you can write formula with your own.
Gratuity Rule is = Last Basic/26Days X 15 Days X Number of working years.
if some one worked 6 years and his last Basic is 5000 (at the time of his exit.)
you simple calculate like this = 5000/26 you will get per day amount
after that = per day amount X 15 days then you will get per year amount
after that = per year amount X 6 years ( Number of Years worked )
then you will know the gratuity liability
I think you may clear now.
From India, Hyderabad
As you know these days lot of companies work only 22 days in a month. in this case employee will get more Gratuity. Is the 26 is common for all or will it differ as per company?
From United Kingdom, Otley
Normally we are giving to our staffs gratuity 21 days per year
Total Salary : 10000 * 12 =120000
Total Working Days : 455
Total year : 1.25
Daily Wages : 328.80
Gratuity : 21*328.80*1.25 = 8631
From United Arab Emirates, Dubai
Please clear, how to calculate number of years working for gratuity. Example: If anyone has worked 5.5 years, How many years to be considered and paid? What is exact concept.. Please clear. Regards,
From India, New Delhi
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