Gratuity Calculator

గ్రాట్యుటీ కాలిక్యులేటర్

Your gratuity from the last basic + DA and years of service, by the 15/26 formula and the new Labour Code rules.

గ్రాట్యుటీ కాలిక్యులేటర్: కొత్త లేబర్ కోడ్ ప్రకారం చివరి బేసిక్ + డీఏ, సర్వీసు ఏళ్ల నుంచి మీ గ్రాట్యుటీ ఎంతో లెక్కించండి.

Enter your service

From your last payslip: basic pay and dearness allowance, a month.

More than six months counts as a full year.

Job ఉద్యోగం

Gross pay with HRA and allowances: under the new Labour Codes, at least half of it counts as wages.

From an earlier job: the ₹20 lakh tax-free limit is for your whole working life.

Your result

Gratuity గ్రాట్యుటీ

₹2,88,462

2.88 lakh rupees

Years countedలెక్కించిన సంవత్సరాలు
10 years
Wages counted a monthలెక్కించిన జీతం
₹50,000
By the formulaలెక్క
₹50,000 × 15 ÷ 26 × 10 = ₹2,88,462
Tax-free (outside government)పన్ను లేనిది
₹2,88,462

Last updated : the Labour Code rules (from 21 November 2025) and the ₹20,00,000 limit. Check with your employer or HR before you rely on it.

Gratuity formula: how gratuity is calculated

Gratuity = last month's basic + DA × 15 × years of service ÷ 26. That is 15 days' wages for every year of service, a day's wages being a month's ÷ 26.

Gratuity = last month's basic + DA × 15 ÷ 26 × years of service

Example: ₹50,000 basic + DA after 10 years and 7 months counts as 11 years: ₹50,000 × 15 ÷ 26 × 11 = ₹3,17,308.

Gratuity for 5, 10, 20 and 30 years of service

After 5 years on ₹50,000 basic + DA a month, gratuity is ₹1,44,231; after 10 years, ₹2,88,462. The most payable is ₹20 lakh.

Years of service ₹25,000 a month₹50,000 a month₹1,00,000 a month
5 years ₹72,115₹1,44,231₹2,88,462
10 years ₹1,44,231₹2,88,462₹5,76,923
15 years ₹2,16,346₹4,32,692₹8,65,385
20 years ₹2,88,462₹5,76,923₹11,53,846
25 years ₹3,60,577₹7,21,154₹14,42,308
30 years ₹4,32,692₹8,65,385₹17,30,769

Gratuity rules under the new Labour Code

Since the four Labour Codes came into force on 21 November 2025, gratuity is due after 5 years of continuous service, or after 1 year on a fixed-term contract, and at once on death or disablement.

  • On a fixed term gratuity is pro rata, for the service as it is: 1 year 6 months counts as 1.5 years, where a permanent employee's part-year counts as a year only when it is more than six months.
  • Wages are basic + DA; if your HRA and other allowances are more than half your pay, the excess counts as wages too, so at least half your pay is counted.
  • The Code's gratuity is for factories, shops and other establishments with 10 or more employees. A smaller employer need not pay it; if it does, the tax-free part is 50% of a month's average salary for each completed year (a part-year does not count), within the same lifetime limit.

Is gratuity taxable?

Outside government, gratuity is tax-free up to the formula on basic + DA and ₹20,00,000 in a whole working life, less any tax-free gratuity from an earlier job; the rest is taxed as salary. Government employees have their own rules and limits, and their gratuity is tax-free in full.

  • Where the 50% rule raises your wages, the gratuity is more, but the tax law still works out the tax-free part on basic + DA: until the CBDT clarifies, the extra may be taxed.

గ్రాట్యుటీ అంటే ఏమిటి? ఎలా లెక్కించాలి?

ఒకే సంస్థలో కనీసం 5 ఏళ్లు (ఫిక్స్‌డ్ టర్మ్ ఉద్యోగులు 1 ఏడాది) పనిచేశాక యజమాని ఇచ్చే మొత్తమే గ్రాట్యుటీ. సూత్రం: చివరి నెల బేసిక్ + డీఏ × 15 × సర్వీసు ఏళ్లు ÷ 26. ఉదాహరణకు ₹50,000 బేసిక్ + డీఏతో 10 ఏళ్లు పనిచేస్తే ₹2,88,462. గరిష్ఠంగా ₹20 లక్షలు.

Questions

How are months of service counted?

In a permanent job, a part-year of more than six months counts as a full year and six months or less is dropped: 10 years 7 months is 11 years, 10 years 6 months is 10. On a fixed-term contract every month counts, pro rata. Enter the years and months in the calculator.

Do I get gratuity after 4 years and 240 days?

Some High Courts have counted 4 years and 240 days worked in the fifth year as five years. That is a court's view in a dispute, not the rule employers follow, so the calculator does not count it.

Is gratuity part of my CTC?

Often it is: many offer letters set aside 4.81% of basic a year as gratuity, which is paid only when you leave. The in-hand salary calculator takes it out of the CTC for your monthly take-home pay.

What next? తర్వాత ఏం చూడాలి

See all calculators →

Results are estimates for planning, at the rates you enter. Check exact figures with your bank, fund house or tax adviser before you decide.

Get the ap7am app Free · Opens in one tap Install