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Gratuity Calculator India — Estimate Your Gratuity

Calculate gratuity amount based on last drawn salary and years of service.

Read the complete guide →

Formula:

Gratuity = (15 x Last Salary x Years) / 26

= (15 x ₹50,000 x 5) / 26

Gratuity Amount

₹1,44,231

Gratuity Amount₹1,44,231
Tax-Exempt (max ₹20L)₹1,44,231
Taxable Portion₹0
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How to Use Gratuity Calculator

  1. Enter last drawn salary — Basic salary + dearness allowance at the time of leaving.
  2. Enter years of service — Total completed years. Must be 5+ years for eligibility.
  3. See gratuity amount — Calculated as: (15 x last drawn salary x years of service) / 26.

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Frequently Asked Questions — Gratuity Calculator

Who is eligible for gratuity in India?

Any employee who has completed 5 or more years of continuous service is eligible for gratuity under the Payment of Gratuity Act, 1972. This applies to organizations with 10 or more employees.

What is the gratuity formula?

Gratuity = (15 x Last Drawn Salary x Years of Service) / 26. Last drawn salary means basic + DA. The number 15 represents 15 days of wages, and 26 is the working days in a month.

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