Gratuity Calculator

Estimate your gratuity based on salary and completed years of service.

Calculate Your Gratuity

Enter your last drawn Basic Salary, Dearness Allowance and years of service.

For this estimate, service of more than six months is treated as an additional completed year.

Estimated Gratuity

Estimated Gratuity ₹0.00
Basic + DA ₹0.00
Gratuity Service Years 0
Formula Salary × 15 × Years ÷ 26

How Gratuity is Calculated

Step 1

Add Basic Salary and applicable Dearness Allowance to determine the salary used for the estimate.

Step 2

Determine the completed years of service according to the applicable gratuity rules.

Step 3

Apply the statutory formula: Salary × 15 × Years ÷ 26.

Example: ₹35,000 Salary and 10 Years

Last drawn salary = ₹35,000

Service = 10 years

Estimated gratuity = ₹35,000 × 15 × 10 ÷ 26

Estimated gratuity = ₹2,01,923.08

Gratuity FAQs

What is gratuity?

Gratuity is a benefit payable to eligible employees under applicable gratuity laws, subject to the conditions prescribed by law.

What salary is used for the calculation?

For monthly-rated employees covered by the Payment of Gratuity Act, the statutory calculation generally uses the applicable last drawn wages, including Basic and Dearness Allowance where applicable.

Does everyone receive gratuity after five years?

Eligibility depends on the applicable law and circumstances of employment. There are specific provisions and exceptions, so this calculator should not be treated as a legal eligibility determination.

Important: This calculator provides an estimate based on the commonly used statutory formula for monthly rated employees covered by the Payment of Gratuity Act. Actual gratuity can depend on eligibility, applicable law, wages, service records, statutory limits and individual circumstances. Please verify the result with your employer or a qualified professional.