Gratuity Calculator UAE (2026)
Work out your end-of-service gratuity from your exact dates, then add unused leave and notice pay to see your full final settlement. Uses the current UAE Labour Law: 21 days of basic salary per year for the first 5 years, 30 days per year after.
Free · no sign-up
Calculate your gratuity and final settlement
Updates as you type. Private-sector employees under the UAE Labour Law.
Your end-of-service gratuity
AED 0
Enter your salary and dates
Full final settlement
AED 0
Have unused leave? Work out its value with the leave salary calculator.
How gratuity is calculated in the UAE
Under Article 51 of Federal Decree-Law No. 33 of 2021, a foreign full-time employee who completes at least one year of continuous service receives:
- 21 days of basic salary for each of the first five years
- 30 days of basic salary for each year after five
- A pro-rata amount for part-years, once one full year is completed
- Unpaid absence days not counted as service
- A maximum of two years' wage in total
The daily rate is your monthly basic salary divided by 30. Allowances are not included.
Formula, up to 5 years: basic ÷ 30 × 21 × years of service.
Formula, over 5 years: basic ÷ 30 × (105 + 30 × years over five).
Worked examples
| Basic salary | Service | Calculation | Gratuity |
|---|---|---|---|
| AED 5,000 | 3 years | 166.67 × 21 × 3 | AED 10,500 |
| AED 8,000 | 4 years | 266.67 × 21 × 4 | AED 22,400 |
| AED 10,000 | 7 years | 333.33 × (105 + 60) | AED 55,000 |
| AED 20,000 | 30 years | 666.67 × (105 + 750) = 570,000, capped at 24 months | AED 480,000 |
| AED 12,000 | 11 months | Under one year | AED 0 |
What else is in your final settlement
| Item | How it is paid | Source |
|---|---|---|
| End-of-service gratuity | Basic salary ÷ 30 × gratuity days | Labour Law, Art. 51 |
| Unused annual leave | Basic salary ÷ 30 × unused days | Executive Regulation, Art. 19 |
| Notice period not worked | Full wage (with allowances) for the notice days, 30 to 90 days | Labour Law, Art. 43 |
| Unpaid salary to the last day | Full wage for days worked | Labour Law, Art. 53 |
Your employer must pay all of it within 14 days of the contract ending (Article 53). Amounts owed to the employer by law or court judgment may be deducted from gratuity (Article 51).
Who this calculator is not for
- UAE nationals: covered by the pension and social security system instead.
- DIFC and ADGM employees: these free zones have their own employment laws and gratuity schemes.
- Government employees and domestic workers: separate laws apply.
Gratuity table: quick lookup by salary and years
End-of-service gratuity in AED for a full-time employee, using the MOHRE formula (basic ÷ 30, 21 days a year for 5 years, 30 days after, capped at 24 months).
| Basic salary | 1 yr | 2 yrs | 3 yrs | 5 yrs | 7 yrs | 10 yrs | 15 yrs | 20 yrs |
|---|---|---|---|---|---|---|---|---|
| AED 3,000 | 2,100 | 4,200 | 6,300 | 10,500 | 16,500 | 25,500 | 40,500 | 55,500 |
| AED 5,000 | 3,500 | 7,000 | 10,500 | 17,500 | 27,500 | 42,500 | 67,500 | 92,500 |
| AED 8,000 | 5,600 | 11,200 | 16,800 | 28,000 | 44,000 | 68,000 | 108,000 | 148,000 |
| AED 10,000 | 7,000 | 14,000 | 21,000 | 35,000 | 55,000 | 85,000 | 135,000 | 185,000 |
| AED 12,000 | 8,400 | 16,800 | 25,200 | 42,000 | 66,000 | 102,000 | 162,000 | 222,000 |
| AED 15,000 | 10,500 | 21,000 | 31,500 | 52,500 | 82,500 | 127,500 | 202,500 | 277,500 |
| AED 20,000 | 14,000 | 28,000 | 42,000 | 70,000 | 110,000 | 170,000 | 270,000 | 370,000 |
| AED 30,000 | 21,000 | 42,000 | 63,000 | 105,000 | 165,000 | 255,000 | 405,000 | 555,000 |
Same rules in every emirate. Dubai, Abu Dhabi, Sharjah, Ajman, Ras Al Khaimah, Fujairah and Umm Al Quwain all follow the federal Labour Law, in mainland companies and most free zones. DIFC and ADGM have their own rules.
More free UAE calculators
Annual leave earned, balance and what it pays Salary Calculator
Hourly, daily, monthly and take-home pay Overtime Calculator
Day, night, rest-day and holiday overtime Salary Certificate Generator
Ready salary certificate in Word or PDF NOC Letter Generator
Travel, visa, part-time and bank NOCs Experience Letter Generator
Experience certificate with duties VAT Calculator
Add or remove 5% VAT; registration check Corporate Tax Calculator
9% tax, Small Business Relief to 2029 Business Setup Cost
Estimate a UAE company and visa cost Visa Eligibility Checker
Golden, Green or investor visa?
Frequently asked questions
How is gratuity calculated in the UAE?
For a foreign full-time employee in the private sector, gratuity is 21 days of basic salary for each of the first five years of service and 30 days of basic salary for each year after that. Part-years count pro-rata once you have completed one full year. The daily rate is your monthly basic salary divided by 30. This comes from Article 51 of Federal Decree-Law No. 33 of 2021.
Do I get gratuity if I worked less than one year?
No. Gratuity starts only after one full year of continuous service. Once you pass one year, the extra months and days are paid pro-rata.
Is gratuity calculated on basic salary or total salary?
On basic salary only. Housing, transport and other allowances are not included. Notice-period pay is different: it is paid on your full wage, including allowances.
Do I lose gratuity if I resign?
No. Under the current UAE Labour Law there is no reduction for resignation. If you completed at least one year, you receive the full amount for your service, whether you resign or are terminated.
Is there a maximum gratuity in the UAE?
Yes. Total gratuity cannot exceed two years of wage. This calculator caps the result at 24 months of basic salary.
Does unpaid leave reduce my gratuity?
Yes. Days absent without pay are not counted in your period of service, so they reduce the gratuity. Enter them in the calculator.
How is unused annual leave paid at the end of service?
When your service ends, your unused annual leave balance is paid in cash based on your basic salary (Executive Regulation, Article 19). The calculator multiplies your unused days by basic salary divided by 30.
When must my employer pay gratuity?
Within 14 days of the end of the contract, together with your other dues (Article 53 of the Labour Law). If it is not paid, you can file a complaint with MOHRE.
Does this calculator work for DIFC, ADGM, government or domestic workers?
No. DIFC and ADGM have their own employment laws, UAE nationals are covered by the pension system, government employees follow separate rules, and domestic workers fall under a different law. This calculator is for foreign full-time and part-time employees under the federal private-sector Labour Law.
Official sources
Information only, not legal advice. Your employment contract or company policy may give you more than the legal minimum. For a dispute, contact MOHRE.
Last updated: October 2026 · Maintained by the My Business Setup editorial team
Leaving your job to start your own business?
See what a UAE company and residence visa would cost you, and how long it takes. Free, no obligation.
Estimate my setup cost →