Preparing tool
How to use Gratuity Calculator
- Enter your last monthly basic + DA and, if you know it, your total monthly pay (for the Labour Codes' 50% wage rule).
- Set your years and extra months of service, whether your employer is covered by the gratuity law, your job type, sector and why you are leaving.
- See the gratuity, the wages and years counted, and the tax-free and taxable parts. Copy the calculation for your records.
What are the limits of Gratuity Calculator?
A guide based on the Payment of Gratuity Act and the Code on Social Security 2020 (in force from 21 November 2025): a final part-year of more than six months counts as a year, fixed-term employees qualify after one year, and the ₹20 lakh ceiling and tax-free limit apply. Your employer's rules, court rulings on 240-day years and any later notifications can change the result. Not tax or legal advice.