Leave Encashment Calculator

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Leave Encashment Calculator

Calculate the monetary value of your unused leave days

₹
Standard: 30 days (calendar month) or 26 days (excluding weekends)

Leave Encashment Amount

₹0.00

How it’s calculated:

Leave Encashment Calculator

Complete User Guide & Documentation

Welcome to the Leave Encashment Calculator

This tool helps you accurately calculate the monetary value of your unused leave days based on your basic salary. The calculator provides instant results and a detailed breakdown of the calculation process.

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Real-time Calculation

Get instant results as you type with live updates

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Detailed Breakdown

See a step-by-step explanation of how your encashment is calculated

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Responsive Design

Works perfectly on all devices from desktops to smartphones

How to Use the Calculator

1

Enter Your Basic Salary

Input your monthly basic salary component (not your gross salary). This is the amount that will be used to calculate your daily wage rate.

Tip

Basic salary typically excludes allowances, bonuses, and other additional compensation.

2

Specify Number of Leave Days

Enter the number of leave days you want to encash. You can use decimal values (like 5.5) to represent half-days.

3

Confirm Working Days in Month

The default is set to 30 days (calendar month), but you can change this based on your organization’s policy. Some organizations use 26 days (excluding weekends) or other values.

Common Working Day ConfigurationsDescription
30 daysCalendar month (standard)
26 daysExcluding weekends (common in many organizations)
22 daysWorking days only (excluding weekends and typical holidays)
4

View Your Results

The calculator will instantly display your encashment amount as you input the values. You’ll also see a detailed breakdown showing how the amount was calculated.

The Formula Used

Leave Encashment = (Basic Salary ÷ Working Days) × Number of Leave Days

5

Reset as Needed

Use the Reset button to clear all values and start a new calculation. This is useful if you want to try different scenarios or calculate encashment for different periods.

Frequently Asked Questions

Is tax deducted from the calculated encashment amount?
No, this calculator shows the gross encashment amount before any tax deductions. In most countries, leave encashment is taxable income. Please consult with your tax advisor regarding the applicable tax implications.
What if my organization has a different formula for calculating leave encashment?
Some organizations may use different components of salary (like basic + DA) or have special rules for encashment. This calculator uses the standard formula based on basic salary. Check your organization’s policy for any specific rules.
Can I calculate leave encashment for partial days?
Yes, you can enter decimal values (like 10.5) to represent partial days. The calculator will provide results accordingly.
What is the difference between 30 days and 26 days in the working days field?
30 days represents a full calendar month, while 26 days typically represents a month excluding weekends (52 weekend days ÷ 12 months = approximately 4 weekend days per month, so 30 – 4 = 26). Your organization may have specific policies about which to use for leave encashment calculations.
Does this calculator account for leave encashment limits?
No, this calculator does not impose any limits on the number of days that can be encashed. Many organizations and government policies limit the number of days that can be encashed in a year. Please refer to your organization’s policy for any applicable limits.

Important Note

This calculator is designed for informational purposes only. The actual encashment amount may vary based on your organization’s specific policies, applicable laws, and tax regulations. Always verify the calculation with your HR department.

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