Fast, accurate EOS (End-of-Service) estimate per UAE Labour Law.
Easily Calculate Your End-of-Service Benefits
If you’re working in the UAE, one of the most important things you need to know is how much gratuity (end-of-service benefit) you’re entitled to when you leave your job. The UAE labour law grants employees a gratuity payment based on their length of service and last basic salary. But doing the math manually can be confusing.
That’s where the UAE Gratuity Calculator comes in. This tool makes it quick and effortless to find out exactly how much gratuity you’re entitled to – without needing legal expertise or complex math.
Table of Contents
What is Gratuity Calculator Abu Dhabi?
The gratuity calculator abu dhabi is a free online tool designed to help employees and employers estimate end-of-service gratuity payments in compliance with UAE Labour Law. Instead of manually applying formulas, the calculator quickly computes the amount based on:
According to the UAE Gratuity Labour Law, UAE Gratuity is calculated based on:
- Employee’s last drawn basic salary
- Length of service (years worked)
- Contract type (limited or unlimited, in some cases)
For example:
- If you’ve worked 1 to 5 years, you get 21 days’ basic salary per year.
- If you’ve worked more than 5 years, you get 30 days’ basic salary per year.
Why Do You Need a Gratuity Calculator Dubai?
While the law defines gratuity, many employees struggle to calculate it correctly. Errors occur when attempting to determine partial years, exact formulas, or company policy adjustments.
That’s where the online gratuity calculator abu dhabi comes in:
- No manual math needed
- Accurate results instantly
- Easy for anyone to use – even if you’re not good with numbers
Why is Gratuity Important in the UAE?
Gratuity acts as a financial cushion for employees leaving a company. It reflects an employer’s appreciation for years of service. Understanding your gratuity helps you:
- Plan your financial future before leaving a job.
- Avoid confusion or disputes with employers.
- Check if your payout matches the UAE Labour Law.
- Make informed career and contract decisions.
How to Use the UAE Gratuity Calculator
Let’s see how to check the gratuity calculator in the UAE. Using the calculator is simple. Here’s a step-by-step guide:
- Go to 👉 UAE Gratuity Calculator
- Enter your last drawn basic salary
- Enter your start date and last working date
- Click on “Calculate“
In just seconds, you’ll see:
- Your total gratuity amount
- Number of years/months worked
- Breakdown of how the gratuity was calculated
Features of the Gratuity Calculator Abu Dhabi
Here’s what makes this tool stand out:
- ✅ User-Friendly Interface – Clean and simple design for quick use.
- ✅ Accurate Calculations – Follows official UAE Labour Law rules.
- ✅ Accessible anywhere – Works on mobile, tablet, and desktop
- ✅ Fast Results – Get your gratuity in seconds.
- ✅ Free Access – No hidden charges.
- ✅ 100% free – No sign-up required
Benefits of Using the Gratuity Calculator Dubai
Using this tool can help both employees and employers in multiple ways:
For Employees
- Know your exact rights before leaving a company.
- Prevent underpayment or miscalculation.
- Gain peace of mind about your financial settlement.
For Employers
- Quickly estimate payouts for multiple employees.
- Ensure compliance with the UAE Labour Law.
- Avoid disputes and maintain employee trust.
Using the tool gives you several advantages:
1. Clarity in Financial Planning
Know exactly how much money you will receive when you resign or complete your contract.
2. Avoid Calculation Errors
Manual mistakes can cost you thousands of dirhams. The calculator ensures precision.
3. Saves Time
What takes 15–20 minutes manually is done in seconds.
4. Helps in Career Decisions
Before switching jobs, you can estimate your end-of-service benefits and plan accordingly.
Gratuity Calculation Rules in the UAE
The formula differs based on contract type and years of service. Here’s a breakdown:
| Years of Service | Limited Contract | Unlimited Contract |
|---|---|---|
| Less than 1 year | No gratuity | No gratuity |
| 1 – 5 years | 21 days’ salary per year | 21 days’ salary per year |
| More than 5 years | 30 days’ salary per year | 30 days’ salary per year |
⚠️ Note: The gratuity amount is calculated only on basic salary, not including allowances, bonuses, or commissions.
Real-Life Example
Let’s say you worked in Dubai for 6 years under a limited contract with a basic monthly salary of AED 8,000.
- First 5 years: 21 days x 5 = 105 days’ salary
- After 5 years: 30 days x 1 = 30 days’ salary
- Total = 135 days’ salary
Gratuity = (AED 8,000 ÷ 30) × 135 = AED 36,000
Instead of calculating manually, the Gratuity Calculator Abu Dhabi gives you this result instantly.
| Example | Basic Salary | Years of Service | Gratuity Entitlement |
|---|---|---|---|
| Employee A | AED 5,000 | 3 years | (21 days × 3 ÷ 30 × 5000) = AED 10,500 |
| Employee B | AED 8,000 | 7 years | [(21 days × 5 ÷ 30 × 8000) + (30 days × 2 ÷ 30 × 8000)] = AED 44,000 |
These examples show how the calculator simplifies even complex cases.
📌 Formula Reminder (for UAE Private Sector, full-time contracts):
- First 5 years of service → 21 days’ basic salary for each year
- After 5 years → 30 days’ basic salary for each additional year
- Gratuity Cap → Cannot exceed 2 years’ total salary
- Daily Salary Formula →
Basic Salary ÷ 30
Who Can Use the Gratuity Calculator Dubai?
- Employees planning to resign
- Expats finishing long-term contracts
- HR professionals verifying calculations
- Job seekers are comparing benefits before joining
Practical Use Cases
This tool is useful for:
- Employees resigning after long service.
- HR professionals managing settlements.
- Employers ensure compliance.
- Job seekers are comparing benefits before signing a contract.
