Gratuity Calculator

Calculate your gratuity entitlement as per the Payment of Gratuity Act 1972.

๐Ÿค
Gratuity Calculator
Calculated as per Payment of Gratuity Act, 1972
โ‚น
yrs
Minimum 5 years of continuous service required
Gratuity Amount
โ‚น0
Last Monthly Salary
โ‚น0
Years Served
0 yrs
Tax-free Limit
โ‚น20,00,000
Taxable Gratuity
โ‚น0
๐Ÿ“ขAdvertisement300ร—250

๐Ÿ’ก Gratuity Facts

  • Payable after 5 years of continuous service
  • Tax-free up to โ‚น20 lakh (for non-govt employees)
  • Payable within 30 days of leaving the organisation

Payment of Gratuity Act, 1972

Gratuity is a lump sum payment made by an employer to an employee as a token of appreciation for services rendered. It is governed by the Payment of Gratuity Act, 1972 for organisations with 10 or more employees.

For Covered Organisations:
Gratuity = (Last Basic Salary / 26) ร— 15 ร— Years of Service

For Not-Covered Organisations:
Gratuity = (Last Basic Salary / 30) ร— 15 ร— Years of Service

Note: Service of 6+ months in a year counts as a full year

๐Ÿ“… Eligibility

Minimum 5 years of continuous service with the same employer.

๐Ÿ’ฐ Tax Treatment

Tax-free up to โ‚น20 lakh for private sector employees.

โฑ๏ธ Payment Timeline

Must be paid within 30 days of leaving or superannuation.

๐Ÿ›๏ธ Government Employees

Fully tax-exempt for central and state government employees.