Gratuity Calculator

Calculate the gratuity amount payable to an employee in India based on the last drawn salary and years of service.

Full original guide (expanded)

Gratuity Calculator

Estimate gratuity payable based on last drawn salary and years of service.

Calculate Your Gratuity

Results

Gratuity Amount ₹0.00

Data Source and Methodology

All calculations are strictly based on the formulas provided by the Payment of Gratuity Act of India.

The Formula Explained

Gratuity Formula: Gratuity = (Last Drawn Salary × Years of Service × 15) / 26

Glossary of Terms

  • Last Drawn Salary: The monthly salary last received by the employee.
  • Years of Service: Total years the employee has worked with the organization.

Example: Step-by-Step

For an employee with a last drawn salary of ₹50,000 and 5 years of service, the gratuity is calculated as:

Gratuity = (50,000 × 5 × 15) / 26 = ₹144,230.77

Frequently Asked Questions (FAQ)

What is Gratuity?

Gratuity is a monetary benefit given by an employer to an employee for the services rendered in the company.

How is Gratuity calculated?

Gratuity is calculated based on the employee's last drawn salary and years of service in the organization.


Audit: Complete
Formula (LaTeX) + variables + units
This section shows the formulas used by the calculator engine, plus variable definitions and units.
Formula (extracted LaTeX)
\[','\]
','
Formula (extracted text)
Gratuity Formula: Gratuity = (Last Drawn Salary × Years of Service × 15) / 26
Variables and units
  • T = property tax (annual or monthly depending on input) (currency)
Sources (authoritative):
Changelog
Version: 0.1.0-draft
Last code update: 2026-01-19
0.1.0-draft · 2026-01-19
  • Initial audit spec draft generated from HTML extraction (review required).
  • Verify formulas match the calculator engine and convert any text-only formulas to LaTeX.
  • Confirm sources are authoritative and relevant to the calculator methodology.
Verified by Ugo Candido on 2026-01-19
Profile · LinkedIn

Gratuity Calculator

Estimate gratuity payable based on last drawn salary and years of service.

Calculate Your Gratuity

Results

Gratuity Amount ₹0.00

Data Source and Methodology

All calculations are strictly based on the formulas provided by the Payment of Gratuity Act of India.

The Formula Explained

Gratuity Formula: Gratuity = (Last Drawn Salary × Years of Service × 15) / 26

Glossary of Terms

  • Last Drawn Salary: The monthly salary last received by the employee.
  • Years of Service: Total years the employee has worked with the organization.

Example: Step-by-Step

For an employee with a last drawn salary of ₹50,000 and 5 years of service, the gratuity is calculated as:

Gratuity = (50,000 × 5 × 15) / 26 = ₹144,230.77

Frequently Asked Questions (FAQ)

What is Gratuity?

Gratuity is a monetary benefit given by an employer to an employee for the services rendered in the company.

How is Gratuity calculated?

Gratuity is calculated based on the employee's last drawn salary and years of service in the organization.


Audit: Complete
Formula (LaTeX) + variables + units
This section shows the formulas used by the calculator engine, plus variable definitions and units.
Formula (extracted LaTeX)
\[','\]
','
Formula (extracted text)
Gratuity Formula: Gratuity = (Last Drawn Salary × Years of Service × 15) / 26
Variables and units
  • T = property tax (annual or monthly depending on input) (currency)
Sources (authoritative):
Changelog
Version: 0.1.0-draft
Last code update: 2026-01-19
0.1.0-draft · 2026-01-19
  • Initial audit spec draft generated from HTML extraction (review required).
  • Verify formulas match the calculator engine and convert any text-only formulas to LaTeX.
  • Confirm sources are authoritative and relevant to the calculator methodology.
Verified by Ugo Candido on 2026-01-19
Profile · LinkedIn

Gratuity Calculator

Estimate gratuity payable based on last drawn salary and years of service.

Calculate Your Gratuity

Results

Gratuity Amount ₹0.00

Data Source and Methodology

All calculations are strictly based on the formulas provided by the Payment of Gratuity Act of India.

The Formula Explained

Gratuity Formula: Gratuity = (Last Drawn Salary × Years of Service × 15) / 26

Glossary of Terms

  • Last Drawn Salary: The monthly salary last received by the employee.
  • Years of Service: Total years the employee has worked with the organization.

Example: Step-by-Step

For an employee with a last drawn salary of ₹50,000 and 5 years of service, the gratuity is calculated as:

Gratuity = (50,000 × 5 × 15) / 26 = ₹144,230.77

Frequently Asked Questions (FAQ)

What is Gratuity?

Gratuity is a monetary benefit given by an employer to an employee for the services rendered in the company.

How is Gratuity calculated?

Gratuity is calculated based on the employee's last drawn salary and years of service in the organization.


Audit: Complete
Formula (LaTeX) + variables + units
This section shows the formulas used by the calculator engine, plus variable definitions and units.
Formula (extracted LaTeX)
\[','\]
','
Formula (extracted text)
Gratuity Formula: Gratuity = (Last Drawn Salary × Years of Service × 15) / 26
Variables and units
  • T = property tax (annual or monthly depending on input) (currency)
Sources (authoritative):
Changelog
Version: 0.1.0-draft
Last code update: 2026-01-19
0.1.0-draft · 2026-01-19
  • Initial audit spec draft generated from HTML extraction (review required).
  • Verify formulas match the calculator engine and convert any text-only formulas to LaTeX.
  • Confirm sources are authoritative and relevant to the calculator methodology.
Verified by Ugo Candido on 2026-01-19
Profile · LinkedIn
Formulas

(Formulas preserved from original page content, if present.)

Version 0.1.0-draft
Citations

Add authoritative sources relevant to this calculator (standards bodies, manuals, official docs).

Changelog
  • 0.1.0-draft — 2026-01-19: Initial draft (review required).