How Do I Calculate Gratuity Under the Payment of Gratuity Act? Need Your Help!

Hi everybody,

Please help me regarding calculating gratuity under the Payment of Gratuity Act. How do I calculate the gratuity?

Hi,

Gratuity is calculated as follows:

Basic + DA divided by 26 * Number of years of service * 15.

Regards,
Derek

Gratuity is calculated as one month's wages divided by 26, multiplied by 15, and then multiplied by the number of years of service (minimum 5 years).

Hi,

Please find the calculation method: Last drawn Basic+DA per month X 15 X Total no. of completed years of service / 26.

Best regards,
K. Prabhakaran

Kindly elaborate on the meaning of DA in calculating Gratuity.

In addition, please provide a breakdown of how the calculation figures came about.

In the formula for calculating gratuity, what does "15" represent? For example, is it calculated as (basic + DA) / 26 * 15 * number of years?

Thank you.

I have completed 4 years and more than 8 months in a public limited organization. I joined this organization on 14-Sep-2009, and recently, I resigned from my post with a notice period up to 30-May-2014.

I would like to inquire whether I am eligible for gratuity or not.

Thank you.

Regards