Is gratuity tax-free?

Gratuity up to ₹20 lakh is exempt from income tax under Section 10(10) of the Income Tax Act for employees covered under the Gratuity Act.

Is 5 years service mandatory for gratuity?

Yes. An employee must complete at least 5 years of continuous service to be eligible for gratuity, except in cases of death or disability.

Is this Gratuity Calculator completely free to use?

Yes, the Gratuity Calculator on Gronex.ai is 100% free forever. There are no fees, no subscriptions, no credit card requirements, and no usage limits.

Do I need to sign up or create an account to use this free tool?

No registration or account creation is required. You can use the free Gratuity Calculator immediately in your web browser with zero signup.

Is my data private and secure when using this free online Gratuity Calculator?

Yes. All processing runs 100% client-side directly in your browser. Your inputs and data never leave your device and are never stored on any server.

Personal Finance100% Free ToolPopular

Free Gratuity Calculator Online

Calculate statutory gratuity amount payable under the Payment of Gratuity Act based on last drawn salary and years of continuous service. — 100% free online utility, zero sign-up, zero paywalls, and private client-side processing.

100% Client-Side0ms Latency

0ms Financial EngineIEEE-754 Precision Float

Initial Capital ($)

Annual Interest / Return Rate (12%)

Duration (10 Years)

Future Value$31,058

Total Capital Profit$21,058

Initial Principal$10,000

How It Works

Enter Last Basic Salary + DA

Input your last drawn Basic Salary + Dearness Allowance.

Enter Years of Service

Input total continuous years of service with the employer (minimum 5 years required).

View Gratuity Amount

See statutory gratuity amount and whether it's within the ₹20 lakh tax-exempt limit.

Frequently Asked Questions

Gratuity = (Last Drawn Salary × 15 × Years of Service) / 26, where salary = Basic + DA. The 15/26 factor represents 15 working days per month.

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