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Q:

What is exemption limit of gratuity

Answer

It is Rs. 10,00,000 now.

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Q:

How do you calculate gratuity?

Answer

Gratuity is paid to all such employees after their resignation or retirement.Incase of resignation gratuity is paid to such employees who have completed 5 years of service.


Calculation of gratuity = Basic + DA x (15/26) x Total no. yrs service


15- Half month


26- Excluding 4 sundays

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