# Gratuity deduction in ctc

**URL:** <https://community.greythr.com/t/gratuity-deduction-in-ctc/2867>\
**Category:** Payroll\
**Tags:** salary\
**Created:** [June 10, 2021, 12:16pm UTC](https://community.greythr.com/t/gratuity-deduction-in-ctc/2867 "2021-06-10T12:16:32Z")\
**Posts on this page:** 4\
**Page:** 1

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**Author:** ![OwenMedia2021](https://avatars.discourse-cdn.com/v4/letter/o/e79b87/32.png) [@OwenMedia2021](https://community.greythr.com/u/OwenMedia2021)\
**Post date:** [June 10, 2021, 12:16pm UTC](https://community.greythr.com/t/gratuity-deduction-in-ctc/2867/1 "2021-06-10T12:16:33Z")

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Hi All,

I have a question… There are few employees who are deducting gratuity from the total CTC of the employee.  
Is it right? And also if that employee will not continue for 5 years with them what will happen to the deducted gratuity till the day they have resigned or left.

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**Author:** ![Ankit](https://sea2.discourse-cdn.com/flex024/user_avatar/community.greythr.com/ankit/32/1201_2.png) [@Ankit](https://community.greythr.com/u/Ankit)\
**Post date:** [June 10, 2021, 1:50pm UTC](https://community.greythr.com/t/gratuity-deduction-in-ctc/2867/2 "2021-06-10T13:50:20Z")

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Hi

Employer mentioning Gratuity as a part of CTC in benefits section is not an issue if it clearly states “Payable as per provisions of Payment of Gratuity Act”.

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**Author:** ![Gursimrankaur](https://avatars.discourse-cdn.com/v4/letter/g/ed8c4c/32.png) [@Gursimrankaur](https://community.greythr.com/u/Gursimrankaur)\
**Post date:** [June 12, 2021, 10:46am UTC](https://community.greythr.com/t/gratuity-deduction-in-ctc/2867/3 "2021-06-12T10:46:48Z")

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So if anyone resigns before 5 years, he can claim the deducted amount?

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**Author:** ![Ankit](https://sea2.discourse-cdn.com/flex024/user_avatar/community.greythr.com/ankit/32/1201_2.png) [@Ankit](https://community.greythr.com/u/Ankit)\
**Post date:** [June 14, 2021, 4:52am UTC](https://community.greythr.com/t/gratuity-deduction-in-ctc/2867/4 "2021-06-14T04:52:38Z")

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If the CTC says, “Payable as per provisions of Payment of Gratuity Act" - He cannot claim the same.
