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Gratuity Calculator India
Instantly calculate gratuity amount based on salary and years of service with accurate India-specific formulas.
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Estimated Gratuity₹0
Total Service0 Years
Eligible StatusNo
Formula Used15/26
Future +1 Year₹0
10% Hike Impact₹0
What is Gratuity?
Gratuity is a lump sum amount paid by an employer to an employee as a reward for long-term service.
Gratuity Formula in India
For covered employees: (15 × Salary × Years) ÷ 26
Who is Eligible for Gratuity?
Generally employees completing 5 years of continuous service may become eligible, subject to applicable rules.
How 5 Years Rule Works
In some situations, service close to 5 years may be interpreted based on case law and employment terms.
Tax on Gratuity
Tax treatment depends on employee category, exemption limits and applicable income tax rules.
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Frequently Asked Questions
Is gratuity taxable?
It may be taxable depending on exemption limits and employee type.
Can I get gratuity before 5 years?
Special cases may exist depending on law and circumstances.
Is DA included?
Yes, where applicable basic plus DA is often considered.
How gratuity is calculated in private company?
Usually based on applicable gratuity law or company policy.
What if I worked 4 years 10 months?
Certain legal interpretations may apply. Check HR/legal advice.
Can contract employees get gratuity?
Depends on employment structure and legal applicability.
Is this calculator free?
Yes, fully free on PDFTEQ.
Can I compare future gratuity?
Yes, use the +1 year and hike impact outputs.
Does resignation affect gratuity?
Eligibility depends on service duration and rules.
Can gratuity be denied?
Only under limited legal grounds.