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UAE Gratuity Calculator

Calculate UAE End of Service Gratuity under Federal Decree-Law No. 33 of 2021 with 21-day and 30-day salary tiers and 2-year cap.

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1How to Use UAE Gratuity Calculator

Under UAE Federal Decree-Law No. 33 of 2021, employees working in the UAE private sector are entitled to an End of Service Gratuity after completing at least 1 continuous year of service.

  1. Step 1.Enter your basic monthly salary in UAE Dirhams (AED).
  2. Step 2.Input your completed full years of continuous service.
  3. Step 3.Specify any remaining completed months.
  4. Step 4.Review your total gratuity payout, daily wage rate, and statutory 2-year cap.

2Formulas, Methodology & Key Features

UAE Gratuity Calculation Formula

Under UAE Labor Law, employees receive 21 days basic wage per year for the first 5 years, and 30 days basic wage for each additional year, capped at 2 years salary:

Gratuity = (Basic / 30) × 21 × Min(Years, 5) + (Basic / 30) × 30 × Max(0, Years - 5) Cap = Basic × 24

3UAE Gratuity Benchmark Payout Matrix (AED)

Basic Salary (AED)2 Years Service5 Years Service8 Years Service12 Years Service
AED 5,000AED 7,000AED 17,500AED 32,500AED 52,500
AED 10,000AED 14,000AED 35,000AED 65,000AED 105,000
AED 20,000AED 28,000AED 70,000AED 130,000AED 210,000
AED 35,000AED 49,000AED 122,500AED 227,500AED 367,500

?Frequently Asked Questions (FAQ)

Common questions answered about UAE Gratuity Calculator.

Employees must complete at least 1 continuous year of employment to be entitled to end of service gratuity under Article 51 of UAE Labor Law.