Gratuity Calculator India
Use our free Gratuity Calculator to estimate gratuity amount as per the Payment of Gratuity Act, 1972. This calculator helps you:
- Calculate exact gratuity based on your salary and service period
- Automatically compute service years from joining and relieving dates
- Check gratuity eligibility based on service period
- Apply standard or custom maximum limits
- Understand tax exemption limits
Calculation Results
Frequently Asked Questions
How is gratuity calculated in India?
Gratuity is calculated using the formula: (Last drawn basic salary + DA) × 15/26 × Years of service
Who is eligible for gratuity payment?
Employees who have completed minimum 5 years of continuous service are eligible for gratuity.
What is the maximum gratuity amount exempt from tax?
Gratuity up to ₹20,00,000 is exempt from income tax under Section 10(10) of the Income Tax Act.
How are years of service calculated?
Service period of 6 months or more is considered as one full year, while period less than 6 months is ignored.