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Tuesday 19 March 2019

HOW TO CALCULATE GRATUITY END OF SERVICE : ONLINE CALCULATER : CALCULATE YOUR GRATUITY

CLICK HERE TO CALCULATOR.

 HOW TO CALCULATE GRATUITY END OF THE SERVICE ONLINE CALCULATOR CALCULATE YOUR GRATUITY 

The Central Government has given big gifts to private and public sector workers. Like central government workers, the private and PSU workers have also been paid taxpayer gratuity up to Rs 20 lakh. So far, this limit was been Rs 10 lakh. For this, the government will be soon introduce a bill in Parliament. 

This government decision will profit about 50 million people who work in private and public sector. The seventh pay structure commissioned by centrally workers recommended raising the limit of gratuity to Rs 20 lakh. On the base of which the government and some state government workers have been applied for. 


How Gratuity is Calculated 

 The gratuity quantum depends upon the term of service and last drawn payment. It's calculated according to this formula Last drawn payment( introductory payment plus honey allowance) X number of completed times of service X15/26. 

 According to this formula, the time period of over six months or further is considered as one time.

 This means if you have completed five times and seven months of service, the number of times would be considered as six times for computation of gratuity benefit. 

 On the other hand, if the service period is five times and five months, for gratuity computation it'll be considered five times.

 An employer can still give advanced gratuity than the quantum under the specified formula. 

 

 Maximum quantum

 For government workers,Rs. 20 lakh is the maximum quantum that can be paid as gratuity. The Seventh Pay Commission had recommended increase in the gratuity ceiling toRs. 20 lakh from the earlier position ofRs. 10 lakh. 

 The rule applies to these associations

 According to a statement issued by the government, the Gratuity Payments Act( 1972) applies to the association wherein 10 or further workers work. The main purpose of which is to give fiscal security after the withdrawal of the workers. frequently, indeed before the listed time limit for hand withdrawal, disability or else will be retired for any other reason. In turn, gratuity can be the main source of income. 

 

 This is how Gratuity is calculated 

 According to law, if an hand works continuously for at least five times in any association, also the company has to pay a gratuity to it. For every time service, the company has to pay the same quantum as 15 days of the final pay envelope. 

 payment means Basics Salary, Dearness Allowance and Commissions etc. It's included. piecemeal from this, if a person works for further than 6 months also his gratuity is considered to be a full time. For illustration, if a person works continuously for 7 times and 6 months, gratuity will be paid for 8 times.

 One month work is counted as 26 days for gratuity computations. For calculating 15- day stipend, the yearly payment is multiplied by 15 by 26 divided by 26. This number is multiplied by the number of times of service and the quantum that comes by is paid in gratuity form. 

 

 If the hand dies

 still, also this doesn't apply to the minimal 5 time rule, If an hand dies before serving five times. The remaining wheel has to pay the hand's legal race to the company. This is to be done within 30 days of each paid hand's final workday. If the payment is for further than 30 days also the interest is to be paid on that quantum according to the law. 

 HOW TO CALCULATE GRATUITY END OF SERVICE ONLINE CALCULATER CALCULATE YOUR GRATUITY 

CLICK HERE TO CALCULATOR

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