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Free tool

End-of-service gratuity calculator for UAE.

Enter a salary and length of service to see what is payable under UAE rules, including how resignation changes the entitlement.

Gratuity here is calculated on basic salary only - allowances are excluded.

Part years count - enter 3.5 for three and a half years.

Reason for leaving

This market pays the full entitlement regardless of the reason for leaving.

Service bandYearsDays/yrAmount
Years 0-5521AED 35,000.00
Accrued gratuityAED 35,000.00
Payable now
AED 35,000.00

These rules are pending in-market verification and this page is excluded from search until that is complete. Do not rely on the figures for a live settlement yet.

How UAE calculates it

  • 21 days of basic salary for each of the first five years, then 30 days for each year after.
  • Calculated on basic salary only, excluding allowances.
  • Total gratuity is capped at two years' pay.
  • No entitlement before one year of continuous service.

Rules as of not yet verified. Confirm current entitlements with UAE MOHRE. This calculator is a guide, not legal advice.

FAQ

Gratuity questions in UAE.

How is end-of-service gratuity calculated in UAE?

21 days of basic salary for each of the first five years, then 30 days for each year after.

Which salary is gratuity based on in UAE?

Basic salary only. Allowances such as housing and transport are excluded from the calculation.

Does resigning reduce gratuity in UAE?

No. The full entitlement is payable regardless of whether the employee resigns or is terminated.

Does Magnar calculate end-of-service automatically?

Yes. Magnar accrues end-of-service continuously per employee under UAE rules, so the liability is visible on the balance sheet before anyone leaves, and settles it correctly on the final pay run.

Localization

Run UAE payroll end to end

Magnar accrues end-of-service continuously, so the liability is never a surprise.

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See it inside a real pay run.

Magnar accrues and settles end-of-service automatically, per country, per employee.

End of Service Gratuity Calculator UAE | Magnar