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Gratuity 2026 Old vs New

Gratuity Calculation with Joining and Exit Dates

Work out service duration from joining and exit records, then use only the legally eligible years in a gratuity estimate.

Last reviewed: 16 July 2026

Direct answer

How should joining and exit dates be used for gratuity?

Calculate the actual service period from employer records first, then apply the eligibility and rounding rule that governs the case. A calculator should not silently turn every partial year into a full year.

Worked example

If records show 10 years and several additional months, verify how the additional period is treated for that employment before entering the eligible service value.

What to check

  • Use documented joining and last-working dates.
  • Separate eligibility from amount calculation.
  • Avoid disputed service shortcuts without verification.

How the calculator approaches it

  1. 1.Enter the current eligible monthly wage used for gratuity.
  2. 2.Build a separate wage-base scenario from remuneration and the selected share.
  3. 3.Apply eligible wage x 15/26 x eligible service years to both cases.
  4. 4.Apply the verified cap and compare the results.

Important limitation

The calculator does not decide eligibility, statutory wage components, service rounding or transition treatment. Use the service and cap that legally apply to the employee.

Primary sources

Related questions

FAQs

How should joining and exit dates be used for gratuity?

Calculate the actual service period from employer records first, then apply the eligibility and rounding rule that governs the case. A calculator should not silently turn every partial year into a full year.

Which calculator should I use for this question?

Use RupeeKit's Gratuity 2026 Old vs New Calculator and replace the example with your own current figures.

RupeeKit provides educational estimates only. This page is not personalised financial, investment, tax, legal or lending advice. Verify current rules, product documents and your own facts before acting.