Skip to content
Office workspace at sunset in Dubai

Tools and Calculators

End-of-Service Gratuity Calculator

After one year of continuous service, a foreign employee earns 21 days' basic wage for each of the first five years and 30 days for each year after that, with part years pro rata. The total is capped at two years' wage.

Updated October 2026 · Figures checked 6 November 2026

Days' basic wage a year, first five years
211
Days' basic wage a year, first five years
Days' basic wage a year after the fifth
301
Days' basic wage a year after the fifth
Days to pay after the contract ends
142
Days to pay after the contract ends

End-of-Service Gratuity Calculator

The calculator

End-of-service gratuity calculator

Your gratuity

—

Breakdown

How the calculation works

  • The gratuity is worked out on the last basic wage, without housing, transport or other allowances.
  • Days of unpaid absence are not counted as service.
  • Part-time employees receive the full-time gratuity in proportion to their contract hours.
  • The calculator takes the daily wage as the monthly basic wage divided by 30. UAE nationals are covered by the pension law instead, and employers in the optional savings scheme pay 5.83% or 8.33% of the basic wage each month into a fund in place of the gratuity.

Source: UAE Government Portal: End-of-service benefits for employees in the private sector; MOHRE: Federal Decree-Law No. 33 of 2021 Regarding the Regulation of Employment Relationship; UAE Legislation: Cabinet Resolution No. 96 of 2023 on the Alternative End of Service Benefits Scheme1,2,3

Frequently Asked Questions

How is gratuity calculated in the UAE?

On the last basic wage: 21 days for each of the first five years and 30 days for each year after that, pro rata for part years, once one year of service is complete. The total may not exceed two years' wage.

Sources

  1. UAE Government Portal: End-of-service benefits for employees in the private sector
  2. MOHRE: Federal Decree-Law No. 33 of 2021 Regarding the Regulation of Employment Relationship (PDF)
  3. UAE Legislation: Cabinet Resolution No. 96 of 2023 on the Alternative End of Service Benefits Scheme

Figures checked 6 November 2026. Prepared by Invest-Emirates.ae for general information. Not tax, legal or financial advice.

Next step

Turn the Numbers into a Plan

Accountants, property brokers, setup agents and immigration advisers in the Invest-Emirates.ae directory can check your case.