UAE End of Service Gratuity Calculator

Calculate your end of service payout under current UAE Labor Law (Dubai, Abu Dhabi, Sharjah & Free Zones).

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Basic salary only — exclude housing, transport & allowances.
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Used to verify the 2-year statutory maximum cap.
AED 0 Estimated End of Service Gratuity Benefit
Total Service Length
0 yrs
Daily Basic Pay Rate
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Total Days Entitled
0 days
Statutory 2-Year Cap Limit
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Understanding UAE End of Service Gratuity Rules

Under the UAE Labor Law (Federal Decree-Law No. 33 of 2021), expatriate workers in the UAE private sector who complete one full year of continuous employment are entitled to an End of Service Benefit (Gratuity).

How UAE Gratuity is Calculated

  • Less than 1 year of service: No gratuity entitlement.
  • First 5 years of service: 21 days of Basic Salary for each year worked.
  • More than 5 years of service: 30 days of Basic Salary for each additional year worked beyond 5 years.
  • Maximum Cap: The total accumulated gratuity payout cannot exceed 2 years' total salary.

Formula Breakdown

Daily Basic Rate = Monthly Basic Salary ÷ 30
Gratuity (Years 1 to 5) = Years × 21 × Daily Basic Rate
Gratuity (Years > 5) = (Years - 5) × 30 × Daily Basic Rate

Partial years are calculated pro-rata based on the exact number of days or months served.

Frequently Asked Questions

How is UAE End of Service Gratuity calculated?+

Under UAE Labor Law (Federal Decree Law No. 33 of 2021), employees who complete 1 year of continuous service are entitled to gratuity based on their last basic salary: 21 days basic salary per year for the first 5 years of service, and 30 days basic salary per year for each year beyond 5 years.

Does resignation reduce UAE gratuity under the new law?+

Under the current UAE Labor Law effective since February 2022, there is no longer a distinction or reduction between resignation and employer termination for full-time contracts. All employees completing at least 1 year receive 100% of their calculated gratuity.

Is UAE gratuity calculated on basic salary or total salary?+

UAE End of Service Gratuity is calculated strictly on your last Basic Salary only. Housing allowances, transport allowances, overtime, and bonuses are excluded from the calculation.