Free Gratuity Calculator
Estimate the gratuity payable on leaving a job — no signup, nothing sent to a server.
Gratuity amount
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Statutory ceiling applied
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How to calculate gratuity
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1
Choose your coverage type
Pick "Covered under the Act" if your employer falls under the Payment of Gratuity Act, 1972, otherwise "Not covered".
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2
Enter your last drawn basic salary + DA
Use your most recent monthly basic salary plus dearness allowance, if any.
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3
Enter your years of service
Type the number of completed years you worked at the organization.
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4
Read the gratuity amount
The estimated gratuity payable updates instantly, capped at the statutory ceiling where applicable.
Example use cases
Planning a job change
Estimate the gratuity you'd be entitled to before resigning from a long-tenured role.
Checking a final settlement
Sanity-check the gratuity amount in your full and final settlement against the standard formula.
Retirement planning
Factor an expected gratuity payout into your overall retirement corpus alongside PPF, NPS, or other savings.
Frequently asked questions
How is gratuity calculated for employees covered under the Act?
Gratuity = (15 × last drawn basic salary + DA × years of service) ÷ 26, since the Payment of Gratuity Act, 1972 counts 26 working days in a month.
How is it calculated for employees not covered under the Act?
Employers can still pay gratuity to employees not covered by the Act, typically using 30 days in a month instead of 26: Gratuity = (15 × last drawn basic salary + DA × years of service) ÷ 30.
Is there a maximum gratuity amount?
For employees covered under the Act, the statutory tax-exempt ceiling is currently ₹20,00,000. This calculator caps the result at that ceiling when "Covered under the Act" is selected; employers can still choose to pay more, but the excess may be taxable.
What counts towards years of service?
Generally, continuous service of 5 years or more is required to be eligible for gratuity, and a period of more than 6 months in the final year is usually rounded up to a full year.
Is my salary data sent to a server?
No. The calculation runs entirely in your browser — nothing is transmitted or logged.