Dear Team, What is the gratuity formula if an employees completes his/her 7 years of service with 25000 salary per month?
From India, Coimbatore
From India, Coimbatore
13
Hi,
The amount of gratuity for employees whose employer is covered under the Gratuity Act can be calculated using the formula:
Gratuity = n*b*15 / 26
Where n = Tenure of service completed in the company
b = Last drawn basic salary + dearness allowance
For example, you have worked with XYZ company for a period of 15 years. Your last drawn basic salary along with dearness allowance was Rs 30,000. Hence:
The amount of gratuity = 15 * 30,000 * 15 / 26 = Rs 2,59,615
for better understanding, you may reach us at https://bit.ly/3dV6ujK
Zain
From India, Surat
The amount of gratuity for employees whose employer is covered under the Gratuity Act can be calculated using the formula:
Gratuity = n*b*15 / 26
Where n = Tenure of service completed in the company
b = Last drawn basic salary + dearness allowance
For example, you have worked with XYZ company for a period of 15 years. Your last drawn basic salary along with dearness allowance was Rs 30,000. Hence:
The amount of gratuity = 15 * 30,000 * 15 / 26 = Rs 2,59,615
for better understanding, you may reach us at https://bit.ly/3dV6ujK
Zain
From India, Surat
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FORM-F-NOMINATI ON OF GRATUITY.pdf
Gratuity Form I.doc