Use our UAE gratuity calculator to estimate your end-of-service benefits in minutes. The tool follows the MOHRE (mainland) rules—21 days per year for the first five years and 30 days per year thereafter—pro-rated after one full year of service. It applies the legal cap of up to 24 months of wage and supports part-time scaling and unpaid-leave exclusions.
Tip: If you work in DIFC or ADGM, gratuity may be replaced by a funded savings scheme; see the notes below.
How to use the calculator (3 quick steps)
- Enter your basic monthly salary, start and end dates.
- (Optional) Add your total monthly wage for the legal cap and any unpaid days; set your % of full-time if you are part-time.
- Hit calculate—your end-of-service estimate appears instantly with entitlement days and the cap check.
What the calculator covers
- MOHRE mainland rules for gratuity in UAE
- Pro-rated service after one full year
- Part-time scaling (as a % of full-time)
- Unpaid leave exclusion from service length
- Legal cap: benefit cannot exceed 24 months of wage
At a glance: when to use (and when not)
| Scenario | Use this UAE gratuity calculator? | Notes |
|---|---|---|
| Private-sector, MOHRE (mainland) | ✅ | Uses the 21/30-day formula on basic salary. |
| DIFC employee | ❌ | DEWS/qualifying scheme replaces classic gratuity. |
| ADGM employee | ⚠️ | May use an alternative savings scheme—check with HR. |
| Domestic workers | ⚠️ | Separate law and calculator apply. |
UAE Gratuity Calculator (2025)
Estimate your gratuity (end-of-service) under MOHRE (mainland) rules. Uses basic salary, service length (pro-rated), and applies the 24-month wage cap.
Disclaimer: This is an informational estimate. Actual payout depends on your contract, verified service dates, salary records, and MOHRE confirmation.
The formula (plain English)
- Daily basic wage = basic monthly salary ÷ 30
- Entitlement days = 21 days × years (up to 5) + 30 days × years (beyond 5)
- Gratuity = daily basic × entitlement days (pro-rated for partial years after completing 1 full year)
- Cap: total payout ≤ 24 months of wage (wage = basic + allowances).
This is why our UAE gratuity calculator asks for your basic salary (for the computation) and optionally your total wage (to apply the cap precisely).
Examples (for clarity)
Example A — 3 years of service
- Basic salary: AED 10,000 → daily basic 10,000/30 = 333.33
- Entitlement: 21 × 3 = 63 days
- Estimated gratuity: 333.33 × 63 = AED 21,000
- Cap check (basic only): 24 × 10,000 = AED 240,000 → not capped
Example B — 7 years of service
- Basic salary: AED 12,000 → daily basic 12,000/30 = 400
- Entitlement: (21 × 5) + (30 × 2) = 105 + 60 = 165 days
- Estimated gratuity: 400 × 165 = AED 66,000
- Cap check: 24 × 12,000 = AED 288,000 → not capped
Part-time scenario
- If you worked at 50% of full-time, multiply the estimate by 0.5 (the calculator does this automatically).
Eligibility & timing
- Eligibility: at least one full year of continuous service (fractions after one year are pro-rated).
- Unpaid leave: usually excluded from service length.
- Payment timeline: employers must settle end-of-service dues promptly after contract termination according to UAE labour rules.
Common mistakes to avoid
- Entering gross where basic is required (only use gross for the cap field).
- Forgetting to exclude unpaid days.
- Ignoring part-time %—your estimate should reflect actual work pattern.
- Using this UAE gratuity calculator for DIFC/ADGM or domestic worker cases.
What to do next (smart money moves)
- Open a salary account that makes international transfers easy.
- Compare credit cards with strong cashback or miles for expats.
- Review your cost of living and set a monthly savings target.
Want more recruiter profiles, visa tips, and salary guides? Explore the Work category to fast-track your UAE job search.
Frequently Asked Questions
What is a UAE gratuity calculator and what inputs do I need?
A UAE gratuity calculator estimates your end-of-service benefits by using your basic monthly salary, employment start/end dates, service length (pro-rated), unpaid leave days, and—optionally—your total monthly wage for applying the legal cap.
What’s the formula for gratuity calculation in UAE?
The core formula for gratuity calculation in UAE is:
- Daily basic wage = basic monthly salary ÷ 30
- Entitlement days = 21 days per year for the first 5 years + 30 days per year thereafter
- Gratuity = daily basic wage × entitlement days (pro-rated for partial years after completing at least one full year)
Is gratuity calculated in UAE on basic or gross salary?
Gratuity in UAE is calculated on the last basic salary. A separate legal cap limits the payout to the equivalent of up to 24 months of total wage.
Who is eligible for gratuity in UAE?
Gratuity eligibility in UAE generally requires at least one full year of continuous service. Fractions after one year are paid pro-rata, and unpaid leave days don’t count toward service length.
When must employers pay the gratuity and final settlement in UAE?
Employers should settle all dues—gratuity and the final settlement calculation in UAE—promptly after contract termination, with timelines defined by UAE labour rules.
Are Dubai gratuity rules different from other emirates?
For private-sector employers under national rules, the same gratuity rules UAE formula applies across emirates. So a gratuity calculator Dubai or an end of service calculator Abu Dhabi uses the same computation.
How does DIFC handle end-of-service—do I use a DIFC gratuity calculator?
In DIFC, classic gratuity is replaced by a funded savings scheme. Instead of a DIFC gratuity calculator, employees should review monthly employer contributions and investment returns on the scheme.
How is end-of-service handled in ADGM?
ADGM can use an approved savings scheme. If your employer participates, contributions replace the traditional gratuity; confirm details with HR before using a generic end of service calculator UAE.
Is there a domestic worker gratuity calculator UAE and are rules different?
Yes—gratuity for domestic workers in UAE follows a separate legal framework. Use a dedicated domestic worker gratuity calculator UAE rather than a standard private-sector tool.
What’s included in a final settlement UAE calculation beyond gratuity?
The final settlement calculation in UAE typically includes last salary, unused annual leave encashment, gratuity, and any approved allowances or deductions specified by contract and law.
How are unpaid leave/absences treated in the computation for gratuity in UAE?
Unpaid leave days are excluded from service time. This affects the computation for gratuity in UAE and may reduce the pro-rated entitlement days.
Can I build an end of service calculator UAE in Excel?
Yes. For an end of service calculator UAE Excel sheet, implement: daily basic = basic ÷ 30; entitlement days = 21×years up to 5 + 30×years beyond 5; gratuity = daily basic × entitlement days; then apply the 24-month wage cap.
Do free zones have their own tools like a Dubai free zone gratuity calculation?
Some free zones provide their own guidance or tools (e.g., for Dubai free zone gratuity calculation). Always verify which regime applies—national rules vs. a funded scheme—and compute accordingly.
How does the two-year cap on end of service gratuity in UAE work?
The end of service gratuity in UAE cannot exceed a cap equal to 24 months of wage. Calculators compare your computed entitlement against this cap and pay the lower figure.
How is annual leave salary calculation in UAE handled at termination?
Annual leave salary calculation in UAE at termination usually encashes unused leave based on basic salary, added to gratuity in the overall end of service calculator UAE result.