Gratuity Calculator UAE 2026
Calculate your UAE End of Service Benefits instantly using our free Gratuity Calculator UAE. Get a clear estimate based on current UAE labour law guidance for 2026.
- ✓ Basic salary based
- ✓ 2026 updated
- ✓ Private calculation
- ✓ No sign-up required
UAE Gratuity Calculator
Enter your details below to estimate your End of Service Benefits under the current UAE Labour Law formula.
Your estimate appears here
Fill in your salary and employment dates, then select Calculate Gratuity to see your End of Service Benefits breakdown.
This is an estimate for guidance only and is not legal or financial advice. Figures use basic salary and the current UAE Labour Law formula. Free zones and special employment categories may differ. Verify with official sources or a qualified advisor.
Why use our Gratuity Calculator UAE?
A fast, private and reliable way to estimate your end of service entitlement.
UAE Labour Law based
Uses the current 21-day and 30-day basic-wage formula and the two-year cap reflected in UAE labour law guidance.
Basic salary calculation
Calculates strictly on basic salary, correctly excluding housing, transport and other allowances.
Instant results
See your eligibility, service duration and estimated gratuity the moment you press calculate.
Mobile friendly
Designed mobile-first so you can check your benefits accurately on any phone, tablet or desktop.
100% free
No charges, no hidden fees and no premium tiers. The full calculator is free for everyone.
No registration required
No account and no sign-up. Your inputs are processed in your browser and are not stored by us.
How UAE gratuity is calculated
Six quick steps from your salary details to a clear end of service estimate.
Enter basic salary
Add your monthly basic salary in AED, excluding allowances such as housing and transport.
Select employment type
Choose full-time or part-time and your contract type so the right rules are applied.
Enter employment dates
Provide your joining date and last working date to calculate total length of service.
Add unpaid leave
Optionally enter any unpaid leave days, which are excluded from your service duration.
Calculate benefits
Press calculate to instantly apply the 21-day and 30-day basic-wage formula.
Review your estimate
See the full breakdown, then print, copy, email or share your result.
UAE Labour Law gratuity information
End of service gratuity is a statutory benefit paid to eligible private-sector employees in the UAE when their employment ends. The sections below explain how it generally works under current UAE Labour Law guidance. This is educational information, not legal advice.
What is gratuity in UAE?
Gratuity, also called End of Service Benefits (EOSB), is a lump-sum payment an employer owes an eligible employee at the end of the employment relationship. It is calculated from the employee's basic salary and total length of continuous service.
Who is eligible?
- Private-sector employees who have completed at least one full year of continuous service.
- Employees whose service ends by resignation or termination (subject to lawful conduct).
- Service of less than one year does not qualify for gratuity.
How basic salary is used
Gratuity is calculated on the basic salary only. The daily wage used in the formula is your monthly basic salary divided by 30. That daily wage is then multiplied by the number of qualifying days per year.
Why allowances are excluded
Allowances such as housing, transport, mobile and other benefits are not part of the basic wage and are therefore excluded from the gratuity calculation. Using gross salary instead of basic salary is one of the most common mistakes employees make.
Current 21-day and 30-day rules
| Service period | Entitlement per year | Based on |
|---|---|---|
| First 5 years | 21 days of basic wage per year | Basic salary |
| After 5 years | 30 days of basic wage per year | Basic salary |
| Less than 1 year | No gratuity | — |
The 2-year salary cap
Total gratuity is capped at the equivalent of two years' basic wage. Even with very long service, the payable amount will not exceed this ceiling under the standard formula.
Resignation and termination
Important: resignation no longer reduces gratuity
Under the current standard private-sector formula, resignation does not reduce your gratuity. The older reduction rules tied to historical "unlimited" contracts are outdated and should not be applied to current-law calculations.
Unpaid leave
Periods of unpaid leave are generally excluded from the length of service used in the gratuity calculation. Our calculator lets you subtract unpaid leave days so your estimate reflects only qualifying service.
Mainland vs free zone
Most UAE mainland and free-zone employers broadly follow similar end of service principles. However, certain financial free zones such as DIFC and ADGM have their own employment regulations and, in some cases, savings or workplace schemes. Always check the rules that apply to your specific jurisdiction.
Domestic workers
Domestic workers (such as housemaids and private drivers) are covered by separate regulations rather than the standard private-sector labour law, and their end of service entitlements may be calculated differently.
Common mistakes
- Using gross salary instead of basic salary.
- Applying outdated limited/unlimited resignation reductions.
- Forgetting the two-year basic-wage cap.
- Including unpaid leave in qualifying service.
- Assuming free-zone rules are always identical to mainland.
Disclaimer
This information is provided for general guidance only and is not legal advice. Gratuity Calculator UAE is an independent website and is not affiliated with MOHRE or any UAE government authority. Always confirm your entitlement with official sources or a qualified professional.
Example gratuity calculations
Illustrative examples using the current UAE Labour Law formula (basic salary ÷ 30 = daily wage).
Example 1
Example 2
Example 3
Examples are rounded for illustration. Your actual figure depends on exact dates, unpaid leave and the two-year cap.
Frequently asked questions
Common questions about UAE end of service gratuity.
An independent, privacy-first tool
We do not publish fake reviews. Instead, here are the factual reasons you can rely on this calculator.
Independent calculator
Not affiliated with MOHRE or any UAE government authority. Built purely as a helpful estimation tool.
No sign-up required
Use the full calculator instantly with no account, no email and no registration.
No personal data stored
Your inputs are processed in your browser. We do not store the figures you enter.
Basic salary formula
Calculations follow the current 21/30-day basic-wage rules and the two-year cap.
Last reviewed June 2026
Content is reviewed against current UAE labour law guidance and dated for transparency.
Official source references
We encourage verifying figures with official UAE government sources and qualified advisors.
Genuine user testimonials will only be added if and when real, verifiable reviews are provided.
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