UAE Gratuity Calculator
Calculate your end of service gratuity as per UAE Labour Law 2026
How Gratuity is Calculated in UAE
According to UAE Labour Law, gratuity (end of service benefit) is calculated based on your basic salary and years of service:
- For Unlimited Contracts:
- 21 days of basic salary for each year of service for the first 5 years
- 30 days of basic salary for each additional year after 5 years
- For Limited Contracts:
- 21 days of basic salary for each year of service
Important: Gratuity is calculated using only your basic salary, not your gross salary or total package.
Frequently Asked Questions
You are entitled to gratuity if you have completed at least one year of continuous service with your employer.
Gratuity is calculated based on your basic salary only, not including allowances or bonuses.
For UAE nationals registered under the Nafis program, the end-of-service benefits are typically handled through pension contributions to GPSSA or ADRPBF rather than standard gratuity formulas. Non-national employees follow the standard labour law formulas.
The UAE Labour Law (Decree Law No. 33 of 2021) is a federal law that applies to all emirates, including Dubai, Abu Dhabi, and Sharjah, ensuring consistent gratuity calculation across the country.
According to the 2026 updated regulations, your employer must pay all end-of-service entitlements, including gratuity, within 14 days from the date of contract termination.
Disclaimer: This calculator provides an estimate based on UAE Labour Law. Actual gratuity may vary based on individual circumstances. Consult with your HR department or a legal professional for exact calculations.