If someone’s basic is Rs. 21770/- then what will be the gratuity contribution?
From India, Bengaluru
1From India, Bengaluru
Hi,
Use formula as below upon completion of 5 years of minimum service for being eligible for gratuity as per gratuity act 1972. One has to rendered 240 days minimum in a year so that the particular year is considered as completed, if not then that year will not be considered in calculation. Remember 240 days are the one for which he/she is being paid which includes leaves as well.
21700/26*15*5= 62596
(Basic salary/26*15* number of years of service)
From India, New Delhi
Use formula as below upon completion of 5 years of minimum service for being eligible for gratuity as per gratuity act 1972. One has to rendered 240 days minimum in a year so that the particular year is considered as completed, if not then that year will not be considered in calculation. Remember 240 days are the one for which he/she is being paid which includes leaves as well.
21700/26*15*5= 62596
(Basic salary/26*15* number of years of service)
From India, New Delhi
gratuity contribution generally comes as 4.81/% of basic + da. It can be part of CTC blet cannot be shown in pay slip.
From India, Pune
From India, Pune
The question is not in full I believe. First of all, employee does not contribute anything towards the gratuity. Secondly the employer's liability will arise only at the time of employee's resignation or superannuation or termination or death/disability. In normal cases it has to be more than five years of continuous service in the present employment to be eligible for payment of gratuity. As already pointed out the calculation will be: 15/26 x Salary x number of years worked, where Salary includes Basic + DA.
From India, Hyderabad
From India, Hyderabad
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