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BI CFO / UAE / UAE gratuity calculator

UAE gratuity calculator

End-of-service gratuity for private-sector employees under the 2021 Labour Law.

Basic only, no allowances
Not counted as service
Daily wage worked out as

Enter your figures to see the result.

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Common questions

How is UAE gratuity calculated?

21 days of basic wage for each of the first five years and 30 days for each year after, with part years pro rata. Employers usually take the daily wage as monthly basic divided by 30; some use basic times 12 divided by 365, which gives about 1.4% less. The calculator shows both.

Is there a cap?

Yes. Total gratuity cannot exceed two years of basic wage.

Does resigning reduce gratuity?

Not under Federal Decree-Law 33 of 2021, which removed the old reductions for resignation.

Does unpaid leave count?

No. Days of unpaid absence are excluded from the service period.

For education only. Private-sector employees under Federal Decree-Law 33 of 2021; DIFC, ADGM and government employees have different rules. Not legal advice.

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