Gratuity Calculator for CG Employees

Gratuity Calculator India for Government Employees

Calculation fo Gratuity & Leave Encashment

Central Government employees retired during the period from January 2020 to June 2021 – Calculation of Gratuity and Cash payment in lieu of Leave – Finance Ministry OM dated 07.09.2021 PDF Download – Click Here

Retirement Gratuity Calculator 2021

Gratuity Calculator for Central Government Employees after 7th Pay Commission

Gratuity Calculator Formula 2021

How to Check Gratuity Calculator:

Enter Your Basic Salary with Pay Matrix Level with Qualifying Service. However the maximum qualifying service to be taken on account as 33 years.

Gratuity on Pension Calculator
Select Pay Level:
Select Matrix Pay
Qualifying Service	Years Month(s)

[Note: The above calculation results are approximate only]

Calculator Type	Retirement Gratuity Calculator
Beneficiaries	Central Government Employees
Features	Pension, Bank Pension with Gratuity Lumpsum
Created on	1.7.2021
Updated on	1.8.2021
Designed by	TEUT Digital Concepts

Death, Retirement, and Service Gratuity for Central Government Employees

Retirement gratuity is calculated at the rate of half month’s emoluments for every completed six monthly
period of qualifying service. And the maximum amount of gratuity is Rs. 20 lakhs.

There are three types of Gratuity in force in Government services…

Retirement Gratuity, Death Gratuity and Service Gratuity

Retirement Gratuity: This is payable to the retiring Government servant. A minimum of 5 years’ qualifying service and eligibility to receive service gratuity/pension is essential to get this one-time lump sum benefit. Retirement gratuity is calculated @ 1/4th of a month Basic Pay plus Dearness Allowance is drawn on the date of retirement for each completed six monthly periods of qualifying service. There is no minimum limit for the amount of gratuity. The retirement gratuity payable for qualifying service of 33 years or more is 16 times the Basic Pay plus DA, subject to a maximum of Rs. 20 lakhs.

Death Gratuity: This is a one-time lump sum benefit payable to the nominee or family member of a Government servant dying in harness. There is no stipulation in regard to any minimum length of service rendered by the deceased employee. Entitlement of death gratuity is regulated as under:

Qualifying Service	Rate
Less than one year	2 times of basic pay
One year or more but less than 5 years	6 times of basic pay
5 years or more but less than 11 years	12 times of basic pay
11 years or more but less than 20 years	20 times of basic pay
20 years or more	Half of the emoluments for every completed 6 monthly periods of qualifying service subject to a maximum of 33 times of emoluments.

The maximum amount of Death Gratuity admissible is Rs. 20 lakhs w.e.f. 1.1.2016

Service Gratuity: A retiring Government servant will be entitled to receive service gratuity (and not pension) if the total qualifying service is less than 10 years. The admissible amount is half a months basic pay last drawn plus DA for each completed 6 monthly periods of qualifying service. This one-time lump sum payment is distinct from retirement gratuity and is paid over and above the retirement gratuity.

Latest Updates on Gratuity for CG Employees:

CG employees retired during the period from Jan 2020 to June 2021: Calculation of Gratuity and Leave Encashment September 9, 2021
Loss of Gratuity and Leave Salary Due to Freezing of Dearness Allowance October 10, 2020
Release Gratuity to retired employees of BSNL without any delay July 11, 2020
Benefit of Gratuity to CG Employees Covered under National Pension System (NPS) February 17, 2020
Gratuity – Calculation, Ceiling, Qualifying Service and Rates September 17, 2019
Revision of Gratuity and Severance Amount to GDS July 24, 2019
7th Pay Commission Committee recommendations on Gratuity July 23, 2019
Stoppage of Retirement and Death Gratuity to the NPS Subscribers May 28, 2019
IT Exemption for Gratuity upto 20 Lakhs – Gazette Notification March 15, 2019
IT Exemption on Gratuity – 20 lakhs w.e.f. 29.3.2018 March 12, 2019
Brief on Payment of Gratuity (Amendment) Act, 2018 May 31, 2018
Gazette Notification on Gratuity: Amount, Effective Date and Maternity Leave March 30, 2018
Gratuity ceiling raised to 20 Lakhs w.e.f. 29.3.2018 March 30, 2018
Upper Ceiling on Gratuity 20 Lakhs March 24, 2018
UFBU writes to Finance Minister regarding Gratuity Ceiling December 11, 2017
Non-Payment of Gratuity and Pay Revision Arrears by HEC March 15, 2017
Retirement Gratuity Ceiling hiked to Rs.20 lakh for bank employees and officers March 7, 2017
Rationalisation of Death Gratuity by 7th Pay Commission December 12, 2015
7th CPC increased Gratuity Ceiling limit – 20 lakh from 1.1.2016 December 12, 2015

What is the ceiling of Gratuity?

The 7th pay commission is recommended to enhance the ceiling of Gratuity from Rs. 10 lakh to 20 lakh.

Why calculating taken 26 Days instead of 31?

As per the labour law in India, the maximum working days in a month should be 26. A weekly holiday should be given to employees is compulsory.

Is Gratuity Taxable for CG Employees?

According to the existing gratuity rules and act the amount of gratuity received is fully exempt from income tax. The maximum ceiling is now Rs. 20 lakh after the 7th pay commission.

How to calculate Gratuity?

The formula for Calculating Gratuity for Central Government Employees is one-fourth of the emoluments (Basic Salary plus Dearness Allowance) for each completed six monthly periods of qualifying service, subject to a maximum of 16½ times the emoluments.

What is Gratuity in Central Government Services?

Gratuity is a hidden savings of employees working in Government services. The gratuity amount is calculated depends upon his period of service. The bulk amount of Gratuity is usually paid at the time of retirement. In some cases, it can be paid before as per existing rules.

How many types of Gratuity in Govt Services?

Three types of Gratuity are in Central Government Services. One is Retirement Gratuity, 2nd is Service Gratuity and the third is Death Gratuity.