Gratuity Calculator

Gratuity Calculator – Know Your Retirement Benefit Instantly

The Gratuity Calculator helps you estimate the amount of gratuity you are eligible to receive from your employer when you leave your job after completing five or more years of service. This tool follows the formula under the Payment of Gratuity Act, 1972.

Why and When to Use the Gratuity Calculator

If you’re planning to resign, retire, or want to check your gratuity eligibility, this calculator gives you a clear idea of the amount you’ll receive. It’s useful for:

• Planning your retirement or job switch
• Understanding your financial benefits from the employer
• Knowing how long you need to work to become eligible

How to Use the Gratuity Calculator

1. Enter your last drawn salary (Basic + Dearness Allowance).
2. Enter total years of service with the current employer.
3. Click on Calculate.

The calculator will instantly show your gratuity amount based on the given inputs.

Tips & Insights

• You must complete at least 5 years of continuous service to be eligible.
• The formula used:
  Gratuity = (15 × last drawn salary × years of service) / 26
• For government employees or those not under the Gratuity Act, the formula may vary.
• The maximum tax-free gratuity limit is ₹20 lakhs under current rules.

This tool is for estimation purposes. Final gratuity depends on your employer’s policy and actual employment record.