UAE Gratuity Calculator 2026 – End of Service Calculator

Calculate your UAE end of service gratuity in seconds. This calculator applies the official formula under Federal Decree-Law No. 33 of 2021, Article 51 – 21 days of basic pay for each of your first five years and 30 days for every year after that. It covers current contracts, legacy unlimited contracts, resignation and termination. Free, instant and no sign-up needed.

UAE Gratuity Calculator Last verified: 6 Jul 2026
Sources: Federal Decree-Law No. 33 of 2021, Art. 51 · MOHRE
Frequently asked questions
How is gratuity calculated in the UAE?
Under Federal Decree-Law No. 33 of 2021, employees who complete at least one year of continuous service earn 21 days of basic pay for each of the first five years and 30 days of basic pay for every year after that. The daily wage is your basic monthly salary divided by 30, and the total gratuity cannot exceed two years of basic pay.
Is gratuity calculated on basic salary or gross salary?
Gratuity is calculated only on your last basic salary. Housing, transport and other allowances are excluded. This is why the basic-versus-allowances split in your contract matters.
Do I get gratuity if I resign?
Yes. Under the current law (contracts from February 2022 onward), you receive full gratuity for your completed service whether you resign or are terminated. Under the old unlimited-contract rules, resignation before 5 years reduced the payout - 1/3 for 1-3 years and 2/3 for 3-5 years of service.
Do I get gratuity for less than one year of service?
No. The law requires at least one year of continuous service before any statutory gratuity is due.
Do unpaid leave days affect my gratuity?
Yes. Days of unpaid leave do not count as service days, so they slightly reduce the years used in the calculation. This calculator lets you subtract unpaid leave days when you use the date option.
Does this calculator apply to DIFC and ADGM employees?
No. DIFC replaced gratuity with the DEWS workplace savings plan, and ADGM has its own end-of-service rules. Use our dedicated DIFC DEWS calculator for those free zones.

How gratuity is calculated in the UAE

Your gratuity is based on your last basic salary – housing, transport and other allowances are excluded. The law converts your basic salary to a daily wage by dividing it by 30, then awards:

  • 21 days of basic pay for each year of the first five years of service
  • 30 days of basic pay for each year after the fifth year
  • Partial years are paid pro rata, provided you have completed at least one full year
  • The total gratuity cannot exceed two years of basic pay

A worked example

Say your basic salary is AED 12,000 and you have completed 7 years of service. Your daily wage is AED 400 (12,000 ÷ 30). The first five years earn 5 × 21 × 400 = AED 42,000. The remaining two years earn 2 × 30 × 400 = AED 24,000. Your total end of service gratuity is AED 66,000.

Resignation vs termination

Under the current law, which applies to all contracts from February 2022 onward, you receive your full gratuity whether you resign or are terminated. The old rules were different: on unlimited contracts signed before February 2022, resigning between 1 and 3 years of service paid only one third of the gratuity, and resigning between 3 and 5 years paid two thirds. The calculator above handles both eras – just select when your contract was signed.

What this calculator does not cover

DIFC and ADGM free zones run their own employment laws. DIFC replaced gratuity entirely with the DEWS workplace savings plan in 2020, and ADGM has its own end-of-service framework. UAE nationals registered with GPSSA receive a pension instead of gratuity. Unpaid leave days can also be deducted from your service period.

This tool provides an estimate for information purposes only and is not legal or financial advice. Your final settlement can be affected by your contract terms, unpaid leave and any amounts owed to your employer. For disputes, contact MOHRE on 80060.