UAE Gratuity Calculator (End of Service)

Estimate end-of-service gratuity for a private-sector employee in the UAE from basic salary and service dates: 21 days per year for the first five years, 30 days after, capped at two years of wages.

AED 55,000.00 end-of-service gratuity
Value
Service counted7 years 0 days = 7 years
Daily wage (basic salary ÷ 30)AED 333.33
Days at 21 per year (first 5 years)105 days
Days at 30 per year (after 5 years)60 days
Gratuity before the capAED 55,000.00
Cap: two years of total wage (basic + cash allowances)AED 240,000.00
Gratuity payableAED 55,000.00
Estimate for a full-time private-sector employee who is not a UAE national. The gratuity itself uses basic salary only (housing, transport and other allowances are excluded). Part years count pro rata, and days of unpaid absence do not count as service. The daily wage uses basic salary ÷ 30, a common payroll convention that the government page does not state. The cap is two years of total wage (basic plus cash allowances); if you leave the allowances at 0, the cap uses basic salary only and may be lower than the legal cap. This tool does not check a Savings Scheme, free-zone or other special rules, or any amount your contract promises on top. It is not legal advice: confirm with your employer, MOHRE or a lawyer.

Sources: UAE Government portal: end of service benefits for workers in the private sector (updated 15 October 2026)

About UAE Gratuity Calculator (End of Service)

The UAE Gratuity Calculator estimates the end-of-service gratuity a full-time private-sector employee who is not a UAE national may be owed. Enter your last basic monthly salary, your first and last day of work and any days of unpaid absence, and it shows the service counted, the days at each rate, the cap and the amount payable in dirhams.

It follows the rules published on the UAE Government portal: at least one year of continuous service, 21 days of basic salary for each of the first five years, 30 days for each year after that, part years in proportion, and unpaid absence left out. The gratuity itself uses basic salary only. The total cannot exceed two years of wage, and for that cap the tool uses basic salary plus the cash allowances you enter.

It is an estimate. A Savings Scheme, free-zone rules and what your contract promises can change the real amount, so check with your employer or the Ministry of Human Resources and Emiratisation before you rely on it.

How to use UAE Gratuity Calculator (End of Service)

  1. Enter your last basic monthly salary in AED, without allowances.
  2. Enter your monthly cash allowances if you know them. They are used only for the cap.
  3. Choose your first and last day of work.
  4. Add any days of unpaid absence, if you had any.
  5. Read the service counted, the days at each rate, the cap and the gratuity payable.

Help & FAQ

How is UAE end of service gratuity calculated?

For private-sector workers it 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 the first five. Part years count in proportion to the time served.

How long must I work to get a gratuity?

At least one year of continuous service. With less than a year, the UAE Government portal says no gratuity is due, and this calculator shows none.

Is there a maximum gratuity?

Yes. The total gratuity cannot exceed two years of wage. The Decree-Law defines wage as basic wage plus cash allowances and benefits in kind, so this calculator caps the result at 24 times your basic salary plus the monthly cash allowances you enter. If you leave the allowances at 0, the cap uses basic salary only and may be lower than the legal cap. Confirm with MOHRE if the cap matters to you.

Is gratuity based on basic salary or total salary?

The gratuity itself is worked out on basic salary. Allowances such as housing, transport, utilities and furniture are not included in it. Only the cap uses total wage, which adds your cash allowances.

Do days of unpaid leave count as service?

No. Days of unpaid absence are not included in the service calculation, so enter them in the unpaid-absence box and they are taken off your service.

What is an example of a UAE gratuity calculation?

With a basic salary of AED 12,000 the daily wage is AED 400 (12,000 divided by 30). Ten years of service gives 5 years at 21 days (105 days) plus 5 years at 30 days (150 days), which is 255 days, or AED 102,000. That is below the cap of two years of wage (at least AED 288,000), so it is paid in full.

Can I use this as legal or official advice?

No. It is an estimate based on the published rules. A Savings Scheme, free-zone rules and your contract terms can change the amount. Confirm with your employer, MOHRE or a lawyer.

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