Gratuity Formula:
For employees covered under the Payment of Gratuity Act, 1972:
Gratuity=Last Drawn Basic salary×15×Number of Years of Service/26
Where:
- Last Drawn Salary = Basic Salary + Dearness Allowance (DA)
- 15 = Number of days salary considered per year of service
- 26 = Number of working days in a month
