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PRGF calculator: retirement gratuity contribution

The PRGF is a fund that pays a worker a gratuity when they retire, from money their employers put in every month. Every employer without a private pension scheme pays it for every worker earning a basic wage of Rs 200,000 or less. Type the wage and see what you owe.

The basic wage decides whether the worker is in the fund at all.
Basic wage plus overtime and any productivity or attendance bonus. The contribution is a percentage of this bigger number.

Nothing you type leaves your device.

How we worked it out

  1. Rate: 4.5% of monthly remuneration for every employer since 1 January 2025 (Workers' Rights (PRGF) Regulations 2020, First Schedule as replaced by GN 123 of 2020).
  2. Remuneration here means basic wage plus overtime and any productivity or attendance bonus. The Rs 200,000 cap is tested on the basic wage alone (Workers' Rights Act 2019 s.87 and s.90(1)(e)).
  3. Payment is due by the 20th of the month after the month it relates to (Workers' Rights Act s.94(2)).

The law behind this

Before you rely on this

  • If you already run a private pension scheme that pays at least as much per month, the worker is outside the PRGF (s.90(1)(c) and s.94(1)(a)).
  • Self-employed people pay a flat amount, not a percentage. This calculator does not cover that.