InovoTools
United Arab Emirates

UAE End-of-Service Gratuity Calculator with Formula and Worked Examples

Estimate statutory gratuity for eligible full-time private-sector employees covered by UAE Federal Decree-Law 33 of 2021, using last basic wage. Enter last monthly basic wage and years of service including fraction and read the result straight away. The model uses 21 days of basic wage per year for the first five years and 30 days for subsequent years, subject to a two-year wage cap.

Rules / tax year: Federal Decree-Law 33 of 2021

01

Your inputs

Start with the example, or enter your own values.

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02

Your result

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Make room for the answer.

Enter your values and run the tool. Your result will appear here.

How to use the UAE End-of-Service Gratuity Calculator

Enter the last monthly basic wage and years of service including fraction and the result appears straight away. Everything runs in your browser, so nothing you type is uploaded.

The formula

Daily basic wage = monthly basic wage ÷ 30; days = 21 × first 5 years + 30 × later years; cap = 24 months’ basic wage.

Examples

  • With the default values
    Estimated end-of-service gratuity: AED 22,500.00
    Calculated service-days equivalent: 135.00 days
    24-month basic-wage cap: AED 120,000.00
    Model is limited to full-time employees covered by the UAE federal private-sector labour law; DIFC, ADGM, other work patterns and alternative savings schemes are excluded.
  • With last monthly basic wage set to 10000
    Estimated end-of-service gratuity: AED 45,000.00
    Calculated service-days equivalent: 135.00 days
    24-month basic-wage cap: AED 240,000.00
    Model is limited to full-time employees covered by the UAE federal private-sector labour law; DIFC, ADGM, other work patterns and alternative savings schemes are excluded.

Limitations and assumptions

Limited to eligible full-time employees under federal private-sector law. Excludes DIFC/ADGM, unpaid-absence adjustments, other work patterns and alternative savings schemes. This is an implementation preview based on the linked official source; it has not yet received independent professional review. Do not use as a tax filing, payroll or legal determination.

Frequently asked questions

What does the UAE End-of-Service Gratuity Calculator do?

Estimate statutory gratuity for eligible full-time private-sector employees covered by UAE Federal Decree-Law 33 of 2021, using last basic wage.

How does the UAE End-of-Service Gratuity Calculator work?

Enter the last monthly basic wage and years of service including fraction and the result appears straight away. Everything runs in your browser, so nothing you type is uploaded.

What formula does the UAE End-of-Service Gratuity Calculator use?

Daily basic wage = monthly basic wage ÷ 30; days = 21 × first 5 years + 30 × later years; cap = 24 months’ basic wage.

What should I keep in mind when using the UAE End-of-Service Gratuity Calculator?

Limited to eligible full-time employees under federal private-sector law. Excludes DIFC/ADGM, unpaid-absence adjustments, other work patterns and alternative savings schemes. This is an implementation preview based on the linked official source; it has not yet received independent professional review. Do not use as a tax filing, payroll or legal determination.

Can I see an example of the UAE End-of-Service Gratuity Calculator?

The model uses 21 days of basic wage per year for the first five years and 30 days for subsequent years, subject to a two-year wage cap.

Is the UAE End-of-Service Gratuity Calculator free to use?

Yes. It is free, needs no account and runs in your browser.

Reference source

Checked against the official reference on mohre.gov.ae.

Source link and effective period are shown for transparency. This does not replace professional review.