Retirement/Gratuity Calculator
Gratuity Calculator
Your gratuity under the Payment of Gratuity Act, 1972 — the statutory formula that applies to bank employees the same way it applies to any covered employer.
Your details
Gratuity payable
₹17,30,769
What this calculates
The lump-sum gratuity you’re entitled to under the Payment of Gratuity Act, 1972 — a statutory benefit for at least 5 years of continuous service (waived for death or disablement), applicable to bank employees the same way it applies to any employer covered by the Act.
Formula
Gratuity = (Last Drawn Salary × 15 × Years of Service) ÷ 26, capped at ₹20,00,000. A part-year exceeding 6 months rounds up to a full year; 6 months or less is dropped.
Worked example
Last drawn salary ₹50,000, 10 years of service: Gratuity = (50,000 × 15 × 10) ÷ 26 = ₹2,88,462.
FAQs
Is this gratuity formula bank-specific?
No — this is the general statutory formula under the Payment of Gratuity Act, which applies to bank employees as employees of a covered establishment, not a bank-specific enhancement. If your bank offers a more generous gratuity scheme on top of this statutory minimum, that would be a separate, additional benefit not captured here.
What if I have less than 5 years of service?
You’re not eligible for gratuity under the Act, except in cases of death or disablement due to accident or disease, where the 5-year requirement is waived entirely.
References
Payment of Gratuity Act, 1972, Section 4(2).