How to Handle Gratuity in CTC When Employees Haven't Completed 5 Years?

As gratuity is to be paid after completion of 5 years in the company, if we offer a candidate a CTC which includes gratuity, how should we pay it even if the employee has not completed 5 years in the company? Can you please elaborate on how to include gratuity in CTC and process it.

If an employee leaves earlier than five years, gratuity may not be applicable in all cases. Section 2A of the Payment of Gratuity Act deals with Continuous service. You need to read that section to get a better idea.