Free tool - UAE Federal Decree-Law No. 33 of 2021
UAE End-of-Service Gratuity Calculator
Enter your basic salary, service tenure and the reason you might leave. Get a defensible AED estimate in seconds - with a transparent day-by-day breakdown and a resignation-vs-termination comparison.
Estimate your gratuity
Split view: adjust the inputs on the left and watch the result update instantly on the right.
Today - 5 years of service
Today - 5 years of service
Day-by-day breakdown
No cap appliedBasic salary AED 10,000 / 30 = AED 333.33 daily wage. Reduction factor 1.0 - Federal Decree-Law No. 33 of 2021 no longer discounts resignations.
| Service period | Years | Accrual | Days | Amount (AED) |
|---|---|---|---|---|
| Years 1-5 | 5 | 21 days / yr | 105 | AED 35,000 |
| Total before cap | 105 days | AED 35,000 |
Gratuity = accrued days x daily wage x reduction factor. Cap: 2 years' wages = 24 x basic monthly salary. An estimate, not legal advice.
How it works
Three steps from your payslip to a planning number.
Basic monthly salary, whole years plus extra months, and the reason you may leave.
Daily wage is basic salary / 30. Years 1-5 accrue 21 days per year; each year beyond accrues 30 days, pro-rated by month.
See resign-now vs terminated figures side by side, watch the 2-year-wage cap, and read the day-by-day table.
What to know
Housing, transport, phone and other allowances do not count toward end-of-service gratuity. Check your labour contract for the basic wage line.
Under Federal Decree-Law No. 33 of 2021 the old tiered discounts for resignation are gone - resignation, termination and end-of-contract accrue identically.
Whatever your tenure, gratuity stops growing at 24 months of basic salary. Long-service employees still hit the same ceiling.
Frequently asked questions
Which salary is used for gratuity?
Only the basic salary, not total cost to company. Daily wage is basic salary divided by 30.
What happens under one year of service?
Nothing accrues - gratuity starts only after one full year of continuous service, for every reason for leaving.
Do resignations reduce the payout?
No. Federal Decree-Law No. 33 of 2021 removed the old resignation discount. A resignation and a termination with the same service length now accrue the same days.
What is the 2-year cap?
The total gratuity cannot exceed two years of wages, i.e. 24 x your monthly basic salary.
Is this a legal calculation?
It is an estimate for planning based on the standard Article 51 interpretation. Your contract terms or a labour-court ruling can change the outcome, so treat it as a guide, not legal advice.