The gratuity is to be calculated as per the formula given below :
Gratuity Calculation= [ (Basic Pay + D.A) x 15 days x No. of years of service ] / 26
Where,
D.A = Dearness Allowance.
In calculating no. of years of service, the time period in excess of six months is considered as one year and less than six months is not reckoned. (See Section 4(2) of the Act.
So in this case it will be (Basic Pay + D.A) x 15 days x 5] / 26. There is no fractional calculation involved