Regarding for calculation of gratuity, we have used the below formula. Last salary drawn × 15 days/26 × year of service.
Now can anyone explain why we are using 15 days as default as well as 26 days per month?
Please suggest me.
From India, Chennai
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Now can anyone explain why we are using 15 days as default as well as 26 days per month?
Please suggest me.
From India, Chennai
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Dear Mr. Antony,
Gratuity is calculated as follows: Total years of service * Last drawn Basic + DA * 15/26. Here, 15 represents half a month's pay, and 26 represents the estimated working days.
For example, if I have completed 11 years of tenure with a basic salary + DA of 32,340, the calculation would be: 11 * 32,340 * 15/26 = 205,234.61. This result would then be rounded off.
Arun Prasad D
HR
From India, Chennai
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Gratuity is calculated as follows: Total years of service * Last drawn Basic + DA * 15/26. Here, 15 represents half a month's pay, and 26 represents the estimated working days.
For example, if I have completed 11 years of tenure with a basic salary + DA of 32,340, the calculation would be: 11 * 32,340 * 15/26 = 205,234.61. This result would then be rounded off.
Arun Prasad D
HR
From India, Chennai
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