--- title: "UAE Gratuity Calculator" description: "Calculate UAE end-of-service gratuity under Decree-Law 33 of 2021: 21 days’ basic pay a year for five years, 30 days after, capped at two years’ pay." url: "https://www.nastalent.com/hub/tools/gratuity-calculator" updated: "2026-10-20" rules_verified: "2026-07-20" type: "calculator (runs in the browser)" --- # UAE Gratuity Calculator > Calculate UAE end-of-service gratuity under Decree-Law 33 of 2021: 21 days’ basic pay a year for five years, 30 days after, capped at two years’ pay. **The rule in brief:** UAE gratuity pays 21 days of basic salary per year of service for the first five years and 30 days per year after that, capped at two years’ basic pay. Resignation and termination are treated the same once one year of service is complete (Federal Decree-Law No. 33 of 2021, MOHRE). Interactive calculator: https://www.nastalent.com/hub/tools/gratuity-calculator Calculations run in your browser. If you choose ‘Send me this result’, we email it to you and keep a copy to reply. ## How to use it 1. **Enter basic salary.** Enter the basic monthly salary in AED shown in your MOHRE contract, excluding allowances. 2. **Enter length of service.** Enter completed years and additional months of continuous service. 3. **Read the estimate.** The calculator applies 21 days per year for the first five years, 30 days after, and the two-year cap. ## How the UAE gratuity calculation works Under **Federal Decree-Law No. 33 of 2021**, enforced by the Ministry of Human Resources and Emiratisation (MOHRE), private-sector employees become eligible for gratuity after one completed year of continuous service. The law no longer distinguishes between limited and unlimited contracts, and unlike Saudi Arabia it does not reduce the amount for resigning. - **Years 1–5:** 21 days of basic salary per year. - **Year 6 onward:** 30 days of basic salary per year. - **Daily wage:** basic monthly salary ÷ 30. - **Cap:** total gratuity cannot exceed two years’ basic salary. - **Excluded:** housing, transport and other allowances; unpaid leave days. ### Worked example A Dubai employee on **AED 8,000 basic monthly salary** with **7 years and 6 months** of service: | Period | Rate | Days | | --- | --- | --- | | First 5 years | 21 days × 5 | 105 | | Remaining 2.5 years | 30 days × 2.5 | 75 | | Total | Daily wage AED 266.67 | 180 days ≈ AED 48,000 | Below the 24-month cap of AED 192,000, so the full amount is payable. Source: Federal Decree-Law No. 33 of 2021, MOHRE; last verified 20 July 2026. ## Frequently asked questions ### How is gratuity calculated in the UAE? 21 days of basic salary per year for the first five years and 30 days per year after that, on the final basic salary, capped at two years’ pay. Source: Federal Decree-Law No. 33 of 2021, MOHRE. ### Do I get gratuity if I resign in the UAE? Yes. Since the 2022 reform, resignation and termination receive the same gratuity once one year of service is complete; there is no reduced rate for resigning. ### Is UAE gratuity calculated on basic or total salary? Basic salary only. Housing, transport, bonuses and commissions are excluded, even if they appear on the same payslip. ### Is there a maximum gratuity amount in the UAE? Yes. Total gratuity cannot exceed two years’ basic salary, however many years beyond that were served. ### When must my employer pay gratuity in the UAE? Final settlement, including gratuity, is due within 14 days of the employment relationship ending. Source: MOHRE. ## Sources - [MOHRE — Ministry of Human Resources & Emiratisation](https://www.mohre.gov.ae/) - [UAE Government portal — End of service benefits](https://u.ae/en/information-and-services/jobs/employment-in-the-private-sector/end-of-service-benefits-for-employees-in-the-private-sector) --- Source: Nas Talent Resources Hub — https://www.nastalent.com/hub/tools/gratuity-calculator Publisher: Nas Talent (SOURCET MANAGEMENT CONSULTING CO. L.L.C), Dubai, UAE.