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Gratuity

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Querist : Anonymous

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Querist : Anonymous (Querist)
01 April 2016 Dear Experts,
Plz explain me what is gratuity weather it is PF or anything else

Regard
Aman bohra
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CMA. CS. Sanjay Gupta

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CMA. CS. Sanjay Gupta (Expert)
01 April 2016 Gratuity and PF are completely different.

Gratuity is a retirement benefit. Gratuity is a part of salary that is received by an employee from his/her employer in gratitude for the services offered by the employee in the company. Gratuity is a defined benefit plan and is one of the many retirement benefits offered by the employer to the employee upon leaving his job. PF is also a retirement benefit but both PF and Gratuity are different. To be eligible for Gratuity 5 years of continuous service is required.
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