Employee Benefits Valuation

Gratuity Actuarial Valuation
Under AS 15 & Ind AS 19

Certified actuarial reports for your gratuity liability — compliant with Indian and international accounting standards, delivered by Fellows of the Institute of Actuaries.

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What is Gratuity Actuarial Valuation?

Gratuity is a defined benefit obligation under the Payment of Gratuity Act, 1972, payable to employees upon retirement, resignation, or death after five years of continuous service. Every Indian company is legally required to recognise this liability in its financial statements.

Under Ind AS 19 (Indian accounting standards) and AS 15(R) (Companies Act), the gratuity liability must be determined using the Projected Unit Credit Method (PUCM) — a certified actuarial technique that accounts for future salary escalation, employee attrition, mortality, and a discount rate based on government bond yields.

Failure to obtain a proper actuarial certificate can result in audit qualifications, regulatory non-compliance, and inaccurate financial reporting — exposing your organisation to significant risk.

Applicable to Every Organisation

  • Listed companies (mandatory under Ind AS 19 for all listed entities)
  • Unlisted companies with turnover above prescribed limits (AS 15 Revised)
  • Foreign subsidiaries reporting under IAS 19 or US GAAP
  • PSUs & government bodies with defined gratuity obligations
  • NGOs & trusts with statutory employee benefits
  • LLPs & partnerships requiring compliance reports

How CGC Delivers Your Gratuity Report

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Data Collection

We provide a simple template for employee data — date of joining, date of birth, current salary, and designation. You share the data; we handle the rest.

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Actuarial Computation

Our fellows apply the Projected Unit Credit Method (PUCM), incorporating salary escalation rates, attrition assumptions, mortality tables, and the prevailing discount rate.

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Certified Report

You receive a fully certified actuarial report — ready to submit to your statutory auditor — including Defined Benefit Obligation (DBO), service cost, interest cost, and OCI disclosures.

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Reconciliation & Support

We provide actuarial reconciliation between opening and closing balances and offer direct support to auditors for any queries on our assumptions.

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Multi-Standard Reporting

Reports can be prepared simultaneously under Ind AS 19, IAS 19, AS 15(R), and US GAAP — ideal for companies reporting to multiple stakeholders.

Fast Turnaround

With 52+ years of experience, we deliver accurate reports quickly — typically within 5–7 working days of receiving complete employee data.

What Your Gratuity Report Includes

  • Present Value of Defined Benefit Obligation (PVDBO) — total gratuity liability as of the balance sheet date
  • Current Service Cost — benefit earned by employees during the year
  • Interest Cost — unwinding of discount on the obligation
  • Actuarial Gains & Losses — experience adjustments and changes in financial/demographic assumptions
  • Other Comprehensive Income (OCI) disclosures — for Ind AS 19 / IAS 19 compliant reports
  • Sensitivity Analysis — impact of changes in discount rate and salary growth
  • Expected future benefit payments — projected cash outflows for the next 5–10 years
  • Actuarial assumptions schedule — all assumptions disclosed as required by standards

Compliant With All Major Accounting Standards

Ind AS 19 IAS 19 AS 15 (Revised) US GAAP ASC 715 IFRS Payment of Gratuity Act, 1972

India's Most Trusted Gratuity Valuation Firm

Charan Gupta Consultants (CGC) has been India's leading actuarial consultancy since 1972 — over five decades of unbroken expertise in employee benefits valuation. Our principals are Fellows of the Institute of Actuaries of India (FIAI) and Associate Members of the Institute and Faculty of Actuaries, UK.

We have served 4,000+ organisations across India, the Middle East, Sri Lanka, Nepal, Thailand, Singapore, and Africa — from listed MNCs to PSUs, leading hospitals, premier educational institutions, and SMEs.

Every report carries the certification of a qualified actuary, giving your statutory auditors complete confidence in the numbers.

  • 52+ years of continuous actuarial practice
  • FIAI-certified principals for every report
  • Auditor-ready format accepted by Big 4 and all major firms
  • Multi-standard — one engagement, multiple GAAP reports
  • Quick delivery — typically 5–7 working days
  • Direct auditor support — we respond to audit queries

Get Your Gratuity Valuation Report Today

Send us your employee data and receive a fully certified actuarial report within 5–7 working days.

Request a Quote → 📞 +91-8700-462-099