Gratuity Calculator

Calculate gratuity payable under the Payment of Gratuity Act, 1972.

Inputs

INR

Result

Gratuity Payable

₹346,153.85

15/26 × 10 yrs

Formula Amount₹346,153.85
Completed Years (rounded)10
Statutory Cap₹2,000,000.00

Related calculators

Formula

Gratuity = (Last drawn Basic + DA) × 15 ÷ 26 × Completed Years. Maximum ₹20,00,000 tax-free.

How it works

Gratuity is a lump-sum retirement benefit paid by employers to employees who complete 5+ years of continuous service, governed by the Payment of Gratuity Act, 1972.

Example

Example: ₹60,000 monthly Basic, 10 years → ₹60,000 × 15 ÷ 26 × 10 = ₹3,46,154.

Frequently Asked Questions

Disclaimer: Results are estimates for informational purposes only and should not be considered financial, medical, legal, or professional advice. Always consult a qualified professional before making decisions.