Gratuity Calculator

Estimate gratuity using last drawn eligible salary and completed years of service.

Gratuity Calculator

Use this page as a practical planning guide and verify official rules before final use.

Formula: Gratuity = Last Drawn Eligible Salary x 15 x Completed Years of Service / 26.

What this page does

The Gratuity Calculator estimates a long-service benefit using last drawn eligible salary and completed years of service. It is useful before reviewing an employer settlement.

Formula or method

Gratuity = Last drawn eligible salary x 15 x completed years of service / 26.

Input guide

Eligible salaryUsually basic salary plus dearness allowance where applicable.
Completed yearsYears counted under gratuity rules.
15/26 factorCommon formula factor for covered employees.
Estimated gratuityCalculated long-service benefit estimate.

Real-world use cases

  • Estimate gratuity before leaving a job.
  • Understand how completed service years affect the amount.
  • Compare employer settlement with a rough formula result.
  • Use with Salary and PF calculators for payroll planning.

Mistakes to avoid

  • Using total CTC instead of eligible salary.
  • Counting incomplete service years incorrectly.
  • Ignoring eligibility conditions.
  • Assuming the estimate overrides employer or statutory rules.

Limitations

This page estimates gratuity using the common formula. Final settlement depends on eligible salary, completed service, employer records and applicable gratuity rules.

FAQs

Is gratuity based on CTC?

Usually no. It is based on eligible salary components, not total CTC.

Does this confirm eligibility?

No. Check service period and applicable rules.

Can the final amount differ?

Yes. Employer policy, eligibility and legal rules can affect final settlement.