UAE gratuity calculator

Work out end-of-service gratuity under UAE Labour Law (Federal Decree-Law 33 of 2021). Enter your basic salary and your dates, and see the full working, not just a total.

Basic only. Not including allowances.

Paid out on top.

Deducted from service, as Article 51 requires.

What this assumes
  • Gratuity is calculated on basic salary, not gross.
  • The daily wage is basic divided by 30.
  • Days of absence without pay are excluded from service, as Article 51 requires.
  • Under one year of continuous service earns no gratuity.
  • Full-time work. Part-time and flexible contracts are pro-rated by hours.
  • Your employer has not enrolled you in the voluntary savings scheme.

Enter your salary and dates, then calculate.

An estimate to help you plan, not a legal entitlement. Your contract, unpaid leave, deductions and the circumstances of leaving can all change the final figure. For a binding answer, speak to your employer, your PRO or MOHRE.

How UAE gratuity is calculated

Under Federal Decree-Law 33 of 2021, end-of-service gratuity is earned on basic salary and grows with length of service.

21

days per year, first 5 years

Each year of service up to five earns 21 days of basic pay, pro-rated for part years.

30

days per year, after 5

From the sixth year onward, each year earns 30 days of basic pay.

24

months, the ceiling

Total gratuity never exceeds two years of basic salary, however long the service.

The part most calculators get wrong

Article 51 also says that days of absence without pay are not counted in the period of service, and MOHRE applies that directly. Take two months of unpaid leave across your employment and your service length for gratuity purposes is two months shorter, not the full calendar span from your first day to your last. Most calculators online skip this and quote a number slightly higher than the one you are paid, which is why there is a field for it above.

Running this for a whole team?

One person leaving is a calculator. Forty people, each with a different start date, a different basic and a leave balance nobody has reconciled, is a spreadsheet you do not want to own. ValiCrew computes end-of-service for every leaver from the salary history it already holds, and produces the payslip and the WPS file alongside it.

Questions

Is gratuity based on basic salary or total salary?

Basic salary. Allowances for housing, transport, utilities and the rest are excluded, which is why the figure is often lower than people expect.

Do I still get gratuity if I resign?

Yes. The old reductions, where resigning before five years cut your gratuity to a third or two thirds, were repealed by the 2021 law. Resignation and termination are now treated the same way, provided you have completed at least one year of continuous service.

What if I worked less than a year?

No gratuity is due under one year of continuous service. Unused annual leave is still payable.

Are part years counted?

Yes. Once you pass one year, gratuity accrues in proportion for the part year, which is why this calculator asks for exact dates rather than a number of years.

Does unpaid leave reduce my gratuity?

Yes. Article 51 states that days of absence without pay are not counted in the period of service, and MOHRE applies this directly. A month of unpaid leave shortens the service used in the calculation by a month. This is the detail most online calculators leave out, which is why they tend to quote a figure slightly higher than the one you are actually paid.

Can my employer withhold gratuity if I am dismissed for misconduct?

Not automatically. Under the 2021 law, a summary dismissal under Article 44 does not by itself forfeit end-of-service gratuity, which was a real change from the previous law. An employer may deduct amounts you are proven to owe, but withholding the gratuity itself is not theirs to decide unilaterally.

What if I work part-time or on a flexible contract?

This calculator assumes full-time work. Part-time, temporary, flexible and job-share contracts are covered by Cabinet Resolution 1 of 2022, which pro-rates gratuity by your contracted annual hours against the full-time equivalent. The shape of the calculation is the same; the result is scaled by that percentage.

My employer put me in a savings scheme instead. Does this still apply?

No. Since Cabinet Resolution 96 of 2023, employers may opt into a voluntary alternative scheme paying monthly contributions into an approved investment fund instead of a lump sum at the end. If you are enrolled, your entitlement is what the fund holds, plus whatever gratuity accrued before you joined. This calculator covers the standard lump-sum route.

When must gratuity be paid?

Within 14 days of the end of the contract, along with any other outstanding entitlements.

Is this figure legally binding?

No. It is an estimate built on the standard statutory rules and the assumptions listed beside the calculator. Unpaid leave, contract terms, deductions and the circumstances of leaving can all change it. For a binding figure, speak to your employer, your PRO or MOHRE.