Suppose i spent 5 years in a company. and i had the last basic salary of 26530. What would be my gratuity? Would it calculated upon the basic of every year or the latest basic salary? Please confirm.
From India, Chandigarh
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From India, Chandigarh
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Gratuity Payment Under the Payment of Gratuity Act 1972
As per the Payment of Gratuity Act 1972, 15 days' pay (last drawn basic + DA) is to be paid for every completed year, subject to a maximum ceiling of Rs. 10 lakhs. The gratuity payment is subject to continuous service of 5 years in an organization.
Regards,
KC JHA
From India, Mumbai
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As per the Payment of Gratuity Act 1972, 15 days' pay (last drawn basic + DA) is to be paid for every completed year, subject to a maximum ceiling of Rs. 10 lakhs. The gratuity payment is subject to continuous service of 5 years in an organization.
Regards,
KC JHA
From India, Mumbai
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My dad has worked for 50 years in a coffee plantation. Will he be eligible for the latest Gratuity Act, which has been implemented, where the ceiling has been raised from 3.5 lakhs to 10 lakhs? Or are there any conditions?
From India, Madras
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From India, Madras
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Yes, your gratuity will be calculated on your last basic salary. also note down the formula for gratuity calculation : BASIC X 15 X YEARS DEVIDED BY 26
From India, Delhi
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3From India, Delhi
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Under the provisions of the Payment of Gratuity Act, 1972, employees are required to submit their nomination forms in "Form F."
Gratuity Payment Conditions
Gratuity shall be payable to an employee only at the time of separation from the company and upon the completion of continuous service of five years. However, the completion of five years is not necessary in cases of death or disablement. Disablement is a state that incapacitates an employee for the work they were capable of performing before the accident or disease resulting in such disablement.
Service Tenure Calculation
The services rendered by an employee in all group companies will be taken into account when calculating the employee's tenure for gratuity purposes.
Gratuity Calculation Formula
Gratuity is calculated based on the last basic pay drawn by the employee at the time of separation. The formula to calculate gratuity is as follows: Basic Pay × Number of years in service × (15/26).
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From India, Mumbai
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Gratuity Payment Conditions
Gratuity shall be payable to an employee only at the time of separation from the company and upon the completion of continuous service of five years. However, the completion of five years is not necessary in cases of death or disablement. Disablement is a state that incapacitates an employee for the work they were capable of performing before the accident or disease resulting in such disablement.
Service Tenure Calculation
The services rendered by an employee in all group companies will be taken into account when calculating the employee's tenure for gratuity purposes.
Gratuity Calculation Formula
Gratuity is calculated based on the last basic pay drawn by the employee at the time of separation. The formula to calculate gratuity is as follows: Basic Pay × Number of years in service × (15/26).
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From India, Mumbai
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Gratuity Computation
The last basic salary will be considered for the computation of gratuity.
Basic = 26,530
Gratuity entitlement = 5 years * 15 / 26
Minimum service required: 5 years (4 years & 8 months as per the decision given by the Madras High Court).
Regards,
Anurag
From India, New Delhi
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The last basic salary will be considered for the computation of gratuity.
Basic = 26,530
Gratuity entitlement = 5 years * 15 / 26
Minimum service required: 5 years (4 years & 8 months as per the decision given by the Madras High Court).
Regards,
Anurag
From India, New Delhi
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Gratuity will be calculated based on the last basic salary. This calculation is determined by the employee's years of service in an organization. For example, if an employee works for 5 years and 7 months, the gratuity will be calculated based on 6 years. However, in your query, you have mentioned only 5 years.
Gratuity Calculation Formula
The formula for calculating gratuity is as follows:
Last basic salary * 15/26 * number of years
Using the given values:
26530 * 15/26 * 5 = 76529
Regards,
Sudhir Kumar
[Phone Number Removed For Privacy Reasons]
From India, Visakhapatnam
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Gratuity Calculation Formula
The formula for calculating gratuity is as follows:
Last basic salary * 15/26 * number of years
Using the given values:
26530 * 15/26 * 5 = 76529
Regards,
Sudhir Kumar
[Phone Number Removed For Privacy Reasons]
From India, Visakhapatnam
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Gratuity will be calculated based on the last basic salary, and the employee should work a minimum of 240 days in a year for it to be calculated for 5 years of service.
