This is the Gratuity calculation file for calculation of Gratuity while doing full and final settlement of employee service.
From India, Pune

Attached Files (Download Requires Membership)
File Type: xlsx GRATUITY Calculation tool 2020.xlsx (12.7 KB, 325 views)

Loginmiraclelogistics & Management)


Hi Sachin,

The calculation of grauity as per formula is very simple=

= the Last salary drawn x 15/26 x no.of years of service (last year of service where it is more than 6 months then has to be rounded off to one year).

Payment of Gratuity Act, 1972

Section: 2 - Definitions.


[8] [(r) "superannuation", in relation to an employee, means the attainment by the employee of such age as is fixed in the contract or conditions of service at the age on the attainment of which the employee shall vacate the employment;]

(s) "wages" means all emoluments which are earned by an employee while on duty or on leave in accordance with the terms and conditions of his employment and which arc paid or are payable to him in cash and includes dearness allowance but does not include any bonus, commission, house rent allowance, overtime wage,s and any other allowance.

The 'Salary' for the purpose of gratuity calculation should include Basic Plus DA.


Also read this link for income tax liability on gratuity amount and, other details-

From India, Bangalore

If You Are Knowledgeable About Any Fact, Resource or Experience Related to This Topic and Want to Be Part of Such Discussions in Future - Please Register and Log In to Cite Community.

About Us Advertise Contact Us Testimonials
Privacy Policy Disclaimer Terms Of Service

All rights reserved @ 2023 CiteHRŽ

All Material Copyright And Trademarks Posted Held By Respective Owners.
Panel Selection For Threads Are Automated - Members Notified Via CiteMailer Server