Gratuity Calculator
Estimate gratuity payout using last drawn salary, service period, employer coverage, and common edge-case rules used in real calculations.
Type any custom value. The slider is optional.
Type any custom value. The slider is optional.
Type any custom value. The slider is optional.
Advanced gratuity checks
Partial-year service
Covered employers commonly round service up when the extra period is more than six months. Non-covered employer estimates are often prorated instead.
Five-year rule and cap
For covered employers, gratuity usually requires five completed years of service unless the exit is due to death or disablement. This estimate can also apply the common Rs 20 lakh cap.
Gratuity taxability note
Covered employers
Tax exemption is generally limited to the lowest of actual gratuity received, the notified ceiling, or the eligible formula-based amount under the Act.
Non-covered employers
Exemption treatment can differ and often depends on average salary rules, completed years, and employer settlement structure. Treat this output as an estimate, not the final exempt amount.
Final gratuity taxability should be checked with payroll records and current income-tax rules at the time of exit.