KSA end of service calculator
The Saudi end-of-service award, including the resignation rules.
UAE Gratuity Calculator
Your end-of-service gratuity, by the letter of the law
Calculate the end-of-service gratuity (EOSB) due to a full-time private-sector worker under UAE Labour Law — Federal Decree-Law No. 33 of 2021, Article 51 — from the last basic salary and the dates of service. Rules checked on 2 October 2026.
The Rules
How UAE gratuity is set by law
A foreign worker on a full-time contract becomes entitled to gratuity after one year of continuous service. It is calculated on the last basic wage, not on total pay.
| Rule | What the law provides |
|---|---|
| Less than 1 year of continuous service | No gratuity |
| Each of the first 5 years | 21 days’ basic wage |
| Each year after the fifth | 30 days’ basic wage |
| Part of a year, once 1 year is complete | In proportion to the time served |
| Maximum | Two years’ wage in total |
| Wage used | The last basic wage — housing, transport and other allowances are excluded |
| Unpaid absence | Not counted as service |
| Payment | Within 14 days of the contract ending; the employer may deduct amounts the worker owes |
Source: Federal Decree-Law No. 33 of 2021 on the Regulation of Labour Relations, Article 51, and the UAE Government portal, End of service benefits for workers in the private sector (updated 12 August 2026). Last reviewed 2 October 2026.
The Method
How the calculator works it out
- Service is counted from the start date to the last working day, inclusive, less any days of unpaid absence. A year is 365 days.
- Under one year of service, no gratuity is due and the calculation stops.
- The entitlement in days is 21 for each of the first five years and 30 for each year after that, with part-years counted in proportion.
- A day’s wage is taken as the monthly basic salary divided by 30. This is a convention, not a figure in the law, which states the entitlement in days of wage without fixing the divisor. Some employers use basic × 12 ÷ 365 instead, which gives about 1.4% less.
- The result is capped at two years’ basic wage.
Examples
Worked examples
A monthly basic salary of AED 10,000 at three lengths of service, calculated with the rules above.
| Monthly basic salary | Service | Entitlement (days) | Gratuity |
|---|---|---|---|
| AED 10,000 | 3 years | 63 | AED 21,000 |
| AED 10,000 | 8 years | 195 | AED 65,000 |
| AED 10,000 | 30 years | 855 | AED 240,000 (capped at two years’ wage) |
Scope
What this calculator does not cover
- DIFC and ADGM. Employees in these financial free zones are covered by the zones’ own employment laws, not by this calculation.
- UAE nationals. End-of-service for Emirati employees is governed by pension legislation.
- Part-time workers. Gratuity is the full-time amount scaled by the ratio of hours worked, which this calculator does not apply.
- The voluntary Savings Scheme. Where an employer has joined MOHRE’s alternative end-of-service scheme, contributions are invested during employment instead.
- Other final dues. Unpaid salary, leave balance, notice pay and any amounts the employer is entitled to deduct are settled separately.
End-of-service is a liability that builds up every month, not only when someone leaves — see UAE vs Saudi Arabia for HR and payroll teams, or explore HCM software built for multi-country payroll.
Settling final dues for a whole workforce?
TimeTrax Separation Management automates final settlement calculations with payroll data, so every exit is worked out from the same record — not rebuilt in a spreadsheet each time someone leaves.
Frequently Asked Questions
How is gratuity calculated in the UAE?
After one year of continuous service, a full-time worker is entitled to 21 days’ basic wage for each of the first five years and 30 days’ basic wage for each year after that, with part-years counted in proportion. The total cannot exceed two years’ wage.
Is UAE gratuity calculated on basic or total salary?
On the last basic salary. Allowances such as housing, transport, utilities and furniture are not included.
Do I get gratuity if I leave before completing one year?
No. Entitlement starts only after one year of continuous service.
How much gratuity do I get after 5 years in the UAE?
Five years at 21 days a year is 105 days of basic wage — three and a half months’ basic salary. On a monthly basic salary of AED 10,000 that is AED 35,000.
Do unpaid leave days count towards gratuity?
No. Days of unpaid absence are excluded from the period of service.
When must gratuity be paid?
The employer must pay outstanding wages, other entitlements and gratuity within 14 days of the contract ending.
Does resigning reduce my gratuity?
Article 51 sets the gratuity by length of service and basic wage, and sets no reduced rate for a worker who resigns.
Is the salary I enter sent anywhere?
No. The calculation runs entirely in your browser. Nothing you type is transmitted, stored or tracked.
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