End of Service Gratuity Calculator for the UAE
Calculate your UAE end of service gratuity under Federal Decree Law No. 33 of 2021. The tool uses 21 days of basic pay for each of your first five years and 30 days for every year after that, then applies the two year cap set by the law.
UAE End of Service Calculator
Federal Decree Law No. 33 of 2021, Article 51
The basics
What is end of service gratuity in the UAE?
End of service gratuity is a payment your employer owes you when your job ends, on top of any unpaid salary and leave. In the private sector it is governed by Federal Decree Law No. 33 of 2021 and enforced by the Ministry of Human Resources and Emiratisation, known as MOHRE. It is a legal entitlement, not a goodwill payment.
A full time worker who completes at least one year of continuous service has earned a gratuity. It is built from your basic salary and your length of service, and the single biggest change under the 2021 law is that resignation and termination now pay the same amount. Many settlements are still worked out on the old rules, which is why checking the figure matters.
- 21 days of basic wage per year for the first five years
- 30 days of basic wage per year after five years
- Based on basic salary only, allowances excluded
- At least one year of service, capped at two years of basic wage
- Federal Decree Law No. 33 of 2021, Article 51
- Daily wage is your monthly basic divided by 30
- Resignation pays the same as termination
The formula
How UAE gratuity is calculated under the 2021 law
Two daily rates apply, both based on your basic salary and your years of service.
Your first five years
You earn 21 days of basic wage for each completed year in this band.
21 days of basic wage per yearEvery year after five
From year six onward the rate rises to 30 days of basic wage for each year.
30 days of basic wage per yearYour daily wage is your monthly basic salary divided by 30. The total gratuity cannot exceed two years of basic wage, and you must complete one full year before any gratuity is due.
Get it right
Three things people get wrong about UAE gratuity
Not your total package
Gratuity uses the basic wage. Housing, transport and other allowances are excluded, so a small basic salary means a smaller gratuity. Check the basic figure on your contract.
JAFZA, DIFC and ADGM differ
Most free zones, including JAFZA, follow the federal formula. The financial free zones DIFC and ADGM run their own savings plans, so check your scheme if you work there.
Two years of basic wage
However long you serve, the total cannot exceed two years of basic wage. This mainly affects very long serving staff, and the calculator applies it for you.
Reason for leaving
Does resignation cut your UAE gratuity? No.
Under the 2021 law the reason for leaving rarely changes the amount, which is a real shift from the old rules.
Resignation or termination
Once you complete one year, resigning pays the same gratuity as being terminated. The old rule that cut resignation gratuity before five years no longer applies.
Under one year of service
Below one full year of continuous service there is no gratuity entitlement. Unpaid leave days do not count toward the year.
Dismissal under Article 44
A worker dismissed for one of the serious reasons listed in Article 44 may lose entitlement. Outside those cases, gratuity stands.
Know your rights
Your gratuity is protected by law, and paid on a deadline
Under Federal Decree Law No. 33 of 2021, your employer must settle all end of service dues, including gratuity, within 14 days of the end of the contract. This is a legal deadline, not a courtesy, and it gives you a clear point to check your figure against.
If gratuity is unpaid or looks wrong, you can raise a complaint with the Ministry of Human Resources and Emiratisation through its app, website or call centre. MOHRE first tries to settle the matter, and unresolved cases are referred to the labour court. Keep your contract, your salary certificate and your Wage Protection System records, since these prove your basic salary and your service.
Because this tool uses the exact Article 51 formula and shows every line, you can compare its result with the settlement you are offered and act quickly if the two do not match.
Simple to use
Work out your UAE end of service in four steps
Enter your basic salary
Use your last basic salary, the figure that the UAE Labour Law 2021 bases the calculation on.
Add your dates
Enter your first and last working day. The tool measures your service to the exact day.
Confirm how it ended
Tell the tool whether it was termination or resignation so the result matches your case.
Read the breakdown
See your total plus a line by line breakdown and the exact rule that produced it.
Why trust this tool
Built for accuracy, not guesswork
End of service in the United Arab Emirates is a your money topic, so every figure here is tied to the law and shown in full.
Reviewed by a specialist
Formulas and legal references are checked by a GCC labour and HR specialist.
Tied to official law
The UAE Labour Law 2021 is the source, with links to MOHRE and the UAE government portal so you can verify it.
Full breakdown
You see how the figure is built, not just a single number, so you can check it.
Kept up to date
We revisit the rules when the law changes, so the calculation stays current.
Private by design
Your salary and dates stay in your browser. Nothing you enter is sent or stored.
Free and instant
No sign up and no fees. Get your result the moment you enter your details.
Worked example
A real example for the United Arab Emirates
How the numbers come together for a typical seven year service, ended by the employer.
An employee on a AED 10,000 monthly basic salary who worked from January 2018 to December 2024, about seven years, receives the following under Federal Decree Law No. 33 of 2021, Article 51.
| Part of the calculation | Amount |
|---|---|
| First 5 years at 21 days basic wage per year | AED 35,000 |
| Years beyond 5 at 30 days basic wage per year | AED 20,007 |
| Estimated total | AED 55,007 |
Enter your own wage and dates in the calculator above for a figure based on your service.
Frequently asked questions
How is UAE gratuity calculated under the 2021 law?
You earn 21 days of basic wage for each of the first five years and 30 days of basic wage for each year beyond five. The daily wage is your monthly basic salary divided by 30. The total cannot exceed two years of basic wage.
Does the UAE gratuity use basic salary or total salary?
It uses the basic salary only. Allowances for housing, transport, utilities and similar items are excluded from the calculation.
Do I lose gratuity if I resign in the UAE?
No. Under Federal Decree Law No. 33 of 2021 an employee who resigns after one year receives the same gratuity as one whose contract is ended by the employer. The old rule that cut resignation gratuity no longer applies.
Is the MOHRE gratuity calculator the same as this tool?
MOHRE is the federal labour authority. This calculator uses the same Article 51 formula, so a correct MOHRE style result and this result will match when the basic salary and dates are the same.
How does gratuity work in JAFZA or free zones like DMCC?
Most free zones, including JAFZA, follow the federal gratuity formula. Financial free zones such as DIFC and ADGM run their own savings schemes, so check your specific zone if you work there.
What is the minimum service to receive UAE gratuity?
You must complete at least one full year of continuous service. Below one year there is no gratuity entitlement.
All six Gulf states
End of service calculators for every GCC country
Labour law is different in each Gulf state. Pick your country, or compare all six side by side.