UAE Gratuity Calculator
End-of-service benefit under Federal Decree-Law No. 33 of 2021 (private sector, MOHRE).
How it is calculated
Gratuity is calculated on your basic salary only — not on housing, transport or other allowances. The daily wage is basic ÷ 30.
Each of the first five years earns 21 days of basic pay; every year after the fifth earns 30 days. Fractions of a year are paid pro-rata once you have completed one full year.
The total is capped at two years' basic salary. Since the 2022 law, the old limited/unlimited-contract reductions on resignation no longer apply in the private sector.
Unpaid leave days are deducted from service. Free-zone employers (DIFC, ADGM) follow their own schemes — DIFC and ADGM use a savings-plan model instead of gratuity.
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Open the app →Common questions
Is gratuity calculated on basic or total salary?
On basic salary only. Allowances are excluded by law, which is why a high-allowance package earns a smaller gratuity than it looks.
Do I lose gratuity if I resign?
Not any more for private-sector employees under the 2021/2022 law. You need at least one completed year of service; after that the full 21/30-day formula applies whether you resign or are terminated.
When must it be paid?
Within 14 days of the end of the employment relationship, together with any other end-of-service dues.