Gratuity is a financial perk given by an employer to an employee in appreciation for services rendered during their tenure, regulated under the Payment of Gratuity Act, 1972.

What is the eligibility for receiving Gratuity?

Under the Payment of Gratuity Act, an employee is eligible to receive gratuity only after completing a minimum of 5 years of continuous service with the same employer.

What is the mathematical formula for gratuity?

The gratuity amount is calculated using the formula: Gratuity = (15 × Last Drawn Salary × Years of Service) / 26. Here, "Last Drawn Salary" includes Basic Salary and Dearness Allowance (DA).

Gratuity Calculator

Calculate your Gratuity payout in India online under the Payment of Gratuity Act. Enter basic salary, DA, and years of service to view estimated payouts instantly.

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