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Leave Encashment Calculator

Calculate the monetary value of accumulated unused leave for encashment at retirement.

Leave Encashment Calculator — Calculate the monetary value of accumulated unused leave for encashment at retirement. Use FinWiz24's free leave encashment calculator for accurate results.

Formula

Encashment = (Basic/30) × Earned Leaves

Basic Salary, Earned Leaves, Max Leaves

Results

Enter values above to see results

Formula

Encashment = (Basic/30) × Earned Leaves

Leave encashment is calculated based on earned leaves accumulated. The formula is (Basic Salary / 30) × Number of earned leaves. This is payable on resignation, retirement, or as advance leave. Tax exemption is limited to ₹25 lakh under Section 10(10AA).

Example

Basic salary ₹50,000 with 30 earned leaves (max 10 encashable)

Input Values

Basic Monthly Salary (₹)₹50,000.00
Earned Leaves₹30.00
Max Leaves Encashable₹10.00

Calculation

Applying the formula with the input values above:

Results

Encashment Amount

₹50,000.00

Taxable Amount

₹0.00

How to Use This Calculator
  1. 1Enter your basic monthly salary as per your last pay slip.
  2. 2Input your earned leaves balance (accumulated leaves shown in payslip).
  3. 3Note that encashment rules vary by company and government vs private sector.
  4. 4For government employees, leave encashment is partially tax-exempt.
  5. 5Private sector employees can encash accumulated leaves as per company policy.