Calculation Method
The calculation is as follows:
Last basic salary * 15/26 * number of years
26,530 * 15/26 * 5 years
Total amount = 76,529
Regards,
Sudhir Kumar
Asst. Manager HR
[Email Removed For Privacy Reasons]
[Phone Number Removed For Privacy Reasons]
From India, Visakhapatnam
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Calculation Method
The calculation is as follows:
Last basic salary * 15/26 * number of years
26,530 * 15/26 * 5 years
Total amount = 76,529
Regards,
Sudhir Kumar
Asst. Manager HR
[Email Removed For Privacy Reasons]
[Phone Number Removed For Privacy Reasons]
From India, Visakhapatnam
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My uncle took voluntary retirement from railway service on 01.03.2011 after completing 26 years of qualifying service. At the time of his retirement, his basic pay was Rs. 25,800. What should be his amount of DCRG?
From India, Calcutta
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From India, Calcutta
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Thank you, sir. Another thing to ask: The Central Government declared a hike in DA by 5% from January 2011, making the amount of DA 51%. However, the order for this increase was not issued until after 01.03.2011. Consequently, his DA was calculated at 45%. Is he entitled to receive DCRG based on the calculation of 51% DA? Will he receive arrears of DCRG for that 5% increase in DA?
From India, Calcutta
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From India, Calcutta
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Hi, That is wrong calculation last basic salary * 15/26 * no.of years Regards, Sudhir Kumar
From India, Visakhapatnam
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From India, Visakhapatnam
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Actually, I want to know whether he is eligible for ₹10 lakhs since he has 50 years of experience in the same organization. Can you please kindly tell me what his gratuity will be if he has 50 years of experience and his current salary is ₹5,590 (basic + DA) as per the eligible act?
Thanks
From India, Madras
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From India, Madras
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sir your gratuity will be (26530.00*5years*15 days) — — — — — — — — — — — — - 26 So Amt. Rs 76529.00
From India, Calcutta
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From India, Calcutta
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[QUOTE=Minkysharma;1704145]Suppose I spent 5 years in a company, and I had the last basic salary of $26,530. What would be my gratuity? Would it be calculated based on the basic salary of each year or the latest basic salary? Please confirm.
Gratuity Calculation
Gratuity is calculated on the last drawn basic salary, and the calculation formula is as follows:
Gratuity amount = Last basic salary * number of years in service * 15 / 26
For the calculation of the number of years, it is rounded off to six months, meaning the completion of six months will be treated as one year.
Thanks & regards,
Anil Mishra
From India, Ajmer
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Gratuity Calculation
Gratuity is calculated on the last drawn basic salary, and the calculation formula is as follows:
Gratuity amount = Last basic salary * number of years in service * 15 / 26
For the calculation of the number of years, it is rounded off to six months, meaning the completion of six months will be treated as one year.
Thanks & regards,
Anil Mishra
From India, Ajmer
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Dear Friends, Kindly clarify me if any employee has completed 4 years and 8 months of his/her service, as per the gratuity act he/she can eligible for gratuity or not?
From India, Delhi
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From India, Delhi
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Hi friend, In your post, you should have first mentioned your employer and whether you are covered under the Payment of Gratuity Act 1971. If your establishment is covered under the Payment of Gratuity Act, you should have first gone through the said act and then, if you had any doubts, you should have raised this question. From your profile, it is seen that your profession is a TEACHER! No offense meant but just advice to be more thorough in your efforts. Bye.
Regards,
Devdas
From India, Mumbai
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Regards,
Devdas
From India, Mumbai
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[QUOTE=prghr;1705169]Dear Friends, Kindly clarify for me: if an employee has completed 4 years and 8 months of service, are they eligible for gratuity as per the Gratuity Act?
Eligibility for Gratuity
Hi friend, to be eligible for gratuity under the Payment of Gratuity Act, one must complete 5 years of service. However, if an individual has completed 5 years of service, for the purpose of calculating the gratuity amount, more than six months is considered as one year. If you have any doubts, please contact me.
Regards, Devdas
From India, Mumbai
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Eligibility for Gratuity
Hi friend, to be eligible for gratuity under the Payment of Gratuity Act, one must complete 5 years of service. However, if an individual has completed 5 years of service, for the purpose of calculating the gratuity amount, more than six months is considered as one year. If you have any doubts, please contact me.
Regards, Devdas
From India, Mumbai
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As per the latest orders of the high court of Madras an employee who has put in 4years and 240 days of service is eligible for gratuity.
From United States, Cambridge
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From United States, Cambridge
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Actually, I want to know whether he is eligible for 10 lakhs since he has 50 years of experience in the same organization. Could you please kindly tell me what his gratuity will be if he has 50 years of experience and his current salary is 5590 (basic + DA) as per the eligible act?
Thanks
From India, Madras
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Thanks
From India, Madras
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Payment of Gratuity Act, 1972 & The Rules.ppt
THE PAYMENT OF GRATUITY ACT 1972.doc