Gratuity Calculator
Enter Employment Details
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د.إ
Estimated Gratuity Amount
₹0.00
Calculation based on standard formula.
Disclaimer: This calculator provides an estimate based on standard formulas for selected countries. Actual gratuity may vary due to specific company policies, contract types (especially in UAE), legal interpretations, or legislative changes. Always consult your HR department or a legal professional for precise calculations and advice specific to your situation.
How to Use the Gratuity Calculator
Estimate your end-of-service gratuity:
- Select Country: Choose the country relevant to your employment (currently India or UAE).
- Select Currency: Pick the currency your salary is paid in.
- Enter Salary: Input your Last Drawn Salary as specified for the selected country (e.g., Basic+DA for India, Basic Monthly for UAE).
- Enter Years of Service: Provide your total completed years of continuous service with the employer.
- View Estimate: The calculator will display the estimated gratuity amount based on the standard formula for the chosen country. A note below shows the basis of calculation.
- Reset: Clear the fields using the reset button.
Refer to the Disclaimer section for important considerations regarding the calculation.
Why Use Our Free Gratuity Calculator?
- Quick Estimation: Get a fast estimate of your potential gratuity payout based on standard rules for India & UAE.
- Country-Specific Logic: Applies the correct basic formulas commonly used in the selected regions.
- Easy to Use: Simple interface requiring only key salary and service details.
- Financial Planning: Helps in understanding potential end-of-service benefits for budgeting or comparison.
- Completely Free: No cost or signup needed to use this estimation tool.
Frequently Asked Questions
What salary amount should I use for the calculation?
This depends on the country selected:
- India: Enter your last drawn monthly salary, which typically includes your Basic Salary + Dearness Allowance (DA). Do not include other allowances like HRA, travel, etc.
- UAE: Enter your last drawn Basic Salary per month, excluding any allowances (housing, transport, etc.).
How is 'Years of Service' typically calculated?
Generally, it refers to continuous completed years of service with the same employer.
- India: As per the Gratuity Act, if the service period in the last year is 6 months or more, it's rounded up to the next full year for calculation. This calculator applies this standard rounding.
- UAE: Calculations are typically based on full completed years of service. Fractional years might be considered differently depending on the contract and reason for termination, which this basic calculator doesn't account for.
Does this calculator account for taxes on gratuity?
No, this calculator provides an estimated gross gratuity amount before any taxes. Gratuity tax rules, exemptions, and limits differ significantly between countries (and sometimes states/regions within them) and depend on individual circumstances. Please consult local tax authorities or a tax advisor for accurate tax information.
Why does the UAE calculation use 21 and 30 days?
Standard UAE Labour Law often stipulates different accrual rates based on service length:
- First 5 Years: Gratuity accrues at 21 days of basic salary per year.
- Years After 5: Gratuity accrues at 30 days of basic salary per year for the years *beyond* the initial five.
How accurate is this calculator?
This tool provides an estimate based on standard, simplified formulas for the selected countries. It's intended for general guidance only. Actual gratuity calculations can be influenced by:
- Specific clauses in your employment contract.
- Company-specific policies.
- Precise definition of 'salary' used by your employer.
- Exact calculation of service days/months for fractional years.
- Applicable caps or limits.
- Recent changes in legislation.