Related Tools You Might Find Useful
For better financial and career planning, check out these free tools:
- Online Gratuity Calculator – Alternative calculator for global use.
- Loan EMI Calculator – Estimate your monthly loan payments.
- SIP Calculator – Plan your mutual fund investments.
- Online Age Calculator – Quickly calculate your age in years, months, and days.
- Signature Maker Online – Create a professional e-signature in seconds.
For file and format needs:
And for digital content:
⚖️ Verified Against Sources
- UAE Government Portal – End of Service Benefits
- Gulf News Gratuity Calculator
- UAE Government Labor Law Page
- Gulf News – UAE Gratuity Guide
Final Thoughts
The UAE Gratuity Calculator is a must-use tool for every employee in the UAE. Whether you’re planning to resign, complete a contract, or just want peace of mind, this tool gives you instant clarity about your financial entitlement.
👉 Try it now here: gratuity calculator abu dhabi
Frequently Asked Questions (FAQs):
Q1. Do I get gratuity if I resign before 1 year?
No, you must complete at least one year of service.
Q2. Is gratuity based on total salary or basic salary?
Only the basic salary is considered, not allowances or bonuses.
Q3. Can my employer deduct gratuity?
Employers can only make deductions if specified under labor law (e.g., debts to the company).
Q4. Is gratuity taxable in the UAE?
No, gratuity is not taxable in the UAE.
Q5. Is gratuity mandatory in the UAE?
Yes, gratuity is a legal right for employees who have completed at least one year of continuous service.
Q6. Does gratuity include allowances?
No. It’s calculated only on the basic salary.
Q7. Is the gratuity calculator Dubai free?
Absolutely. You can use it anytime without paying anything.
Q8. What happens if I worked less than a year?
Employees who worked for less than 12 months are not entitled to gratuity.
Q9. Is gratuity based on my most recent basic salary or the initial one?
In short, your gratuity is calculated based on your latest basic salary, not what you started with.
Q10. Does gratuity apply if I resign before completing one year?
Nope—you’re not eligible for gratuity unless you complete at least one year of continuous service.
Q11. How is gratuity computed for limited vs. unlimited contracts?
Limited contracts: You get 21 days’ basic salary per year for the first 5 years, then 30 days for each year after.
Unlimited contracts: If you resign, you receive 1/3 of 21 days for 1–3 years, 2/3 for 3–5 years, and full 21 days after 5 years. If you’re terminated, you get 21 days for the first 5 years, then 30 days thereafter.
Q12. What’s the maximum gratuity I can get?
The gratuity cannot exceed two years’ worth of your basic salary in total.
Q13. Can gratuity include allowances like housing, transport, or bonuses?
No. Gratuity is calculated solely on your basic salary—things like housing, transport, utilities, and bonuses are not included.
Q14. What if I have unpaid leave or absences?
Periods of unpaid leave or absences are excluded from your service duration, meaning they don’t count towards your gratuity.
Q15. Can an employer deduct gratuity for money I owe them?
Yes. Employers can deduct debts you owe them from your gratuity, as allowed under UAE law
Q16. What if my employer delays paying my gratuity?
Under UAE law, gratuity must be paid within 14 days of your contract ending. Delays could potentially lead to legal consequences for the employer.
Q17. Can I challenge or dispute a wrong gratuity calculation?
Yes. If you spot a mistake, you can file a complaint with MOHRE, especially if your contract salary hasn’t been updated properly.
Q18. Does resignation vs termination affect gratuity?
Yes. With an unlimited contract, resignation before 5 years reduces gratuity proportionally (1/3 or 2/3). Termination gives full entitlement.
Q19. How is gratuity calculated if I worked less than a full year after completing 1 year?
If you worked 1 year and a few extra months, the calculator works pro rata. That means your gratuity is calculated for the full years plus a proportion of the extra months. Example: If you worked 3 years and 4 months with an AED 6,000 salary, you’ll get gratuity for 3 years plus 4/12 of a year.
Q20. Do part-time employees get gratuity in the UAE?
Yes. Since 2019, the UAE labor law has allowed part-time workers to also receive gratuity. The calculation is done based on their working hours and the proportion of full-time salary.
Q21. What happens to gratuity if an employee passes away?
If an employee unfortunately dies while in service, the gratuity (and any pending salary) is paid to their legal heirs. Employers are required to release it even if the employee did not resign or complete their contract.
Q22. Can gratuity be withheld if I break my limited contract early?
Yes. If you resign before completing your limited contract (without a legal reason), you may lose part or all of your gratuity entitlement. However, if the employer breaches the contract, you remain eligible.
Q23. Is gratuity different for government jobs and the private sector?
Yes. Government employees usually follow separate pension and end-of-service rules, while private-sector employees follow the standard UAE Labour Law gratuity formula.
Q24. Does maternity or sick leave affect gratuity?
No. Paid maternity or sick leave does not reduce your gratuity entitlement. Only unpaid leave is excluded from the calculation.
Q25. Can I calculate gratuity on my total package (basic + allowances)?
No. This is a common misunderstanding. Gratuity is always based on basic salary only. Allowances (housing, transport, overtime, bonuses) are excluded.
Q26. Is there a deadline for employers to pay gratuity after termination?
Yes. By law, gratuity must be paid within 14 days of your final working day. Any delay can be reported to the Ministry of Human Resources and Emiratisation (MOHRE).
Q27. What if my salary was never updated in my labor contract?
This is a common issue shared on forums. If your basic salary in the contract is lower than what you received, gratuity will still be calculated on the official contract salary, unless you can provide proof and raise a dispute with MOHRE.
Q28. Can my employer refuse to pay gratuity?
No, gratuity is a legal right for eligible employees. Employers cannot deny it. If they do, you can file a case with MOHRE or seek legal support.