Online Gratuity Calculator UAE (100% Accurate & Updated)

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Introduction

Curious about your gratuity in the UAE? Our gratuity calculator UAE gives you a quick, easy estimate of your end-of-service payout after a year on the job, based on UAE Labor Law, tailored to your service, and minus the fine print like unpaid leaves or debts. You can print its results to show them to the company you are leaving for severance pay. Don’t worry we are also provide Domestic worker Gratuity Calculator and JAFZA gratuity Calculator.

What is Gratuity(مكافأة)?

Gratuity (مكافأة) is a word with two lives. For employees, it’s a hard-earned reward, a payment from their employer after years of steady service or sooner if an accident or illness cuts in. It’s tied to your last salary and the time you’ve given, a quiet nod to loyalty. Then there’s the other gratuity, the kind you leave on a table or slip into a hand.

Gratuity Calculator UAE

It varies from place to place. In some corners of the world, it’s expected, a percentage of the salary for good service. Either way, gratuity is about recognizing effort by End of Services Benefits (ESB). It’s gratitude with roots, whether in a paycheck or Hard cash. Gratuity aims to protect employees from inflation, default and bankruptcy. It also aims to encourage employees to benefit from investing in various economic activities in the UAE. Our Gratuity Tool UAE Help you out for its calculations.

Who is Eligible for Gratuity?

In the UAE, gratuity pay is a parting gift for expatriate (Foreign) workers, not UAE nationals rather you are Difc employ, Dubai Airport Free Zone DAFZA, Dubai Development Authority (DDA), Dubai Multi Commodities Centre (DMCC) or any domestic worker. While locals build security through mandatory pension plans, expats rely on this end-of-service reward a benefit tied to their journey here. Article 51 says if you’ve worked over a year without a break With out Get Any leaves “Then Check Your Leaves Salary First From Leave Salary Calculator“, you get gratuity for the extra months too. It’s a fair deal for your Maximum time calculated on Gratuity Calculator Dubai.

How Does the Gratuity Calculator UAE Work?

Basic Salary Factor: Your monthly salary (e.g., 5000 AED) sets the base—higher salary, higher gratuity.

Service Duration: Time between your first day (e.g., 10 April 2022) and last day (e.g., 13 March 2025)—full years plus any fraction after 1 year count.

Contract Type Impact:

Limited

 Fixed-term deals might adjust gratuity based on completion or early exit after 1+ years in UAE Gratuity Calculator.

Unlimited

Open-ended terms shift the payout depending on how you leave after 1+ years.

Leaving Method:

Termination

Employer-ended after 1+ years typically means full gratuity eligibility.

Resignation

Quitting after 1+ years may tweak the amount, often partial unless service is long.

UAE Law Basis:

Results align with UAE government rules—requires 1+ years; calculates daily wage (salary ÷ 30) and scales by service time.

Example Calculations:

Salary 3000 AED, unlimited contract, resignation after 3 years (1 Jan 2022 to 1 Jan 2025).

Example Calculations

Salary 3000 AED, unlimited contract, resignation after 3 years (1 Jan 2022 to 1 Jan 2025).
Convert total Monthly Salary to Daily wage: 3000 ÷ 30 = 100 AED.
Possible gratuity: 100 × 21 × 3 × 1/3 = 2100 AED (assuming partial rate for 1-3 years).

Short Video Guide For Gratuity Calculator

Important factors for Calculating Gratuity

When it comes to figuring out your gratuity, it’s not just about numbers, it’s about getting it right, fast, and with peace of mind. Our Gratuity calculator UAE is built on a few core strengths that matter to you, ensuring every detail aligns with what you deserve under UAE Labour Law.

Accuracy

Your gratuity computation hinges on specifics, such as your basic salary, service years, contract type, and how you left the job. End of Service calculator nail every input, from your first day to your last, so the result isn’t just close, it’s spot-on, down to the last dirham.

Effortless Calculation

No headaches here. Punch in your monthly salary, pick limited or unlimited contract, note if you resigned or were terminated, and add your start and end dates. That’s it, the heavy lifting’s done for you, smooth as a breeze.

