UAE Gratuity Calculator
Calculate your UAE end-of-service gratuity under the 2021 Labour Law for private-sector jobs on the mainland.
✓ Rules checked November 2026 · UAE Federal Decree-Law No. 33 of 2021, Article 51Your country
How end-of-service is calculated in the UAE
- You need at least one year of continuous service. Under one year, no gratuity is due.
- 21 days' basic salary for each of the first five years, then 30 days' basic salary for each year after (Article 51).
- Uses your last basic salary only. Housing, transport and other allowances are not included.
- A day's pay is your monthly basic salary divided by 30. Part years count in proportion.
- The total can't be more than two years' basic salary.
- Since the 2021 law, resigning no longer reduces your gratuity.
- Unpaid leave and unauthorised absence days are not counted as service.
Worked example
Basic AED 12,000 (allowances not counted), 8 years, resigned21 days' basic per year (first 5 years): 5 years → AED 42,000.00
30 days' basic per year (after 5 years): 3 years → AED 36,000.00Gratuity: AED 78,000.00
30 days' basic per year (after 5 years): 3 years → AED 36,000.00Gratuity: AED 78,000.00
Good to know
DIFC and ADGM free zones and government jobs use their own rules (DIFC pays into the DEWS savings plan). Employers that joined the optional UAE savings scheme pay monthly contributions instead of a lump sum for those years.
Questions people ask
Is UAE gratuity calculated on basic salary?
Yes. Only the last basic salary counts. Housing, transport and other allowances are excluded.
Do I lose gratuity if I resign in the UAE?
No. Under Federal Decree-Law 33 of 2021, resignation doesn't reduce gratuity. The old one-third and two-thirds cuts no longer apply.
Do I get gratuity if I leave before 1 year?
No. You need at least one full year of continuous service.
When must my employer pay?
Within 14 days of the contract ending.
Compare the GCC
| Country | Rate | Salary used | Minimum service | If you resign | Cap |
|---|---|---|---|---|---|
| Saudi Arabia | ½ month/yr (5 yrs), then 1 month | Basic + allowances | None | Reduced: none <2 yrs, ⅓, ⅔, full at 10 | None |
| UAE | 21 days/yr (5 yrs), then 30 days | Basic only | 1 year | No cut | 24 months |
| Qatar | 3 weeks/yr (minimum) | Basic only | 1 year | No cut | None |
| Kuwait | 15 days/yr (5 yrs), then 1 month | Basic + allowances | None | Reduced: none <3 yrs, ½, ⅔, full at 10 | 18 months |
| Bahrain | ½ month/yr (3 yrs), then 1 month | Basic only | None | No cut | None |
| Oman | 1 month/yr (since Jul 2023) | Basic only | None | No cut | None |