How is leave encashment valued?

Encashment is typically the number of eligible leave days × (last-drawn basic + DA) ÷ days in the month, per your leave policy.

Leave & Encashment Calculator

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Calculate accrued leave, carry-forward, and leave-encashment value from policy rules and last-drawn salary. Free for HR teams and employees.

Encashment Event

Employer Sector

Monthly Basic + DA (₹)

Unused Earned Leaves (Days)

Monthly Divisor

Years of Completed Service

Daily Wage Rate₹1,333.33

Total Payout Value₹60,000

Tax-Exempt Amount₹60,000

Taxable Portion₹0

Estimated Total Payout

₹0

Calculated under Section 10(10AA) rules of Income Tax.

How is leave encashment valued?: Encashment is typically the number of eligible leave days × (last-drawn basic + DA) ÷ days in the month, per your leave policy.

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