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Exit documentsUpdated Sept 2026

Gratuity Eligibility and Estimate Calculator

Use this planning estimate for a standard salaried employment case, then confirm the applicable wage definition, service record and exceptions with HR or a qualified adviser.

Estimate your gratuity

Likely eligible under the selected assumptions

1,44,231

Counted service: 5.00 years

Planning estimate only. Wage definitions, establishment coverage, service rules, statutory limits and special cases can change the actual amount.

What this tool includes

  • Statutory 15/26 formula calculation
  • 5-year eligibility checker with exceptions
  • Tax exemption rules up to ₹20 Lakhs

Frequently asked questions

What formula does this gratuity calculator use?

Under the Payment of Gratuity Act 1972, gratuity for monthly-rated employees is calculated as: (15 × Last Drawn Basic Salary + Dearness Allowance × Number of Completed Years of Service) / 26.

Is 5 continuous years of service mandatory for gratuity in India?

Generally yes, 5 continuous years of service is required upon resignation or retirement. However, the 5-year condition does not apply in cases of death or disablement due to accident or disease, or for fixed-term employees under recent labour codes.

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SwitchPilot provides general planning estimates, editable drafts, and contract review aids: not formal legal, tax or employment advice. Verify your contract terms and calculations with your employer or a qualified adviser.