Estimate your UAE gratuity under the Labour Law — 21 days' basic pay per year for the first 5 years, 30 days' after, capped at 2 years' wage.
Estimated gratuity
5 years of service · 105 days of basic wage
End-of-service gratuity for private-sector employees is set by Federal Decree-Law No. 33 of 2021 (Article 51), in force since 2 February 2022. It is calculated on the last basic wage (allowances excluded):
You must complete at least one year of continuous service to qualify, and partial years beyond the first are paid pro-rata. Under the 2021 law there is no reduction for resignation. Planning a move between the UAE and India? See our UAE → India tax bridge.
Source: UAE Federal Decree-Law No. 33 of 2021, Article 51; UAE Ministry of Human Resources & Emiratisation (MOHRE); UAE Government portal "End of service benefits" (u.ae). Verified as of 20 June 2026.
For each of the first 5 years of service you earn 21 days of basic wage, and for every year beyond 5 years you earn 30 days. The daily wage is the basic monthly salary divided by 30. Total gratuity is capped at 2 years' wage.
Gratuity is calculated on the last basic wage only. Allowances such as housing, transport and other benefits are excluded — using gross salary is the most common mistake.
Yes. Under Federal Decree-Law No. 33 of 2021, an employee who completes at least one year of continuous service receives the full calculation whether they resign or are terminated — there is no reduction for resignation.
Yes. You must complete at least one year of continuous service to qualify for gratuity. Below one year, no gratuity is payable. Partial years beyond the first are paid pro-rata.
Yes. In all cases the total end-of-service gratuity cannot exceed the equivalent of 2 years' wage.
Disclaimer: This calculator is informational only and not legal or tax advice. Special cases — dismissal for gross misconduct (Article 44), unpaid leave, daily-wage and certain savings-scheme employees — can change the figure. Verify your entitlement with MOHRE or a qualified UAE labour-law professional. See our full disclaimer.