STATUTORY TOOLS & CALCULATORS

End-of-Service Benefit and Gratuity Calculators for India and the GCC

Estimate your statutory gratuity or end-of-service benefit in India, the UAE, Saudi Arabia, Qatar, Kuwait, Bahrain and Oman. Choose a country, enter your joining date, last working day and wages, and see the amount with the formula behind it.

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Gratuity Calculator — India

Code on Social Security, 2020

Select & enter details

Employee type

Date of joining

Last working day

Monthly wages — Basic + DA + RA (INR)

₹

Quick fill

Reason for leaving

Employees of establishments covered by the Code on Social Security, 2020.

Computed service tenure8yrs·91days

All years · 15 days' / yr

Estimated entitlement

Eligible

₹ 2,30,769

Salary used: ₹ 50,000
Completed years: 8 yrs
Partial year: 91 days
Base entitlement: ₹ 2,30,769
Resignation factor: 100% — full amount

Year-by-year breakdown

Period	Years	Rate	Amount
All years	8 yrs	15 days' / yr	2,30,769
Total			2,30,769

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Indicative statutory minimum

How India calculates it

How gratuity is calculated in India

SALARY BASE

Basic + DA (+ retaining allowance)

Last drawn basic pay + dearness allowance + retaining allowance. If excluded allowances exceed 50% of total pay, the excess counts as wages.

MIN. SERVICE

5 years (1 yr fixed-term)

Payable after 5 years of continuous service (1 year for fixed-term contracts), whether you resign, retire or are terminated. The 5-year condition is waived on death or disablement.

RESIGNATION

Full — no reduction

No reduction — resignation, retirement and termination all pay the same.

CAP

INR 20,00,000

Ceiling of INR 20,00,000 as currently notified. Governed by the Code on Social Security, 2020 (in force from 21 November 2025).

Governing law: Code on Social Security, 2020 (in force 21-Nov-25)

Frequently asked · India

Which wage is used to calculate gratuity in India: basic or total salary?

The wage used is your last drawn basic pay plus dearness allowance, and any retaining allowance. If excluded allowances exceed 50% of total pay, the excess is also counted as wages.

Is gratuity payable on resignation in India?

Yes, after five years of continuous service. You get the same amount as on retirement or termination.

Does gratuity in India apply to foreign nationals as well as Indian employees?

Yes. Gratuity under the Code on Social Security, 2020 does not depend on nationality. It applies to eligible employees of covered establishments who meet the service condition of five years of continuous service.

Why do companies need an actuarial valuation of gratuity / End of Service Benefit?

Gratuity is a long-term obligation, and accounting standards such as IAS 19 (and Ind AS 19 or AS 15 in India) require employers to measure it with actuarial methods. A valuation uses assumptions about future salary growth, employee turnover, mortality and discount rates, and it applies the projected unit credit method. For this reason it differs from the statutory calculator above, which shows the amount due today. An actuarial valuation supports the company's financial statements, the audit and funding decisions.

INDIA & THE GCC