Time Efficiency

Why waste hours puzzling over formulas? In seconds digitally, you’ll see what your time’s worth, no spreadsheets, no guesswork. Gratuity calculator is quick, leaving you free to focus on what’s next.

Key Steps for Calculating End-of-Service Benefits.

Under Article 51 of UAE Labour Gratuity Law, gratuity is a reward just to private sector workers for EOSB. To see what’s yours, our online Gratuity Calculator UAE asks for the following data.

Complete Minimum Service Period

Complete Minimum Service Period

Gratuity isn’t a direct quick win, it’s for those who’ve put in the time. As per Article 51 UAE New Labour Law, you need at least one year (365 Days) of continuous service in the private sector to qualify.

Know your Basic Salary

Know your Basic Salary

Your basic salary is the main figure of the calculation, no extras, just the basic monthly pay you signed up for. It’s what sets the size of your gratuity, so have that result.

Enter the Contract Type

Enter the Contract Type

Limited or unlimited? Your contract type shapes the payout. A fixed-term deal might tweak things differently than an open-ended one, especially when it’s good time to cash out.

Left your Job

Select the Way by Which You Left your Job

How you walked away matters, resignation or termination changes the math. Pick one, because it changes the way you get your gratuity.

End Date of your Service

Add the Start and End Date of your Service

The day you started and the day you stopped. From the first day in to the final day, those dates calculate your service length, every year and fraction counts after that first one.

Key Steps for Calculating End of Service Benefits

How Gratuity is Calculated in an Unlimited Contract?

Gratuity for an unlimited contract in the UAE also depends on how you leave, resignation or termination, which decides the cut, starting after a year under Article 51.

Gratuity Calculator UAE Formula for Unlimited Contracts

For unlimited contracts in the UAE, gratuity starts with your daily basic wage, monthly salary divided by 30. Per Article 51, it’s 21 days’ pay per year for the first five, then 30 days pay for after years, scaled down if you resign or paid full if terminated, provided you’ve served over a year. You can set this Calculation Formula in your excel file or Sheet according to followings formula format. used in our Gratuity Calculator UAE.

Upon Resignation

If you resign after a year, the formula tiers up, and past 5 years, you finally get the full rate. For one to three years, it’s a third of 21 days’ pay per year (daily wage × 21 × years × 1/3). Three to five years, it’s two-thirds (daily wage × 21 × years × 2/3). After five years, you earn 21 days per year for the first five, plus 30 days per year beyond that, no reductions.

For example

Resigning after six years at 3,000 AED monthly (100 AED daily):
first five years = 100 × 21 × 5 = 10,500 AED;
sixth year = 100 × 30 × 1 = 3,000 AED; total = 13,500 AED.

Upon Termination

If terminated after a year, it’s full gratuity from the start, and after five years, the rate jumps too. It’s 21 days’ pay per year for the first five (daily wage × 21 × years), then 30 days per year beyond that.

For example

terminated after six years at 3,000 AED monthly (100 AED daily):
first five years = 100 × 21 × 5 = 10,500 AED; sixth year = 100 × 30 × 1 = 3,000 AED; total = 13,500 AED.
No cuts here—just your full due, with that extra 30-day rate kicking in past five.

How Gratuity is Calculated in a Limited Contract?

A limited contract in the UAE comes with an end of service, but gratuity still rewards your time if you’ve served over a year in the private sector, As per Article 51 of UAE Labour LAW. It’s calculated using your basic salary divided on a daily basis and tied to your service length, with the payout shifting based on whether you resign or get terminated. For these fixed-term deals, sticking it out or leaving early changes the math, Here’s how Indemnity/Gratuity calculator UAE works for students or any residential and also download the results anywhere you belongs like Delhi India, Philippines, Pakistan, China, Durban South Africa, Ghana or any other.

