Gratuity Calculator
15 days' pay for every year you served — have you claimed yours? Free, private, no signup.
Your service
Over 6 months in the last year counts as a full year.
Your gratuity
-
Service years counted-
Tax-free limit₹20,00,000
How gratuity actually works
Gratuity is a thank-you payment your employer owes you: 15 days' salary for every completed year of service. The formula: gratuity = monthly basic+DA × 15/26 × years. (26 = working days in a month.)
- The 6-month rounding rule. Worked 10 years and 7 months? That counts as 11 years. 10 years and 5 months? 10 years. Time your exit if you're close.
- Eligibility: ~5 years. You qualify after 4 years and 240 days of continuous service with one employer. Switching jobs resets the clock — another reason frequent hopping has a hidden cost.
- Tax-free up to ₹20 lakh. Gratuity received is exempt up to ₹20,00,000; anything above is taxed as salary. Government employees get full exemption.
FAQs
Is gratuity mandatory for all companies?
For establishments with 10+ employees under the Payment of Gratuity Act. Smaller companies may still pay it as policy, but aren't legally bound.
What salary counts for gratuity?
Basic + dearness allowance only — not HRA, bonuses or allowances. A low-basic salary structure shrinks your gratuity (and PF).
Can I get gratuity if I resign?
Yes — resignation after completing the qualifying service still earns full gratuity. It's also paid on retirement, retrenchment, death or disablement.
Is my data sent anywhere?
No. Everything is computed in your browser; nothing leaves your device.
Disclaimer: Estimates for illustration, computed in your browser — no data leaves your device. Gratuity rules follow the Payment of Gratuity Act; verify with your employer.