Putnam Balanced Government Fund
                          One Post Office Square
                       Boston, Massachusetts  02109


                              January 27, 1994



Securities and Exchange Commission
450 Fifth Street, N.W.
Washington, D.C.  20549-1004
Via EDGAR

RE:  Rule 24f-2 Notice for Putnam Balanced Government Fund
     (Reg. No. 33-37991) (the "Fund")

Ladies and Gentlemen:

    Pursuant to Rule 24f-2 under the Investment Company Act of
1940, you are hereby notified as follows:

    (a)  the fiscal year of the Fund for which this notice is
    filed is the year ended November 30, 1993.

    (b)  the number or amount of securities of the same class or 
    series of the Fund which had been registered under the
    Securities Act of 1933 other than pursuant to Rule 24f-2 but 
    which remained unsold at the beginning of the year was: 
    NONE.

    (c)  the number or amount of securities the Fund registered
    during such fiscal year other than pursuant to Rule 24f-2
    was:  NONE.  

    (d)  the number or amount of securities of the Fund sold
    during such fiscal year was: 29,487,338 shares. 

    (e)  the number or amount of securities of the Fund sold
    during such fiscal year in reliance upon registration
    pursuant to Rule 24f-2 was:  29,487,338 shares.*    

    We are including in this filing, as an exhibit, an opinion
of counsel for the Fund to the effect that the securities, the
registration of which this notice makes definite in number, were
legally issued, fully paid and non-assessable.  The amount of the
filing fee required by Rule 24f-2(c) was wired on January 27,
1994, to the Commission's lockbox at the Mellon Bank, American
Bankers' Association number 043000261, SEC Account Number: 
910-8729.

Securities and Exchange Commission
January 27, 1994
Page Two




                   Very truly yours,

                   Putnam Balanced Government Fund

                         
                       /s/ John D. Hughes
                   By:  ------------------------- 
                   John D. Hughes
                   Vice President and Treasurer


- -----------------------------------------------------------------
*Calculation of filing fee pursuant to Rule 24f-2(c):

(1)  Aggregate sales prices of securities
     sold pursuant to Rule 24f-2 during the
     fiscal year (see Para. (e) above):
                                             $147,889,013

(2)  (a)  Aggregate redemption or repurchase
          price of securities redeemed or
          repurchased during fiscal year: 

                                             $31,830,661

     (b)  Amount previously applied during
          fiscal year:
                                             NONE

     (c)  Available credit:
                                             $31,830,661

     (d)  Amount of available credit applied
          in this notice:
                                             $31,830,661

(3)  Securities deemed sold for filing fee
     calculation:

                                             $116,058,352


(4)  Filing fee due:  (1/29 of 1% of #3):
                                             $  40,020.40