Gratuity Calculator

Monthly Salary (Basic + DA)

Years Of Service

Total Gratuity Payable

What is a Gratuity Calculator?

A gratuity calculator assists you in determining how much gratuity you are entitled to. This projected sum might help you plan ahead of time for financial goals such as retirement or other large expenses in the long term.

Navi’s gratuity calculator carries a user-friendly design and is extremely easy to use. All you have to do is enter the basic salary, dearness allowance and the number of years you have worked for a company. The online calculator will give you the gratuity details in a few seconds.

How to Use Navi Gratuity Calculator?

The gratuity calculator takes into account your last drawn monthly salary, which includes any dearness allowance (DA) and the number of years you have been in service (including months). Navi’s Gratuity Calculator is straightforward to use and has a user-friendly interface.

Here’s how to use the gratuity calculator:

Enter your basic salary and dearness allowance

Using the slider, enter the basic salary and, if applicable, the dearness allowance

Enter the number of years

Type in the years you have worked for the company

You will be able to see the gratuity amount

What is the Formula for Calculating Gratuity?

The gratuity can be calculated using one of two formulas:

1. Employees covered by the Payment of Gratuity Act

Gratuity (G) = n*b*15/26,

where n = duration of employment, b = basic salary + dearness allowance.

For example, you have worked at a company for ten years. Your most current basic salary plus dearness allowance was ₹40,000.
The gratuity amount is = 10*40000*15/26 = ₹2,30,767 (approx).

2. Employees not covered by the Payment of Gratuity Act

Gratuity (G) = n*b*15/30,

where n = duration of employment, b = basic salary + dearness allowance.

For instance, if you have worked at a company for ten years. Your most current basic salary plus dearness allowance was ₹30,000.
The gratuity amount will be 10*30000*15/30 = ₹1,50,000.

Advantages of Using Navi Gratuity Calculator

A few advantages of using Navi Gratuity Calculator are:

User-friendly design

Our gratuity calculator is simple to use and understand

Saves time

Our gratuity calculator saves you time as you do not have to calculate the gratuity value manually, thus eliminating human error

Plan finances better

The calculator also assists you with long-term financial planning as you already know the gratuity amount

Frequently asked questions

To qualify for the gratuity, an individual must serve five years of continuous service. However, if the employee dies or is injured during the service time (before completing five years), the company must pay the gratuity sum to their nominee or legal heir.
Yes, Navi’s gratuity calculator is free and you can use it as often as you want.
Yes, regardless of the number of years of service in the company, the gratuity amount paid by a corporation cannot exceed ₹20 lakh.

The organisation may reject an employee on the following basis:

  • The employee’s services have ruined the employer’s property
  • The employee’s act is disruptive or violent
  • The employee has committed a moral turpitude-related offence

The following gratuity formula can be used to determine the gratuity amount manually:

  • If the employer is subject to the Gratuity Act, the gratuity (G) is equal to n*b*15/26
  • Gratuity(G) = n*b*15/30 if the Gratuity Act does not cover the employer
If contractual employees are included on the company payroll, they are considered company employees. As a result, they are qualified to receive gratuity. However, if they work for a contractor not affiliated with the company, it is the contractor’s responsibility, not the company’s, to provide a gratuity.
Yes, there is a nomination facility for gratuity offered, and to use it, a person must fill out Form ‘F’ upon joining the company to nominate the beneficiary.
The gratuity amount received upon retirement or upon leaving a job during one’s service duration is taxable under the heading ‘Income from Salary.
Calculating the gratuity can be a time-consuming and labour-intensive process that is prone to human mistakes. A gratuity calculator applies the gratuity formula to provide an accurate and timely response.
There is no ceiling on the number of times the calculator can be used, and it is free to use.
Disclaimer : Navi does not guarantee accuracy, completeness, or correct sequence of any of the details provided therein and therefore no reliance should be placed by the user for any purpose whatsoever on the information contained/data generated herein or on its completeness/accuracy. The use of any information set out is entirely at the User’s own risk.

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