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Gratuity Calculator

Calculate your gratuity amount based on your salary and years of service.

Gratuity Amount

₹0

Tax-Free Amount

₹0

Taxable Amount

₹0

What is Gratuity?

Gratuity is a monetary benefit given by an employer to an employee for the services rendered to the organization. It's a part of the salary that is received by an employee for his/her service.

Eligibility Criteria

  • Minimum 5 years of continuous service
  • Applicable on retirement, resignation, or termination
  • Also paid in case of death or disablement

Calculation Formula

  • Gratuity = (15 × Last drawn salary × Years of service) ÷ 26
  • Last drawn salary = Basic salary + Dearness allowance
  • Years of service are rounded to nearest half year

Tax Implications

  • Tax-free up to ₹20 lakhs
  • Amount exceeding ₹20 lakhs is taxable
  • Tax rate depends on your income tax slab

Frequently Asked Questions

How do I calculate my gratuity amount?

Follow these steps:

  1. Enter your basic salary, dearness allowance, and years of service.
  2. Choose the type of service (private or public sector).
  3. Click "Calculate Gratuity" to see the results.
Is gratuity subject to tax?

Yes, gratuity is subject to tax. The amount exceeding ₹20 lakhs is taxable.

What is the tax-free limit for gratuity?

The tax-free limit for gratuity is ₹20 lakhs.

Can I withdraw gratuity early?

No, gratuity cannot be withdrawn early.

What is the minimum age for gratuity?

The minimum age for gratuity is 18 years.

What is the maximum age for gratuity?

The maximum age for gratuity is 65 years.

What is the maximum years of service for gratuity?

The maximum years of service for gratuity is 50 years.

What is the minimum years of service for gratuity?

The minimum years of service for gratuity is 5 years.

What is the maximum gratuity amount?

The maximum gratuity amount is ₹20 lakhs.

What is the minimum gratuity amount?

The minimum gratuity amount is ₹0.

What is the maximum dearness allowance?

The maximum dearness allowance is ₹500,000.

What is the minimum dearness allowance?

The minimum dearness allowance is ₹0.

What is the maximum basic salary?

The maximum basic salary is ₹1,000,000.

What is the minimum basic salary?

The minimum basic salary is ₹1,000.