Free tool
UAE Gratuity Calculator
Estimate your UAE end-of-service gratuity in seconds — based on your basic salary and length of service, with the 21/30-day rule and 2-year cap applied automatically.
UAE end-of-service gratuity, explained
How the 21/30-day rule, the 1-year minimum, and the 2-year cap work.
How is end-of-service gratuity calculated in the UAE?
Gratuity is based on your basic salary (excluding allowances) and length of service. You accrue 21 days' basic wage for each of the first 5 years, and 30 days' basic wage for each year beyond 5. The daily wage is your basic monthly salary divided by 30, and partial years are pro-rated.
Do I get gratuity if I worked less than a year?
No. Under Article 51 of the UAE Labour Law, an employee must complete at least one year of continuous service to be entitled to end-of-service gratuity. Periods of unpaid leave are not counted toward service.
Does resigning reduce my gratuity?
No. Under the unified Labour Law in force since February 2022, resignation no longer reduces your gratuity. Whether you resign or your contract is terminated, gratuity is calculated the same way — provided you completed at least one year of service.
Is there a maximum gratuity amount?
Yes. The total end-of-service gratuity is capped at the equivalent of two years' (basic) wage, no matter how long you have worked.
Is gratuity based on basic salary or total salary?
Gratuity is calculated on your basic salary only — housing, transport, and other allowances are excluded. This is why your gratuity can be noticeably lower than a calculation based on your total package.
Can an employee lose their gratuity?
In limited cases. An employee dismissed for one of the gross-misconduct reasons listed in the law may forfeit gratuity. These are narrow, specific grounds — most ordinary terminations and resignations still qualify for gratuity.
Is this gratuity calculator official advice?
No. It applies the standard Article 51 formula to the figures you enter. Your actual entitlement can depend on contract type, unpaid leave, and current MOHRE rules — confirm with a qualified advisor before relying on the amount.