Calculate your gratuity amount instantly. Know your eligibility, see the formula breakdown, and understand tax exemptions. Updated as per Payment of Gratuity Act.
For employees covered under the Payment of Gratuity Act (10+ employees): Gratuity = (15 × Last Drawn Salary × Years) ÷ 26
Gratuity Amount
3.46 L
Last Drawn Salary
₹60,000
Basic + DA
Effective Years
10 years
6+ months = 1 year
Tax-Exempt Amount
3.46 L
As per Income Tax Act provisions
Calculation Formula:
(15 × ₹60,000 × 10) ÷ 26
= 3.46 L
About Gratuity: Gratuity is a lump sum amount paid by an employer to an employee when they leave the organization after completing at least 5 years of continuous service. It is a token of appreciation for the employee's services. The maximum gratuity amount payable is Rs. 20 Lakh as per current rules.
Calculate gratuity for covered and non-covered employees
Account for Basic + DA in last drawn salary
Automatic rounding for 6+ months service
Shows tax-exempt amount calculation
Rs 20 lakh maximum cap applied
Eligibility check (5 years minimum)
Clear formula breakdown shown
No signup or registration required
Calculate expected gratuity amount for retirement planning.
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Calculate employee gratuity for full & final settlements.
Include gratuity in overall financial planning and projections.
Understand tax exemption limits on gratuity received.
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Accurate gratuity calculation with official formula
Uses official formula as per Payment of Gratuity Act.
Shows tax exemption limits and calculations.
Automatically rounds 6+ months to complete year.
Rs 20 lakh maximum limit automatically applied.
Covered under Gratuity Act:
Gratuity = (15 x Last Drawn Salary x Years) / 26Not Covered under Act:
Gratuity = (15 x Last Drawn Salary x Years) / 30Last Drawn Salary = Basic Salary + Dearness Allowance (DA)
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