Notice Period Recovery Calculator

Most Indian employment contracts specify a notice period — commonly 30, 60 or 90 days — that either party must give before ending employment. Leave earlier than that (with your employer's approval to buy out the balance, or without it, depending on your contract) and the company typically recovers salary equivalent to the shortfall from your final settlement, often called "notice pay recovery" or "buyout amount."

The calculation is straightforward: your monthly salary divided by 30 gives a per-day rate, multiplied by the shortfall in days — the gap between what your contract requires and what you actually served. If you served the full required notice, there's no shortfall and no recovery; the calculator correctly shows zero rather than an error in that case.

This is exactly the mirror image of the leave encashment calculation, just working in the opposite direction — money the company owes you for unused leave versus money you owe the company for unserved notice. Whether an employer can actually enforce recovery, and how it's structured (deducted from final salary vs. a separate demand), depends on your specific contract terms; some employers waive the recovery for a smooth transition or accept a shorter notice by mutual agreement.