Gratuity Calculator UAE Formula for Limited Contract

The formula starts simple: take your basic monthly salary, divide by 30 for your daily wage, then multiply by 21, and now you will find the 1st year gratuity. Gratuity is 21 days’ pay per year for the first five years, then 30 days per year after that, capped at a two-year salary max. But with a limited contract, the rules flex depending on how and when it ends even after 10 years of service, resignation or termination each tell a different story.

Upon Resignation

Resigning from a limited contract can trim your gratuity if you don’t finish the term. After one to five years, you get 21 days’ pay per year (daily wage × 21 × years).
but only if you complete the contract; otherwise, it’s zero before a year, or reduced if you bail early between one and five. After five years, completing the term earns you 21 days for the first five, plus 30 days per extra year (daily wage × [(21 × 5) + (30 × extra years)]).

For example

resigning after six years at 3,000 AED monthly (100 AED daily),
contract completed: first five = 100 × 21 × 5 = 10,500 AED; sixth = 100 × 30 × 1 = 3,000 AED; total = 13,500 AED.
You might lose it all unless past a year.

Upon Termination

If your employer terminates you after a year, you will get full gratuity, no penalties. It’s 21 days’ pay anual up to five (daily wage × 21 × years), then 30 days per year beyond that.

For example

Terminated after six years at 3,000 AED monthly (100 AED daily):
first five = 100 × 21 × 5 = 10,500 AED; sixth = 100 × 30 × 1 = 3,000 AED; total = 13,500 AED.
Even if the contract’s cut short, you get your due for time served, as long as it’s over a year.

Can Gratuity be Denied?

Gratuity feels like a finance, a reward for your time. In the UAE’s private sector, Article 51 says you’re entitled after a year, yet there are cracks where it can slip away. If you quit or get fired before 12 months, it’s gone. Break your limited contract early by resigning as a worker or helper?

You might walk away empty-handed unless you’ve served a year and followed the rules. Even after years of service, serious misconduct like theft or violence could give your employer grounds to withhold it under legal clauses. It’s not a given; it’s a right you have to earn and protect.

Factors that Affect Your Gratuity

Your gratuity isn’t a flat prize, it bends with your story. Your basic salary sets the base; a higher monthly pay means a bigger daily wage (salary ÷ 30) and a bigger payout. Service length is the backbone, less than a year means zero gratuity, while over five years bumps you from 21 to 30 days’ pay per year.

Contract type matters too: limited contracts demand you finish the term for full benefits, while unlimited ones tweak the cut if you resign early (e.g., one-third for 1-3 years). How you leave, resignation or termination, flips the switch: quitting can shrink it, getting let go keeps it whole. Even unpaid leave or debts owed could chip away if your employer deducts them legally.

Secure Your Gratuity Benefits

You’ve earned your gratuity don’t let it slip through the cracks. It’s yours under UAE Labour Law from Ministry of Labour (MOL), but staying sharp and reserch from google search keeps it safe. Here’s how to lock it down:

Familiarize yourself with your Employment Contract

Your contract, limited or unlimited, is the roadmap. Check the fine print: notice periods, end dates, gratuity clauses. Knowing if it’s 21 days per year or shifts after five saves surprises later.

Know your Legal Rights in the Emirates

Article 51 is your shield—gratuity kicks in after a year. Resignation rules differ by contract; terminations are usually full pay. Dig into UAE Labour Law so you’re not guessing what’s yours.

Keep your Employment Record

Proof is power. Keep your payslips, start and end dates (e.g., 1 March 2022 to 14 March 2025), and contract copies. A clean record of final settlement backs your claim if disputes start.

Discuss Concerns with your Employer

Talk clearly. Ask about deductions, delays, Degree, or contract quit, open chats can clear the air before it’s a fight. Most bosses want a fair exit too.Entitlement of every thoughts must be done.

Seek Legal Assistance

If they deny you after six years at 3,000 AED monthly (13,500 AED due), don’t stop. A labour lawyer or Ministry of Human Resources visit can enforce your rights when words fail for your UAE end of service rewards/ benefits.

24 Thoughts on “Gratuity Calculator UAE”

People have a lot to say about the gratuity calculator UAE, and it’s a mixed bag of real-life takes.

