UAE Gratuity Calculator
Calculate your end-of-service gratuity as per UAE Labour Law.
Enter Your Details
Overview
If you are working in the United Arab Emirates, one of the most important things you should know about is your end of service gratuity. This is the lump sum amount you are entitled to receive when your employment ends, as per UAE Labour Law. Many employees are unsure about how this gratuity is calculated, especially when contract types and years of service come into play. That’s why we created the UAE Gratuity Calculator – a simple, accurate, and easy-to-use tool that helps you figure out your entitlement in just a few clicks.
More Calculators:
What Is a UAE Gratuity Calculator?
The UAE Gratuity Calculator is an online tool designed to estimate how much end-of-service benefit you can claim when leaving a job in the UAE. It follows the official UAE Labour Law rules for both limited contracts and unlimited contracts.
All you need to do is enter your:
Contract type (limited or unlimited)
Basic monthly salary
Total years and months of service
Once you submit these details, the calculator instantly shows your gratuity amount.
Why Gratuity Calculator Is Useful?
Calculating gratuity manually can be confusing. The formula changes depending on:
How long you have worked.
Whether your contract is limited or unlimited.
If you resign or your employer ends the contract.
Our calculator removes the confusion by applying the right rules automatically. This saves you time and ensures accuracy so you don’t have to worry about miscalculations.
How Gratuity Is Calculated in UAE
Here’s a simplified explanation of how gratuity is calculated according to UAE Labour Law:
Limited Contract
Less than 1 year of service: No gratuity.
1 to 5 years: 21 days of basic salary per year of service.
5 years or more: 30 days of basic salary per year of service.
Unlimited Contract
Less than 1 year: No gratuity.
1 to 3 years: Two-thirds reduction, based on 21 days of basic salary per year.
3 to 5 years: Two-thirds reduction continues.
5 years or more: 30 days of basic salary per year of service.
The calculator applies these rules automatically and gives you the exact result.
Example of Gratuity Calculation
Let’s say your monthly basic salary is AED 5,000 and you have worked for 4 years under a limited contract.
Formula: (21 ÷ 30) × Basic Salary × Years of Service
(21 ÷ 30) × 5,000 × 4 = AED 14,000
So, your gratuity entitlement would be AED 14,000.
Instead of doing this math manually, you can simply enter the details into the calculator and get the result instantly.
Features of the UAE Gratuity Calculator
Supports both contract types: Limited and Unlimited.
Takes years and months into account for accuracy.
Responsive design: Works smoothly on mobile, tablet, or desktop.
Instant results: No need to wait or calculate manually.
Free to use: You don’t need any subscription or signup.
Who Can Use This Calculator?
This tool is best for:
Employees working in the UAE who want to check their gratuity before resigning or switching jobs.
Employers and HR professionals who need quick and accurate calculations for end-of-service settlements.
Job seekers who want to understand their rights under UAE Labour Law before accepting a new contract.
FAQs on UAE Gratuity
Q1. What is gratuity in UAE?
Gratuity is an end-of-service payment given to employees when their contract ends, as per UAE Labour Law.
Q2. Does my full salary count for gratuity?
No. Only your basic salary is used to calculate gratuity, not allowances or bonuses.
Q3. Do I get gratuity if I resign?
Yes, but the amount may vary depending on your contract type and years of service.
Q4. Is there a maximum gratuity limit?
Yes, gratuity cannot exceed two years of total wages.
Q5. Why should I use this calculator?
Because it applies the official UAE rules correctly and saves you from manual miscalculations.
Conclusion
Understanding your end-of-service benefits is crucial for financial planning as an employee in the UAE. With the gratuity calculator in UAE, you can easily calculate your entitlement in seconds. Whether you are on a limited or unlimited contract, this tool ensures you always know your rights and what to expect when your job ends.