Skip to content
TechToolsHQ
NewsReviewsGuidesTech 101Tech SeriesToolsNewsletter
TechToolsHQ

Independent, research-driven tech coverage — breaking news, in-depth reviews, buying guides, and technical tutorials to help you understand and choose with confidence.

Explore
NewsReviewsGuidesTech 101Tech SeriesFree Tools
Legal
About UsOur AuthorsContact UsPrivacy PolicyTerms of ServiceCopyright & DMCAAffiliate DisclosureEditorial PolicyAdvertise With Us

© 2026 TechToolsHQ. All rights reserved.

Tools / Gratuity calculator

Gratuity calculator

Indian gratuity calculator. Computes gratuity for covered and non-covered employees under the Payment of Gratuity Act 1972, factoring in 5-year eligibility, service tenure rounding, and Section 10(10) tax exemption caps.

Runs entirely in your browser

Loading tool…

About this tool

Gratuity is a lump sum an employer pays a long-serving employee on leaving, and in India it is governed by the Payment of Gratuity Act, 1972. This calculator computes it for both covered and non-covered employees, applying the standard formula, the five-year eligibility rule, and the way part-years of service are rounded.

It also applies the Section 10(10) tax exemption cap, so you see not just the gross gratuity but how much is tax-free. Because eligibility, the exact formula and the service-rounding rules differ between covered and non-covered employees, having the tool apply the correct treatment avoids a common source of error.

It runs in your browser, so your details stay private. Statutory caps and rules can change, so treat the result as an estimate for planning and confirm against current law or your employer for exact figures.

Frequently asked questions

Who is eligible for gratuity?
Generally an employee who has completed at least five years of continuous service, under the Payment of Gratuity Act, 1972. The calculator applies this eligibility rule.
How is gratuity calculated?
From your last drawn salary and years of service using the statutory formula, with part-years rounded per the rules. The formula differs slightly for employees covered and not covered by the Act.
Is gratuity tax-free?
Up to the Section 10(10) exemption cap it is tax-free; amounts above the cap are taxable. The calculator shows the exempt portion.
Are my details private?
Yes. The calculation runs in your browser, so nothing you enter is uploaded.

Enjoying Gratuity calculator?

TechToolsHQ is an independent, reader-supported tech platform. If this free tool saved you time, solved a problem, or helped your workflow, consider supporting our work. Your support helps us keep our utilities 100% free, private, and ad-free for everyone.

100% optional · Reader supported · Independent researchSupport our work

Related tools

  • Retirement corpus & pension plannerEstimate your target retirement corpus, monthly SIP needed, and 4% FIRE milestone.
  • Return on investment ROI calculatorCalculate simple ROI, annualized CAGR, wealth multiplier, and inflation-adjusted real returns.
  • Salary to hourly pay converterConvert annual salary to hourly, weekly, and monthly rates with overtime and PTO.
  • Compound annual growth rate CAGR calculatorCalculate compound annual growth rate with yearly milestones and index benchmarks.
  • Monthly budget calculator 50 30 20Plan your monthly income allocation with the 50/30/20 rule and spending allowances.
  • Gold price & jewelry invoice calculatorCalculate retail gold jewelry billing with karat purity, making charges, and 3% GST.

Browse all tools