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Formula and sources reviewedUAE private-sector ruleReviewed 24 October 2026Published by Ezivo Calculator

🇦🇪 United Arab Emirates Gratuity Calculator

Estimate an eligible worker's end-of-service gratuity using joining date, last working date, basic salary and final-settlement adjustments.

UAE end-of-service calculator

Estimate your gratuity

Enter your monthly basic salary and employment dates. The calculator works without opening the optional settings.

Optional details: unpaid leave, part-time work and final settlement+

Leave these blank if they do not apply. A blank part-time ratio is treated as full-time (100%).

Service length

Calendar days: —

Eligible days: —

Formula split

First 5 years: — days

After 5 years: — days

Salary base

Monthly basic salary: —

Two-year cap: —

For general UAE private-sector planning. Gratuity uses basic salary. Domestic-worker rules, UAE nationals, DIFC/ADGM arrangements, legal exclusions and employer alternative schemes can change the actual entitlement.

Enter the three required details

—

End-of-service gratuity—
Leave encashmentAED 0.00
Notice payAED 0.00
Unpaid salaryAED 0.00
Final deductions-AED 0.00
Eligible service—
Gratuity days—
Eligibility viewWaiting for required details

Methodology

How this calculator works

The calculator measures calendar service from the joining date to the last working date, subtracts unpaid leave days entered by the user, and converts eligible service into years. For an eligible worker with at least one year of service, it divides monthly basic salary by 30 to estimate daily basic wage. It then applies 21 days of basic wage for each of the first five years and 30 days for each later year, including a proportional part-year after eligibility begins. A part-time work fraction can reduce the gratuity estimate, and the gratuity is capped at two years of basic wage.

Worked example

Reading the result

With an AED 8,000 monthly basic salary from 1 January 2020 to 1 January 2026, the calculator counts about six years of eligible service. The first five years contribute 105 wage-days and the next year contributes about 30 days. At AED 266.67 per day, the full-time gratuity estimate is about AED 36,000 before final-settlement additions or deductions.

Accuracy checklist

Validate your United Arab Emirates estimate

  1. 1Use the legally relevant wage base, eligible service or working hours and the correct employment event. Total salary can include allowances that are not part of the statutory base, while unpaid absence, partial years or a change in contract terms may affect the eligible period.
  2. 2Review every intermediate result before relying on the total. Check the service dates or ordinary hourly rate, the multiplier or accrual rule, any cap, and whether the calculator has included only the scenarios supported by the UAE private-sector rule scope.
  3. 3Compare the United Arab Emirates estimate with the contract, payroll records and UAE Government — end-of-service benefits for private-sector workers. Employment classification, termination reason, collective terms and authority interpretation can change an entitlement that a general calculator cannot decide.
  4. 4Save the inputs, selected options and calculation date with the result. If the estimate informs a payment, return, contract or application, rerun it when the UAE private-sector rule rules or your underlying figures change and compare the updated breakdown with the earlier version.

Common questions

Frequently asked questions

Why does this UAE gratuity calculator use dates?+

Joining and last-working dates reduce manual mistakes. The calculator converts the date range into eligible service, then subtracts unpaid leave days you enter.

Is gratuity based on total salary?+

No. The standard calculation described here uses basic salary, not housing, transport or other allowances. The tool shows excluded allowances separately when you enter a total package.

Is there gratuity before one completed year?+

Under the general private-sector rule used here, service below one year returns no gratuity estimate, though other settlement items such as unpaid salary or leave encashment can still be shown.

Does the calculator handle part-time workers?+

It includes a work-fraction field so you can prorate the estimate for planning. Exact part-time treatment depends on the employment arrangement and applicable rules.

What if the employer uses an alternative end-of-service savings scheme?+

Select the alternative-scheme option to exclude statutory gratuity from the settlement view. The worker's actual entitlement would then depend on that scheme's rules and documents.

Sources and review

Author: Ezivo Calculator. Reviewed by: Ezivo Calculator technical QA. Primary reference: UAE Government — end-of-service benefits for private-sector workers. Rules reviewed 24 October 2026.

Rule period: Current published rules within the page’s stated period and scope

Next scheduled review: 15 December 2026

The implemented rates, thresholds, displayed scope and representative boundary behaviour were reviewed against the primary source linked on the page.

View official source Dubai Development Authority — official gratuity calculator

Important scope

General planning estimate for the federal private-sector framework. It does not decide legal eligibility, resignation/termination facts, domestic-worker rules, UAE-national pension treatment, DIFC or ADGM arrangements, employer alternative savings schemes, court disputes, disciplinary exclusions or a binding final-settlement amount. This calculator provides general information and a planning estimate, not financial, tax, legal or professional advice.

Read the guide: UAE gratuity rules explained →Explore all United Arab Emirates calculators →