) would be: Rs. 41,600 (in hand salary)+ 2350 (PF contribution of both employer and employee)+ 1500 (Allowances) + 4500 (leased accommodation) = Approx. 50,000 per month i.e. 6 lakh per Annum.For a fresh graduate Rs. 50,000 per month is not a bad deal I guess with the tag ‘sarkari naukari’ and respect in the society that comes along with it and most importantly you will be posted in your home state near your home for the rest of life.HOPE THIS HELPS AND MOTIVATES YOU TO STUDY HARD. ALL THE BEST.