Gratuity - Gratuity Form [Thread 276409]

what is meant by gratuity?
how to calculate gratuity in a company?
who are all eligible for gratuity?
what are the gratuity forms?

Hi Grace
Gratuity is satutory amount given by the employer to employee if the employee completes 5 years of continous service in the same company if an employee joins in a company in roles he is eligible from the first day it self the calculation is given below
last drawn base * 15/26*no of years of service
in case of death 5 years is not aplicable
the amount can be claimed only in case of sepration from company
forms used in gratuity is
Form F self declaration
i think you can some what able to understand
Regards
sendil G

Dear Madhu,
As Mr. Sendil detailed, minimum service required for payment of gratuity is 5 years. If there is fraction of years in excess of 6 months, it will be rounded up to one year and will be added with the completed years. If the fraction is 6 months or below, it will be neglected.
The formula to calculate gratuity is Service x (Basic +DA) x15/26.
Abbas.P.S

Dear Madhu,
Go through section 4 of the Payment of Gratuity Act, 1972 for calculation of gratuity amount.
R.N.Khola
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Dear Member,
Welcome to CiteHR.
Plz go through section 2A on continuous service under the Payment of Gratuity Act, 1972 for your query.
R.N.Khola

Dear Member,
Gratuity is applicable to an employee who has completed 5 year or more in any services of company.
formula as per gratuity act is Basic x 15 x nos of years in service/26
after resignation you can make application to claim your gratuity stating your details such as address/doj/gross salary/basic salry/nos of years completed in services of company/ your signature.
regards
Aparna

Hi Friends,
I have covered payment of Gratuity Act on this post. It contains all required forms for download, what compliance an HR need to do, to whom it is applicable and how to calculate the Gratuity. It provide information for both employer and employee. I hope you will love it. Please read and share.
Please read it at:
Human Resources, Business, Management and career questions blog.: Question and answer about gratuity- for employee as well as employer

Gratuity = 15/26 * (No.of years of exp) * Last Baic+DA Drawn
Note: No.of Years of exp >5 Years