Leave Calculator India 2026 — Earned, Casual & Encashment
Work out earned leave, casual leave and sick leave under the Factories Act or your state's Shops & Establishments Act — and what your leave balance is worth if you encash it.
Sets the accrual rate and carry-forward cap.
240 days is the usual qualifying threshold for earned leave.
Encashment is calculated on Basic plus Dearness Allowance.
One day of leave is worth ₹1,154 at this divisor.
Earned leave balance
12days
Accrued at 1 day per 20 days worked.
Encashment value
₹13,846
Basic + DA ÷ 26 × 12 days.
Carried forward
12days
Cap is 30 days.
Casual + sick leave
24days
12 casual + 12 sick per year.
Statutory figures follow India Code — Factories Act 1948, s.79. Every value above is editable, because contracts and awards often improve on the legal minimum. This calculator is a guide, not legal advice — check your own contract or the authority linked above before acting on a figure.
How leave is calculated in India
There is no single national leave standard for commercial establishments. The Factories Act 1948 covers factories and grants one day of earned leave for every 20 days worked, provided the employee worked at least 240 days in the previous year. Offices and shops are covered by their own state's Shops & Establishments Act, which sets its own figures.
Most states follow the same one-day-per-20-days accrual for earned leave, but casual leave and sick leave vary widely — from eight casual days in Maharashtra to 14 in West Bengal. Carry-forward caps also differ, ranging from 24 days in Tamil Nadu to 63 in Gujarat.
Leave encashment is calculated on Basic plus Dearness Allowance, not gross salary. The statutory approach divides monthly Basic + DA by 26 paid days; many employers apply a flat 30 instead, which produces a lower per-day rate. Both options are available above.
Casual leave generally cannot be encashed or carried forward — it lapses at year end. Only earned leave accumulates and attracts encashment.
Need to record the result somewhere? Grab the free leave tracker template and keep a running balance for every employee.
Track time off and accruals on autopilot.
Employees request time off in seconds, balances stay accurate, and approvals happen in a tap — no spreadsheets, no manual math.
Multiple time-off types
Manage vacation, sick leave, personal days and custom leave types in one place. Employees request time off, view balances, and get real-time updates. Managers set custom rules, automate approvals, and get reports on usage.
- Custom leave types
- Real-time balances
- One-tap approvals
- Automated accruals
Days or hours
Track time off in days or hours — whichever fits your policies.
Automated accruals
Accrue by tenure, hours worked, anniversary — weekly, 2-weeks, monthly or yearly.
- Tenure rules
- Carry forward
- Probations
- Anniversary
Time off notifications
Employees and managers get instant updates on requests and approvals.
Vacation dashboard
See who's off, who's sick, and who's remote across the whole company.
Statutory annual leave by country
The legal minimum paid annual leave for a full-time employee on a five-day week, and whether public holidays are granted on top. Employers frequently offer more than the floor shown here.
| Country | Annual leave | Public holidays | Notes |
|---|---|---|---|
| United Kingdom | 28 days | — | 5.6 weeks; employers may count the 8 bank holidays within it. |
| Ireland | 20 days | +10 | 4 weeks, or 8% of hours worked, whichever is greater. |
| Australia | 20 days | +11 | 4 weeks under the NES, accruing progressively; plus long service leave. |
| New Zealand | 20 days | +12 | 4 weeks after 12 months of continuous employment. |
| Canada | 10 days | +9 | 2 weeks federally, rising with service; provinces set their own floors. |
| United States | None | — | No federal statutory paid leave; PTO is set entirely by employer policy. |
| India | 15 days | +3 | Earned leave varies by state Act; Factories Act gives 1 day per 20 worked. |
| Singapore | 7 days | +11 | 7 days in year one, rising by 1 a year to 14 days. |
| United Arab Emirates | 30 days | +14 | 30 calendar days a year after 12 months of service. |
| Saudi Arabia | 21 days | +4 | 21 days, rising to 30 after five years of service. |
| South Africa | 15 days | +12 | 21 consecutive days, i.e. 15 working days on a 5-day week. |
| Philippines | 5 days | +18 | 5 days service incentive leave, usable as vacation or sick leave. |
| Germany | 20 days | +9 | 20 days statutory on a 5-day week; 25–30 is the norm in practice. |
| France | 25 days | +11 | 5 weeks, accrued at 2.5 working days per month worked. |
| Spain | 22 days | +14 | 30 calendar days, i.e. 22 working days on a 5-day week. |
| Mexico | 12 days | +7 | 12 days in year one since the 2023 reform, rising with service. |
Frequently asked questions
What are the main types of leave in India?
Earned leave (also called privilege leave or annual leave), casual leave, and sick leave are the three standard categories. Earned leave accrues against days worked, carries forward up to a cap and can be encashed. Casual leave covers short unplanned absences and usually lapses at year end. Sick leave covers illness and may require a medical certificate.
How is earned leave calculated?
Under the Factories Act 1948, employees earn one day of leave for every 20 days worked, which is roughly 15 days for a full year of 300 working days. Employees must have worked at least 240 days in the preceding year to qualify. Most state Shops & Establishments Acts apply the same rate.
What is the leave encashment formula?
Leave encashment equals (Basic + Dearness Allowance ÷ number of paid days in the month) × number of unused earned leave days. The statutory calculation uses 26 paid days; many employers use a flat 30. Only earned leave is normally encashable — casual leave is not.
Is leave encashment taxable in India?
Leave encashment received while still in service is fully taxable as salary. Encashment on retirement or resignation is exempt for government employees, and exempt for non-government employees up to a statutory limit under Section 10(10AA), with the balance taxable.
How much earned leave can be carried forward?
The cap is set by the applicable Act and varies by state — commonly 30 days under the Factories Act, 45 in Maharashtra and Delhi, 60 in Telangana and 63 in Gujarat. Days above the cap generally lapse at the end of the leave year unless the employer's policy is more generous.
What is the difference between casual leave and earned leave?
Casual leave is for short, unplanned absences, usually limited to two or three consecutive days, and it lapses at the end of the year. Earned leave is accrued against days worked, can be taken in longer blocks with notice, carries forward up to a cap, and can be encashed.
More free tools and templates
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Track vacation, sick and personal leave balances per employee.
Timesheet Template
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Work Schedule Templates
Weekly, bi-weekly, monthly and shift schedules for your team.
Clock In / Clock Out Sheet
Printable sign-in log for recording start and finish times.
Time Off Request Form
A simple leave request form your team can fill in and submit.
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