Work out your gratuity
Enter your last basic wage, your first and last day of work, and any days of unpaid absence. The result follows Article 51 and shows each step.
Your gratuity
Turn on JavaScript to enter your own numbers. The worked example and the table below show the same rules.
Worked example
A worker on a basic wage of AED 6,000 a month works from 1 March 2019 to 30 September 2026, both days counted, with 12 days of unpaid leave. That is 2,771 days less 12, so 2,759 days of service, or 7.5589 years of 365 days. A day of basic wage is AED 6,000 ÷ 30 = AED 200.00. The first five years earn 21 days a year: 5 × 21 × AED 200.00 = AED 21,000.00. The remaining 2.5589 years earn 30 days a year: AED 15,353.42. The gratuity is AED 36,353.42, well under the limit of two years' wage, and is the same whether the worker resigned or the employer ended the contract. At the mid market rate on 8 November 2026 it is about PKR 2,737,794.
Gratuity by length of service
Resigning does not change these figures: the Decree Law sets no reduction for resignation.
| Service | Days of basic wage | Gratuity | In rupees |
|---|---|---|---|
| 1 year | 21 days | AED 4,200.00 | PKR 316,304 |
| 3 years | 63 days | AED 12,600.00 | PKR 948,912 |
| 5 years | 105 days | AED 21,000.00 | PKR 1,581,521 |
| 8 years | 195 days | AED 39,000.00 | PKR 2,937,110 |
| 12 years | 315 days | AED 63,000.00 | PKR 4,744,562 |
| 20 years | 555 days | AED 111,000.00 | PKR 8,359,466 |
The law it follows
Federal Decree Law No. 33 of 2021, read in the Ministry of Human Resources and Emiratisation's English text with its amendments on 18 October 2026. Article 51 is not among the amended articles. Its hyphens are written as spaces here and nothing else is changed. The Arabic text binds.
The full time foreign worker, who completed a year or more in continuous service, shall be entitled to end of service benefits at the end of his service, calculated according to the basic wage as per the following: a. A wage of (21) twenty one days for each year of the first five years of service; b. A wage of (30) thirty days for each year exceeding such period. (Federal Decree Law No. 33 of 2021, MOHRE English text)
The foreign worker shall be entitled to a benefit for parts of the year in proportion to the period spent at work, provided that he completed one year of continuous service. (Federal Decree Law No. 33 of 2021, MOHRE English text)
The unpaid days of absence from work shall not be included in the calculation of the service term. (Federal Decree Law No. 33 of 2021, MOHRE English text)
... the end of service benefits shall be calculated according to the last basic wage the worker was entitled to, with respect to those who receive their wages on a monthly, weekly or daily basis and according to the average daily wage stipulated in the provisions hereof for those who receive their wages on a piecework basis. (Federal Decree Law No. 33 of 2021, MOHRE English text)
It is required based on the foregoing that the end of service benefits for the foreign worker in its entirety does not exceed two years' wage. (Federal Decree Law No. 33 of 2021, MOHRE English text)
The employer may deduct from the end of service benefits any amounts payable under the law or a judgment, in accordance with the conditions and procedures specified in the Implementing Regulation hereof. (Federal Decree Law No. 33 of 2021, MOHRE English text)
The employer shall pay to the worker, within (14) fourteen days from the end date of the contract term, his wages and all his other entitlements stipulated herein ... (Federal Decree Law No. 33 of 2021, MOHRE English text)
The calculation of the periods and dates stipulated herein shall be based on the Gregorian calendar. The Gregorian year in applying the provisions hereof shall include (365) three hundred and sixty five days, while the month represents (30) thirty days. (Federal Decree Law No. 33 of 2021, MOHRE English text)
Basic Wage: The wage stipulated in the employment contract, which is paid to the worker in consideration of his work under the employment contract, on a monthly, weekly, daily, hourly or piecework basis, and which does not include any other allowances or benefits in kind. (Federal Decree Law No. 33 of 2021, MOHRE English text)
What this does not cover
- It is for full time foreign workers. UAE nationals receive end of service benefits under the pensions law (Article 51(1)).
- Part time, temporary, flexible and other work patterns follow the Implementing Regulation (Article 52), which this site has not read, so they are not covered.
- It does not cover employees of federal and local government, the armed forces, police and security, or domestic workers, who are outside the Decree Law (Article 3), or anyone whose employer uses an alternative end of service scheme approved by the Cabinet (Article 51(8)). Some free zones may have employment rules of their own; if yours does, this calculator does not apply.
- If you were on an open ended contract under the old 1980 law, Article 68(3) lets the employer calculate end of service for that contract under its terms. This calculator applies Article 51 only.
- It counts both the first and the last day of work, and takes your unpaid days off. The law does not say whether the first day counts, so a result within a day or two of a year line deserves a check.
- It treats two years' wage as 24 months of the wage you give for the limit. Read with Article 67 it could also mean 730 days of wage, about a third of a month more. The limit only bites after about 25 years of service.
- It makes no deductions. The employer may deduct amounts payable under the law or a judgment (Article 51(7)).
- Piecework pay uses the average daily wage of the last six months (Article 23); enter thirty times that average.
Read next: how gratuity is calculated, gratuity if you resign, basic or total salary.