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Joining bonus clawback calculator

Joining bonuses come with a lock-in. Leave before it ends and you repay, usually pro-rated for the months you did serve.

The trap is that most contracts require repayment of the gross amount, while you only ever received the net. The tax your employer deducted is gone, and getting it back is a separate fight with the tax department, not with your employer.

Amount to repay

₹1,75,000

₹54,600 of that is money you never actually received

Bonus, gross
₹3,00,000
Tax deducted at the time
- ₹93,600
What actually reached you
₹2,06,400
Months served
10 of 24
Months unserved
14
Repayable amount
₹1,75,000
The gross-versus-net gap
₹54,600

Recoverable only through your tax return, and not always then

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How this is worked out

What this does not cover

Questions people ask

Do I repay the gross bonus or the net I received?
Almost always the gross, because that is what most contracts say. It means you are out of pocket by the tax that was already deducted, and recovering that is a matter for your tax return rather than your old employer.
Can I claim the tax back on a repaid bonus?
You can try, by reducing the salary reported for that year, and it has succeeded at tribunal. It has also failed. Get a certificate from your employer confirming the repayment before you file.
Is a clawback clause enforceable?
Generally yes, if it is a genuine pre-estimate of loss rather than a penalty, and if you actually signed it. Courts have been less friendly to clauses that read as punishment for leaving.

Where these figures come from

Rates and rules on this page were last checked against the source on . Tax law changes; check the source before you rely on a number for a decision.

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