Gratuity Calculator
Apply the commonly quoted 15 x salary x years / 26 formula to estimate gratuity from last drawn pay.
- Gratuity per year of service
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Eligibility conditions, rounding of service and any ceiling are set by law and should be checked against current rules. Arithmetic for estimation only, not payroll, tax or legal advice. Company policy and current law decide the real figure.
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What is the Gratuity Calculator?
This calculator applies the commonly quoted gratuity arithmetic: 15 times the last drawn monthly salary times the completed years of service, divided by 26. Enter the last drawn basic plus dearness allowance and the years served. Eligibility conditions, rounding of service and any ceiling are set by law, so check current rules.
How it works
Gratuity equals 15 multiplied by the last drawn monthly salary, multiplied by the completed years of service, divided by 26. The per-year figure is 15 times the salary divided by 26. The tool applies no eligibility test, no rounding of part years and no ceiling.
How to use it
- Enter the last drawn monthly basic plus dearness allowance.
- Enter the completed years of service as a whole number.
- Read the estimated gratuity and the amount earned per year.
- Compare it with your employer figure and current legal rules.
Gratuity Calculator — FAQ
Who is eligible for gratuity?
Eligibility depends on the law and on your employer terms, including a minimum period of service. Check the current official rules.
How are part years of service treated?
Rounding of service is set by law and can differ by case. This tool uses only the whole years you enter, so check current rules.
Is there a maximum gratuity amount?
A ceiling may apply under current law or your policy. This tool does not apply one, so compare the result with the official limit.