UAE Gratuity Calculator
Estimate your end of service gratuity under Article 51 of Federal Decree-Law No. 33 of 2021. Enter your basic salary and your dates for an instant figure.
End of service gratuity estimate
Free, instant, nothing is stored
An estimate from the formula in the law, not a legal ruling or an offer from your employer. Allowances, deductions and contract terms can change the final sum.
How to Use the UAE Gratuity Calculator & Understand End-of-Service Rights
When parting ways with an employer in the Emirates, calculating your final financial settlement is one of the most critical steps to secure your professional rights. Governed primarily by Article 51 of Federal Decree-Law No. 33 of 2021, end-of-service gratuity serves as a statutory lump-sum payment acknowledging an employee's loyal service years. Because company policies and contract classifications can sometimes add confusion, utilizing an independent UAE Gratuity Calculator ensures you receive every dirham you've legally earned.
Core Legal Framework Under Article 51
The unified labor legislation outlines explicit tier structures depending on your duration of continuous employment and contract type. Unlike legacy frameworks, the modern decree streamlines how partial years and full years are computed.
How the Accrual Formula Operates
Computation relies strictly on your last drawn monthly basic salary—housing, transport, and other allowances are legally excluded from this baseline. The standard accumulation tiers function as follows:
- Under 1 Year: No gratuity accrues if service is terminated before completing 365 days.
- 1 to 5 Years: Employees receive 21 days of basic wages for each year of the first five years of service, prorated precisely by exact calendar days.
- Beyond 5 Years: Any service duration stretching past five years accumulates at a rate of 30 days of basic wages for each additional year.
- Total Compensation Cap: Regardless of tenure length, total cumulative severance cannot exceed two years' (24 months) worth of total wages.
Handling Resignation Versus Termination Rules
Your reason for leaving also influences final payout calculations under limited and unlimited contract transitions of the past, though modern unified contracts evaluate service length uniformly. However, resignation provisions under specific contract clauses can alter proportional payouts if an employee departs abruptly without serving mandatory notice periods.
Frequently Asked Questions
No. By law, gratuity is computed strictly using your monthly basic salary, leaving out housing, utility, and transport allowances.
Employees who resign or have their employment terminated with less than one year of continuous service are not legally entitled to end-of-service gratuity.
Your monthly basic salary is divided by a fixed statutory divisor of 30 days to arrive at your daily basic wage rate.
Yes, part-time and alternative employment patterns are supported under the law, though payouts are adjusted proportionally based on working hours share.
Yes, the total accumulated end-of-service severance package cannot exceed the equivalent of two years' (24 months) total wages.
Unplanned or authorized unpaid leaves of absence are subtracted from your total service days, as Article 51 counts only active working tenure.
Employers can only deduct financial losses if proven through formal investigations or court orders, and written consent or legal backing is mandatory.
According to MOHRE guidelines, final settlements—including gratuity and pending dues—must typically be settled within 14 days of contract termination.
Yes, if an employee is terminated under specific disciplinary clauses outlined in Article 44 (such as gross misconduct), they forfeit their end-of-service benefits.
If final dues are withheld without legal justification, you can lodge an official labor dispute complaint directly through the MOHRE app or portal.