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India Salary & Career

Notice Period Buyout Calculator

Estimate what leaving early could cost. Enter your monthly salary, total notice period and days already served to see an estimated buyout amount for the remaining days.

Notice Period Buyout Calculator

Salary basis

Estimated Buyout Amount

Estimated amount payable for unserved notice₹1,20,000

Remaining notice days
60
Estimated daily salary
₹2,000.00
Salary basis used
Gross salary
Days already served
30

Estimate only. The actual buyout depends on your employment agreement and company policy — some employers use basic salary, some use gross, and taxes may apply. This is not legal advice.

How to use this calculator

  1. Choose whether your employer calculates buyout on basic or gross salary.
  2. Enter that monthly salary figure.
  3. Enter your total notice period in days and the days you have already served.
  4. Read the estimated remaining days, daily rate and buyout amount.

Formula

Remaining notice days = Total notice days − Days served

Estimated daily salary = Monthly salary ÷ 30

Estimated buyout = Daily salary × Remaining notice days

Worked example

With a gross monthly salary of ₹60,000, a 90-day notice period and 30 days served, the remaining notice is 60 days. The daily rate is ₹2,000, so the estimated buyout is ₹1,20,000.

Assumptions

  • A month is treated as 30 days for the daily-rate calculation.
  • The whole remaining notice is bought out, with no leave adjustment.
  • Taxes, recoveries and other settlement items are not included.

Limitations

Employers use different formulas — some apply basic salary only, some include allowances, and some deduct from the full-and-final settlement instead of asking for a payment.

This is an estimate for planning only. The actual buyout depends on your employment agreement and company policy. This page is not legal, tax or financial advice.

Frequently Asked Questions

What is a notice period buyout?

It is an arrangement where you pay for the notice days you do not serve, so that you can leave earlier. Whether it is allowed, and on what basis, is decided by your employer.

Is buyout calculated on basic or gross salary?

Both are used in practice. Some employers use basic salary, others use gross or fixed monthly salary. The calculator lets you choose the basis you were told.

Can my new employer pay the buyout?

Some employers offer notice-period buyout support as part of an offer, but it is never automatic. Ask before assuming it.

Is buyout amount taxable?

Tax treatment depends on how the payment is structured and on your individual situation. Check with your employer or a qualified tax professional.

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