Sharjah Gratuity Calculator 2026

Working in Sharjah? This page explains how the mainland UAE gratuity formula applies to you, the crucial difference between basic and total salary, the mistakes that cost employees money, and the documents to keep before your last day.

Last reviewed: 19 June 2026

Mainland UAE rules for Sharjah employees

Sharjah private-sector employment is governed by the federal labour law, so the gratuity calculation is the standard national formula — there is no Sharjah-specific rate. You qualify after one full year of service, earn 21 days of basic wage per year for the first five years, 30 days per year afterwards, and the total is capped at two years' basic wage.

Basic salary vs total salary

The single most important number for your Sharjah gratuity is the basic salary. Many employees mistakenly use their total or "gross" salary, which inflates the estimate.

  • Total / gross salary — basic salary plus all allowances (housing, transport, etc.). Not used for gratuity.
  • Basic salary — the core contractual wage before allowances. This is the figure used in the formula.

Common mistakes employees make

  • Using the total package instead of the basic salary.
  • Applying old "limited/unlimited" resignation reductions that no longer apply to current standard calculations.
  • Forgetting that under one year of service means no gratuity.
  • Including unpaid leave in qualifying service.
  • Ignoring the two-year basic-wage cap for long service.
  • Not keeping pay slips that prove the basic salary figure.

Worked example for a Sharjah employee

A Sharjah employee with a basic salary of AED 7,500 and 8 years of continuous service:

Sharjah example

AED 7,500 basic · 8 years
Daily wage (7,500 ÷ 30)AED 250
First 5 years × 21 days105 days
Years 6–8 × 30 days90 days
Calculation250 × 195
AED 48,750
Estimated gratuity

The first five years use the 21-day rate, and the remaining three years use the 30-day rate. The result is below the two-year cap of AED 180,000.

Document checklist before your last day

DocumentWhy it matters
Signed employment contractConfirms basic salary and terms
Recent pay slipsProof of the basic salary figure used
Joining & last-working datesDetermines length of service
Resignation / termination letterRecords how employment ended
Final settlement statementLets you check the employer's calculation

Estimate your Sharjah gratuity

Enter your basic salary and dates for an instant estimate you can compare against your settlement.

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Frequently asked questions

No. Sharjah private-sector employees use the same federal UAE Labour Law formula — 21 days per year for the first five years and 30 days per year afterwards, based on basic salary and capped at two years' basic wage.
Total salary includes basic plus allowances such as housing and transport. Gratuity uses the basic salary only, so always read the breakdown on your contract rather than using the total.
Typically your signed contract, pay slips showing the basic salary, your joining and last-working dates, a resignation or termination letter, and your final settlement statement. Keep copies before your last day.
Yes. Unpaid leave is generally excluded from qualifying service, so it slightly reduces the service length used in the calculation. Our calculator lets you subtract unpaid leave days.

Official sources & further reading

Confirm your entitlement with primary sources such as the UAE Government portal (u.ae) and MOHRE. To go deeper, read our UAE Labour Law overview, the step-by-step gratuity guide, and the resignation gratuity page.

ℹ️Gratuity Calculator UAE is an independent website and is not affiliated with MOHRE or any UAE government authority. All figures are estimates for general guidance only and are not legal or financial advice.

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