The railway servants may avail themselves of encashment of Leave on Average Pay
• up to 10 days at the time of availing of Passes
• maximum of 60 days in the entire career 
• subject to the condition that successive encashment cannot be made before a minimum period of two years has elapsed  
• leave on average pay of at least an equivalent duration is also availed of simultaneously 
• a balance of at least 30 days of leave on average pay should  be available to his credit after taking into account the period of encashment as well as leave availed of
SC 153/ 2008 

Clarified that the term ‘passes’ for the purpose of leave encashment would include Privilege Passes and PTO s.  
SC 193/ 2008

Decided that the Railway servants who are directly engaged in running of trains viz. all the running staff including Drivers, Assistant Drivers, Motormen, Shunters, Guards etc. and SMs/ ASMs should be exempted from the requirement of availing of passes and equal duration of LAP for availing the benefit of encashment of 10 days of LAP
SC 200/ 2008 

After the issue of instructions vide SC 86/2009[see below], decided to withdraw the exemption granted vide SC 200/2008 ibid with immediate effect. Accordingly, henceforth the categories of running staff and SM s/ASM s shall also have to fulfill all the conditions prescribed for railway employees in general for the purpose of availing encashment of LAP up to 10 days while availing Passes/PTO s. 
SC 179/ 2009

Decided to permit encashment of LAP up to 10 days without any linkage to the number of days and nature of leave availed at the time of availing Passes/PTO s (W.E.F. 11-06-2009) 
SC 86/ 2009

Decided that the period of two years for the purpose of successive encashment of LAP shall be w.r.t. a two year block, the first one commencing from 01.09.2008 and ending on 31.08.2010 w.r.t. the outward journey performed.   The next block would commence from 01.09.2010 and end on 31.08.2012 and successive blocks would follow similar pattern. 
RBE 15/2011 SC 18/2011 

No House Rent Allowance or Transport Allowance shall be payable.

Leave Encashment = (Basic Pay + DA)/30 * 10
SC 153/2008