Gratuity Calculator

Gratuity Maturity For employees covered under Gratuity Act.)
Gratuity Maturity For employees not covered under Gratuity Act.)
PF Calculator Gratuity Calculator

Gratuity Calculator

Gratuity Calculator: Use This Online Free Gratuity Calculator Tool To Help You Estimate, Check How Many Gratuity You Will Get When You Retire. Calculate a Gratuity For Private/Govt Sector Employees. Check Gratuity Calculation Formula.

How To Use Gratuity Calculator?

Follow these steps and calculate your gratuity using the best online Gratuity Calculator:

Enter Salary (Basic Pay + D.A): You must enter the basic salary and (D.A)dearness allowance if applicable.

Enter Years: Enter the number of years of service with the company.

Now, The gratuity calculator would calculate the total gratuity amount payable to you in automatically seconds.

You can use unlimited: Recalculate the gratuity anytime, by changing the input value.

You can share Gratuity Calculator anywhere like- social media, email, WhatsApp, etc.

Gratuity Calculator

Gratuity Calculator Formula

Gratuity Calculator Formula
Gratuity Act For Government and Non-Government Employees
Minimum Years of Service 5 years
Minimum No. of Employees 10
Gratuity Payable After Retirement/ Resignation/ Death
Tax Exemption on Gratuity Rs: 20 Lakh
An employee is entitled to get gratuity when he/she:
  • Resigns
  • Retires
  • Laid off
  • Death or Disablement
Gratuity Payment Process
  • Apply
  • Acknowledgment
  • Calculation
  • Disbursement
Last Drawn Salary Means Basic Salary, Dearness Allowance, and Commission received on Sales

 

Formula For Gratuity

Calculate Gratuity Formula is: (15 * Your last drawn salary * the working tenure) / 30.

Eligibility of Gratuity

Eligibility of Gratuity Check: Under the Payment of Gratuity Act, 1972, an employee who has worked in a company/organisation for over five years is eligible for gratuity by his/her employer.

Retirement Gratuity Calculation

Retirement Gratuity Calculation = (Basic + DA) x 15/26 x number of years.

Gratuity Eligibility Calculation

Gratuity Eligibility Calculation Formula is: (15 * Your last drawn salary * the working tenure) / 30.

Gratuity Calculation for Private Employees

Gratuity Calculation for Private Employees Formula is: (15 * Your last drawn salary * the working tenure) / 30.

Gratuity Calculation Example

Gratuity Calculation Example is: You have a basic salary of Rs 16,000. You have rendered continuous service of 7 years and the employer is not covered under the Gratuity Act. Gratuity Amount = (15 * 16,000 * 7) / 30 = Rs: 56,000.

What is Gratuity?

The Payment of Gratuity Act, 1972. A gratuity(normally called a tip)sum of money paid by an employer to an employee for services. Customarily given by a client or customer to certain service sector workers for the service they have performed, in addition to the basic price of the service. Gratuity is a lump sum amount paid by the employer to the employee as a token of appreciation for the services they have provided to the company.

Where is Gratuity applicable?

The Payment of Gratuity Act, 1972 is applicable to employees engaged in factories, mines, oil fields, plantations, ports, railways, motor transport undertakings, companies, and to shops and other establishments, Employing 10 or more workmen.

Which employee is eligible for Gratuity?

As per Gratuity Act, gratuity is payable only after completion of 5 years of your service. If you resign before 5 years of service, then you are not eligible to get a gratuity.

What is the Gratuity limit?

Min: A company cannot pay you more than Rs. 10 lakh as gratuity, irrespective of the number of years you have completed. This limit is also applicable to gratuity you can receive from different employers during your lifetime.

Max: Rs 20 lakh (Gratuity is a benefit given by the employer to employees.)

Gratuity calculation formula

The Gratuity formula is: (15 * Your last drawn salary * the working tenure) / 30.

or

(15 X last drawn salary X tenure of working) divided by 30

Example of Gratuity calculation with excel sheet

Click Here

Tax on Gratuity

The Income-tax Act, 1961 exempts gratuity from tax up to a certain limit. Gratuity is a benefit given by the employer to employees. A recently approved amendment by the Centre has increased the maximum limit of gratuity. Income Tax applicable on Gratuity payment. Gratuity received by an individual will be viewed as a part of his/her salary component. Now it is tax-exempt up to Rs 20 lakh from the previous ceiling of Rs 10 lakh, which comes Section 10(10) of the Income Tax Act.

Gratuity Calculator Online- How to Calculate Tax-free & Taxable Gratuity

Learn how to calculate gratuity online using an excel sheet or web-based online calculator so first what is graduating so it is a requisite amount to be given by employers to all employees except those who are apprentices respective of their salaries.

So when graduating is payable it is payable at the time of retirement resignation or who has completed five years of continuous service so let's head over to what are the things that.

We need to calculate graduating first thing we need the number of working years in terms of months, years, and days to suppose someone has worked for six years seven months and 14 days the second thing.

We need to know the basic amount of your salary in a month. The third thing is DA alone. Generally, it is applicable to government employees. The fourth thing is commission if someone is receiving a fixed percentage of turnover.

So is the gratuity calculation formula is a simple formula so it is 15 by 26 multiplied by the total amount of your basic DA and commission multiplied by a total number of years of service plus an excess of six months to be considered as a completed year for example.

If you have worked for five years six months only the total number of years will be considered as five years and suppose you have worked for five years six months and one day then the total number of years will be six years.

So point to be noted, any access of six months is treated as completed years so let's learn how to calculate the Gratuity amount using our calculator.

So if you want to know how to find this calculator just go to google.com and search: gratuity-calculator.com.

So this is our graduating calculator okay so how did you find this calculator to type in google.com search for tragedy calculator online 2021.

So you will find okay this is the Gratuity calculator okay yes so you need suppose you have one lakh monthly basic amount zero DA zero commission for 12 years six months zero days the amount of gravity that you may receive is six lakh ninety-two thousand just reset it put the same amount enter the same 1 lakh rupees 0 0 12 years 6 months 1 day did you see the change of the graduating amount the amount changed to 7 lakhs 75 000 rupees.

This is the snapshot of the Gratuity calculator in action. You can find the same calculator on our website. Let's scroll down yes click over it and you can download the graduating calculator on excel there is excel graduating calculator.

So the same amount you can enter one lakh rupees 0 0 6 years sorry twelve years six months zero days the amount of graduating to receive is six like ninety-two thousand and one days the amount of graduating got changed and you can also check tax-free and taxable garage duty.

So if you receive suppose the same amount 7 lakh 15 50 000 from your employer then tax-free Gratuity will be several like 50 000 and taxable Gratuity is zero suppose if you receive eight lakh rupees from your employer as a Gratuity sorry it becomes 80 lakh should be eight lakh, okay the tax-free Gratuity is similar like 50 000 and taxable is 50 000.

So what we got this amount and this calculator helps to calculate the Gratuity amount and the taxable and tax-free Gratuity amount so we know how to calculate the taxable and tax with graduating any Gratuity amount received by government employees center or state is tax-free for non-government employees.

How to calculate what is the actual amount of graduating received as per the graduating formula or online calculator or excel calculator and third is 20 lakh rupees so any of the minimum amounts will be considered is tax-free and the remaining mode is taxable.

If you have any questions so what is the eligibility of graduating there is five years of continuous service in order to eligible for the Gratuity amount when you are entitled to graduating at the time of termination or designation retirement death or disablement due to disease or accident voluntary retirement schemes retrenchment or layoff can I withdraw graduating during my employment no you cannot withdraw your gravity during your employment.

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