Check Gratuity Calculator UAE Online Fast & Accurate Result

Who is Eligible for Gratuity in UAE?

Employees working under a full-time contract in the UAE are eligible for gratuity if:

• They have completed at least one year of continuous service.
• They resign, or their contract ends.
• They do not get terminated for misconduct.

How is Gratuity Calculated?

The Gratuity in UAE is calculated based on your basic salary and the years of service. There are different rules for limited and unlimited contracts.

Gratuity Calculation for Limited Contracts:

• 1 to 5 years of service: You will get 21 days’ salary as a gratuity for each year you work.
• More than 5 years: You will get 30 days’ salary as a gratuity each year after the first five years.

Denial of Gratuity:

According to Article 139, the gratuity is lost if:

• If the employee is dismissed for reasons like misconduct, fraud, etc, and specified under Article 120 
• If the employee resigns without completing the 5 years of their service.

Renewals Gratuity:

If the limited contract is renewed, then according to Article 38, the next duration is also treated as an original or previous term to calculate gratuity and total service duration.

Gratuity Calculation for Unlimited Contracts:

The unlimited contract is one of those contracts in which there is no specific duration is mentioned or there is no end date of service (Article 39). It also applies if the limited contract is continued without any renewal after its expiry.

In an unlimited contract, you must complete at least one year of continuous service to qualify for gratuity (Article 132).

• 1 to 3 years of service: Employee gets one-third of 21 days’ salary per year.
• 3 to 5 years of service: Employee gets two-thirds of 21 days’ salary per year.
• More than 5 years: Employee gets full 21 days’ salary per year.

How to Use a Gratuity Calculator UAE Online?

You can use the gratuity calculator UAE online here by following the below instructions. 

Step 1: Visit our UAE gratuity calculator page. 

Step 2: Enter your details like, basic salary (without allowances).

Step 3: Select contract type.

Step 4: Select Termination/End-of-contract or Resignation.

Step 5: Enter your First and last Working Day 

Step 6: Now click on the calculate button. You will get accurate results. 

Things to Keep in Mind

• Gratuity is based only on basic salary, not allowances or bonuses.
• If an employee is dismissed for misconduct, they may not be eligible for gratuity.
• The maximum gratuity amount cannot exceed two years’ salary.
• Always check the latest UAE Labour Law for any updates or changes.

On our page, Gratuity Calculator UAE Online is a fast and convenient way to estimate your end-of-service benefits. Understanding how gratuity works can help you plan your financial future when changing jobs or leaving the UAE.