“Saved me hours—plugged in my 4,000 AED salary and six years, got 18,000 AED instantly,🤩”

“Wish it warned me resigning early on a limited contract cuts it to zero🤩🤩”

“😄😄Spot-on for my unlimited contract termination—13,500 AED matched my lawyer’s math.”

“Spot-on for my unlimited contract termination—13,500 AED matched my lawyer’s mat😊.”

“Perfect for quick checks” to “Missed my bonus—basic only?”

these 24 voices (and counting) show it’s a lifeline for many, though not flawless for every twist of UAE Labour Law.

Disclaimer

This gratuity calculator UAE is here to help, not to rule. It estimates your payout based on inputs like basic salary, service years (e.g., 1 March 2022 to 14 March 2025), contract type (limited or unlimited), and exit method—aligned with Article 51 of UAE Labor Law which is implemented on all states or areas of UAE like Dubai, Umm al Quwain, Jebel ali (Jafza), Fujairah, Ajman, Ras Al Khaimah, Abu Dhabi or Sharjah.

But it’s a guide: unpaid leave, debts, or legal disputes might shift the real near number. For the full truth—say, after resigning with three years on an unlimited contract, check your contract and talk to a pro with personal contact number. We’re not liable if it’s not ecact; it’s a starting point, not a court order.

FAQs – (Frequently Asked Questions)

Gratuity in the UAE sparks plenty of questions—here’s the rundown based on what matters most to private sector workers under Article 51 of UAE Labour Law.

Not everyone gets gratuity. It’s for private sector employees only, not UAE nationals (who have pension plans instead) working under limited or unlimited contracts. You need to do service for at least one year with the same employer to qualify; anything less, and it’s waved off. Or Calculate his Gratuity from Gratuity Calculator UAE.

You have to do one year of continuous service. This means, for example, from 15 March 2024 to 16 March 2025—and you’re in, whether you resign or get terminated.

Yes, there’s a ceiling. Your gratuity can’t exceed two years’ worth of your basic salary. So, if you earn 3,000 AED monthly (36,000 AED yearly), the max is 72,000 AED, no matter how long you’ve served, six years or sixteen.

It’s a formula tied to your basic salary (no bonuses, just the basic pay) and service time. Divide your monthly salary by 30 for your daily wage, then multiply: 21 days per year for the first five years, 30 days per year for after years. Unlimited contracts cut this if you resign early (e.g., one-third for 1-3 years), while limited ones need completion or it’s reduced. Termination usually pays full after a year.

Your employer can say no in a few cases. Under a year of service? Zero gratuity. Resign from a limited contract before it’s up and haven’t hit a year? Nothing. Serious misconduct—like theft, violence, or breaking major rules—can also let them withhold it legally. Even after years, unpaid debts or absences might justify deductions if the law backs it.

In MOHRE (Ministry of Human Resources and Emiratisation), gratuity for private sector workers under UAE Labour Law is calculated using your basic salary: divide by 30 for your daily wage, then multiply by 21 days per year for the first five years and 30 days per year after years, adjusted by contract type (limited or unlimited) and exit method (resignation or termination), with a cap at two years’ salary.

No, leave salary and gratuity aren’t the same. Leave salary is payment for unused annual leave days you’ve earned, based on your basic salary and accrued time off, while gratuity is an end-of-service benefit under UAE Labour Law, calculated from your basic salary and years served (21 days per year up to five, then 30 days after), paid when you leave after a year. One’s for vacation, the other’s for loyalty. check your loyalty Reward from Gratuity Calculator UAE.

yes, Gratuity is usually part of CTC (Cost To Company).

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Author Abu Muhammad

Abu Muhammad is the founder of Gratuity Calculator UAE, a user-friendly platform that helps employees in the UAE accurately calculate their end-of-service gratuity. With a deep understanding of UAE labor laws, he created this tool to simplify complex calculations and empower workers with knowledge about their rights. His mission is to promote transparency and awareness in the workplace. Abu Muhammad is passionate about creating digital tools that offer real value and practical solutions for everyday needs.