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Monthly Wage and Service Gratuity Formula
Apply the fifteen-day monthly-wage formula with explicit service-year rounding above six months.
- Formula & worked example
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Calculator inputs
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How to use this calculator
- Enter the known values in the units shown. Results update as you type.
- Where results are editable, change one to solve backwards. Lock a value to hold it fixed.
- Use the worked example to check the method. Reset restores the starting fields.
Use the result with context
Results are estimates for planning and education. Confirm rates, taxes, fees, and legal requirements with the relevant institution or a qualified professional before making a financial decision.
Formula and method
A monthly qualifying wage of 26000 and five years seven months count six service years, giving an uncapped formula amount of 90000.
Amount = wage × 15/26 × counted years; a partial year counts only when it exceeds six months.
Worked example
Enter these known values and leave the other values blank.
- Final month's salary + D.A.
- 26000 USD
- How long did you work?
- 5:7 yrs / mos
- Total gratuity
- 90000 USD
Assumptions and limitations
- This estimates the uncapped monthly-rated fifteen-day formula from entered qualifying wage and counted service. It does not decide legal eligibility, continuous service, fixed-term exceptions, wage-definition exclusions, ceilings or tax.
- Service is rounded up only beyond six months. Exactly six months does not add a year; this corrects the captured JavaScript rounding boundary.
- Use the wage basis appropriate to the applicable rules, including qualifying DA. Currency selectors are unit convenience; the formula does not determine jurisdiction.
- Enter all monetary amounts in a single currency. Retained currency conversion factors are a captured static snapshot, not live exchange rates.
- Clear a known field before solving for it. Locks retain chosen inputs; inconsistent locked values need correction. Reset restores the captured defaults.
Common questions
What does the worked example show?
A monthly qualifying wage of 26000 and five years seven months count six service years, giving an uncapped formula amount of 90000.
What assumptions limit this calculation?
This estimates the uncapped monthly-rated fifteen-day formula from entered qualifying wage and counted service. It does not decide legal eligibility, continuous service, fixed-term exceptions, wage-definition exclusions, ceilings or tax.
References
- Ministry of Labour: social security code monthly-rated gratuity formula
- Calculation definition and unit reference
Use the documented finite scenario domain. final month salary must be positive. This retained scenario requires at least five years service. Replace the captured rounding helper with local arithmetic. Correct exactly-six-month rounding: a partial service year counts only above six months. Captured controls and presentation formulas remain.
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