UAE Salary Calculator
Calculate gratuity, end-of-service benefits, daily & hourly rates, and overtime pay according to UAE labour law. Free and instant.
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How UAE Gratuity is Calculated
First 5 Years
21 days of basic salary for each year of service. Formula: (basic salary / 30) × 21 × years.
After 5 Years
30 days of basic salary for each additional year. Formula: (basic salary / 30) × 30 × (years - 5).
Maximum Cap
Total gratuity cannot exceed 2 years of the employee's total basic salary.
Frequently Asked Questions
How is gratuity calculated in the UAE?
Under UAE labour law, end-of-service gratuity is calculated as 21 days of basic salary for each of the first 5 years, and 30 days of basic salary for each subsequent year. The total cannot exceed 2 years of total salary.
What is the maximum gratuity payout in UAE?
The maximum end-of-service gratuity is capped at 2 years of the employee's total basic salary.
Is overtime calculated differently for night shifts?
Yes. UAE labour law requires 1.25x the normal hourly rate for standard overtime, and 1.5x the normal hourly rate for night shift overtime (between 10 PM and 4 AM).
Does gratuity apply to all employees in UAE?
End-of-service gratuity applies to all employees who have completed at least one year of continuous service with their employer, regardless of nationality.
Can an employer deduct gratuity for unfinished notice period?
Yes. If an employee does not complete the full notice period, the employer may deduct the uncompleted portion from the gratuity calculation.
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