Calculate employee gratuity payable under the Payment of Gratuity Act (India).
Formula (Covered): Gratuity = (Last Salary × 15 × Years) / 26 15 = days of salary per year 26 = working days per month Max: Rs 20,00,000 (tax-exempt)
Gratuity Eligibility
Under the Payment of Gratuity Act 1972, employees who have completed 5+ years of continuous service are eligible. The gratuity is calculated at 15 days of last drawn salary for each year of service.