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UAE Gratuity Calculator

Work out your end-of-service gratuity under the UAE Labour Law from your dates of service and your last basic salary.

AED

Basic salary only, without housing, transport or other allowances.

days

Days of unpaid absence do not count as service.

ResultUpdates as you type—Gratuity (AED)—Length of service—First 5 years · 21 days a year—After 5 years · 30 days a year

How your gratuity is worked out

21 days' basic wage a year for the first five years, 30 days a year after that.

  1. 1

    Length of service

    6y 3m 0d
    = 6.25 years

  2. 2

    Daily basic wage

    10,000 ÷ 30
    = AED 333.33

  3. 3

    Count the days

    5 × 21 + 1.25 × 30
    = 142.5 days

  4. 4

    Your gratuity

    142.5 × 333.33
    = AED 47,500.00

Read more: Article 51, a worked example and the old resignation rule

Article 51 of Federal Decree-Law No. 33 of 2021, the UAE Labour Law for the private sector, gives a full-time worker who has completed at least one year of continuous service an end-of-service gratuity based on their last basic wage:

  • 21 days' basic wage for each of the first five years
  • 30 days' basic wage for each year after that
  • part years paid in proportion to the time worked
  • a total of no more than two years' basic wage

daily wage = basic monthly salary ÷ 30
gratuity = daily wage × (21 × first 5 years + 30 × years after)

Worked example

You worked from 1 January 2019 to 31 March 2025, which is 6 years and 3 months. With a basic salary of AED 10,000, the daily wage is AED 333.33. The first five years give 5 × 21 × 333.33 = AED 35,000. The remaining 1.25 years give 1.25 × 30 × 333.33 = AED 12,500. The total is AED 47,500.

Resigning no longer cuts your gratuity

Under the old law (Federal Law No. 8 of 1980), resigning before five years reduced the gratuity. The 2021 law, in force since February 2022, removed that cut, so you get the same amount whether you resign or your employer ends the contract.

Good to know

  • Under one year of service there is no gratuity.
  • Allowances such as housing and transport are not included.
  • Your employer may deduct amounts you owe them.
  • Free zones such as DIFC and ADGM, and government jobs, have their own rules.

This is an estimate for general information, not legal advice. Check your contract, or ask your employer or the Ministry of Human Resources and Emiratisation (MOHRE), before relying on it.