UAE Calculators/UAE Gratuity Calculator

UAE End of Service Gratuity Calculator (2026/2027)

Calculate statutory End of Service severance pay under UAE Federal Decree-Law No. 33 of 2021 for UAE Mainland employees and most Free Zones (excluding DIFC and ADGM which have separate employment regulations).

AED 15,000
Note: Gratuity is calculated strictly on Basic Salary (excluding allowances).
4 Years
Gratuity Payout Summary
Daily Basic Rate:AED 500 / day
First 5 Years Rate (21 Days/yr):21 Days
After 5 Years Rate (30 Days/yr):30 Days
Total End of Service Gratuity Payout
AED 42,000
Real-Time Mathematical Audit

Live Step-by-Step End of Service Gratuity Audit

Line-by-line proof of Federal Decree-Law No. 33 of 2021 severance payout formula.

Step 1: Daily Basic Salary CalculationAED 500 / day
Basic Monthly Salary: AED 15,000
Statutory Monthly Divisor: 30 Days
Daily Basic Pay Rate: AED 500.00
Step 2: Service Tier & Days Multiplier4 Years Service
Years 1 to 5 (21 Days/yr): 4 Years x 21 = 84 Days
Years > 5 (30 Days/yr): 0 Years x 30 = 0 Days
Step 3: Uncapped Gratuity SubtotalSubtotal Payout
Total Accumulated Entitlement Days: 84 Days
Calculated Gratuity Subtotal: AED 42,000
Step 4: Maximum Cap & Net PayoutNet Payout
2-Year Basic Salary Maximum Cap: AED 360,000
Net Employer Gratuity Check: AED 42,000
*Note: 24-month basic salary cap applies to standard contracts under Article 51(5). Limited contract calculations or specific freezone rules (DIFC DEWS) may differ.

UAE Labor Law No. 33 of 2021 Gratuity Rates Summary Table

Service DurationAnnual Days EntitlementCalculation BaseStatutory Maximum Limit
Under 1 YearNot Eligible (0 Days)Basic SalaryN/A
1 to 5 Years21 Days Basic Salary per YearBasic Salary / 3024 Months Basic Salary
Over 5 Years30 Days Basic Salary per Extra YearBasic Salary / 3024 Months Basic Salary Cap
Knowledge Base

Frequently Asked Questions (UAE Gratuity)

For continuous service of 1 to 5 years, an employee is entitled to 21 days' basic salary for each year. For service exceeding 5 years, the rate increases to 30 days' basic salary for each additional year, capped at a maximum total payout of 2 years' basic salary.
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