UAE Gratuity Calculator

How Gratuity Is Worked Out in the UAE

For expatriates in the private sector, end of service gratuity follows Article 51 of Federal Decree-Law No. 33 of 2021, the UAE Labour Law. These are the rules as the official UAE government portal sets them out:

• You need at least one year of continuous service. Days of unpaid absence are not counted.
• For each of the first five years you receive 21 days of your basic wage.
• For each year after the first five you receive 30 days of your basic wage.
• Part years are paid in proportion to the time served, once you have completed one year.
• Gratuity is based on your last basic salary. Allowances such as housing, transport and utilities are not included.
• The total can never be more than two years of wage.
• Your employer must pay your end of service dues within 14 days of the contract ending, and may deduct amounts you owe them.

Part time workers receive the same benefit in proportion to their contracted hours compared with full time hours (Article 30 of Cabinet Resolution No. 1 of 2022). The normal full time week in the private sector is 8 hours a day or 48 hours a week. UAE nationals receive end of service benefits under the pensions and social security law instead. Employers who join the alternative savings scheme (Cabinet Resolution No. 96 of 2023) pay monthly contributions, and you receive that balance instead.

This calculator takes your daily basic wage as your monthly basic salary divided by 30, and counts one year as 365 days of service.

Source: The Official Portal of the UAE Government, end of service benefits for workers in the private sector, checked 20 October 2026.

A Worked Example

Sara has worked for exactly 7 years with a basic salary of AED 9,000 a month and no unpaid leave. Her daily basic wage is AED 300 (9,000 divided by 30). For the first five years she receives 5 times 21 days, which is 105 days. For the two years after that she receives 2 times 30 days, which is 60 days. In total that is 165 days, or AED 49,500.

Frequently Asked Questions

Is gratuity calculated on basic salary or total salary?

On basic salary. Allowances such as housing, transport, utilities and furniture are not part of the calculation.

Do I get gratuity if I resign?

The official rules link gratuity to completing at least one year of continuous service and do not set a lower rate for resignation, so the same 21 and 30 day rates apply.

Do I get gratuity if I worked less than one year?

No. Gratuity is only due after at least one year of continuous service.

Does unpaid leave count towards my service?

No. Days of unpaid absence are taken out of your service period before the gratuity is worked out.

How long does my employer have to pay?

Your employer must pay your end of service dues within 14 days of the contract ending.

Important Notice and Terms of Use

General information only. This tool gives general information. It is not legal, regulatory, financial or other professional advice, and it is not a calculation of your legal entitlement or a guarantee of any payment.

How the result is produced. The result is an automated indication based only on the answers you enter and on our reading of Article 51 of Federal Decree-Law No. 33 of 2021 on the Regulation of Labour Relations as summarised on the official u.ae portal, and the assumptions stated on this page. We last checked these sources on 20 October 2026. Rules, fees and procedures change, can be interpreted differently and can depend on facts this tool does not ask about. Only your employer, the Ministry of Human Resources and Emiratisation or a court can decide your case.

Independent company. OzaniX Partners is an independent private company. It is not part of, affiliated with, authorised by or endorsed by any government authority, including DHA, DOH, MOHAP, SHA, CDA and MOHRE.

Check before you act. Do not rely on this tool alone. Before you resign, sign a settlement, accept or refuse a payment, or file a claim, confirm the position directly with your employer, the Ministry of Human Resources and Emiratisation or a court, or take independent professional advice.

No warranty. The tool is free and is provided "as is" and "as available", without any warranty or representation of any kind, express or implied, including as to accuracy, completeness, timeliness, fitness for a particular purpose or uninterrupted availability.

Limitation of liability. To the fullest extent permitted by applicable law, OzaniX Partners and its owners, directors, staff, contractors and partners are not liable for any loss or damage of any kind, whether direct, indirect or consequential, including loss of income, earnings, employment, opportunity, fees, time or data, arising out of or in connection with the use of, inability to use, or reliance on this tool, its results or any email we send about them. Nothing in this notice excludes or limits any liability that cannot be excluded or limited under the laws of the United Arab Emirates.

Your acceptance. By using this tool you confirm that you have read and accept this notice. If you do not accept it, please do not use the tool. This notice is governed by the laws of the United Arab Emirates as applied in the Emirate of Dubai. We may update it at any time; the version on this page applies.

Your details. If you ask us to email your result, we use your name and email only to send that one email, which also includes information about OzaniX Partners services. We keep them for 7 days to prevent misuse of the form and then delete them. See our privacy policy.