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HR & Payroll tool

Gratuity Calculator India

Estimate gratuity using last drawn eligible monthly salary, completed service and an editable cap.

Estimate gratuity

Use the 15/26 planning formula with your verified eligible salary and completed years of service.

Optional rounding helper: 6 or more extra months can be counted as an additional year when that rule applies.
Set to 0 for no cap. Verify any statutory cap that applies.
Service years used—
Formula estimate—
Estimate after entered cap—

How the calculation works

The planning formula used is gratuity = eligible monthly salary × 15 ÷ 26 × service years used. The optional rounding control can add one year when extra completed months are six or more, and an optional user-entered cap can limit the estimate.

How to use the result

Use the calculator only after confirming that gratuity rules apply to the employment situation and that the salary base is correct. The controls are explicit so the tool does not silently decide eligibility or current statutory limits.

Assumptions and limitations

Indian gratuity eligibility, covered establishments, continuous service, salary components, forfeiture rules, death/disability cases and statutory caps are legal matters that can change or require case-specific interpretation. This is an arithmetic estimate, not legal advice.

Example

With ₹50,000 eligible monthly salary and eight service years, the uncapped 15/26 formula estimate is about ₹230,769.

Frequently asked questions

Does the calculator decide whether an employee is eligible for gratuity?
No. Eligibility must be verified separately; the tool only calculates from the inputs you provide.
Why is the cap editable?
Statutory or policy caps can change or differ by context, so you should enter the verified cap rather than rely on a hard-coded legal limit.
What salary should I enter?
Enter the salary component that your applicable gratuity rule treats as eligible; the tool does not determine that definition.
How are partial service years handled?
You can choose whether six or more extra completed months are rounded to an additional year for the estimate.