Gratuity is a monetary payment given by employers as a token of gratitude for services rendered. In India, employees are eligible for tax-free gratuity (capped up to ₹25 Lakhs) after completing 5 continuous years of service.
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/Gratuity Calculator (India)
Gratuity Calculator (India)
Calculate gratuity payout received from your employer upon leaving after 5+ years of service.
Gratuity Calculator (India)
Tax breakdown
Frequently Asked Questions (FAQ)
Who is eligible for gratuity?+
Is gratuity taxable?+
What's the difference between 'covered' and 'not covered' under the Gratuity Act?+
What Is the Gratuity Calculator (India)?
Calculate the gratuity amount you are eligible to receive from your employer upon retirement or completing five years of service.
How to Use This Calculator
- Step 1: Enter your Last Drawn Basic Salary
- Step 2: Enter your Years of Service
- Step 3: Select your Covered Under Gratuity Act
- Step 4: Review the instant results and the visual breakdown chart below
- Step 5: Adjust any value to compare scenarios, and download the full report as a PDF
Example Calculation: Typical Inputs for the Gratuity Calculator (India)
This table shows a realistic example calculation based on standard parameters. Enter your custom numbers in the sliders above to compare results.
| Parameter | Sample Value |
|---|---|
| Last Drawn Basic Salary | ₹80,000 |
| Years of Service | 12 |
| Covered Under Gratuity Act | Yes |
Gratuity Rules & Calculations in India
Mathematical Formula:
Gratuity = (15 * Last Drawn Salary * Tenure) / 26 (Covered) or (15 * Last Drawn Salary * Tenure) / 30 (Not Covered)