Here's how your Gratuity is calculated
Any employee of a private company that provides EPF facilities is eligible to receive an amount as gratuity after completing 5 years of service.
However, an employee is also eligible to get the gratuity before five years if he/she gets injured and disabled in an accident or due to a disease.
All gratuity payments are controlled by the laws laid down under the Payment of Gratuity Act 1972.
The amount depends on the last drawn salary and the years of service served to the company.
If you are eligible for payment of gratuity, you must first check how much you are eligible for.
Gratuity Calculation Formula
The formula used to calculate gratuity is:
G = no of years of service*(Basic+Dearness Allowance)*15/26