Gratuity Calculator Dubai 2025: If you’re working in Dubai, understanding your gratuity calculator Dubai 2025 is crucial. Gratuity, or end-of-service benefits, is a legal right for employees in the UAE. Whether you resign or are terminated, knowing how much you’re entitled to ensures you get fair compensation.
This guide explains the latest Dubai gratuity rules for 2025, how to calculate your payout, and key factors that affect your final amount.
Gratuity Calculator Dubai 2025: Calculate Your End-of-Service Pay
What Is Gratuity in Dubai?
Gratuity Calculator Dubai 2025: Gratuity is a lump-sum payment given to employees after leaving a job, based on their tenure and salary. The UAE Labour Law (Federal Decree-Law No. 33 of 2021) governs these benefits.
Who Is Eligible?
Employees who complete 1+ years of service
Full-time workers under unlimited or limited contracts
Employees terminated (except for gross misconduct)
How Gratuity Is Calculated in Dubai (2025 Rules)
The calculation depends on:
Type of employment contract (limited vs. unlimited)
Reason for leaving (resignation vs. termination)
Basic salary (excluding allowances)
1. For Unlimited Contracts
| Service Duration | Gratuity Calculation |
|---|---|
| 1-5 years | 21 days’ basic salary per year |
| 5+ years | 30 days’ basic salary per year |
2. For Limited Contracts
| Service Duration | Gratuity Calculation |
|---|---|
| 1-5 years | 21 days’ basic salary per year |
| 5+ years | 30 days’ basic salary per year |
Note: If an employee resigns before 5 years in a limited contract, gratuity may be reduced.
Step-by-Step Gratuity Calculation
Let’s say your basic salary was AED 10,000 and you worked for 4 years.
Daily Wage = (Basic Salary ÷ 30) = (10,000 ÷ 30) = AED 333.33
Gratuity per Year = 21 days × AED 333.33 = AED 7,000
Total Gratuity = 4 years × AED 7,000 = AED 28,000
Key Factors Affecting Gratuity Pay
Basic Salary vs. Total Salary (Only basic salary is considered)
Early Resignation (Reduced gratuity if leaving before 5 years)
Termination by Employer (Full gratuity unless for misconduct)
How to Use a Gratuity Calculator Dubai 2025
Online calculators simplify the process. Enter:
- Basic salary
- Employment duration
- Contract type
Example: Mahad Manpower Dubai’s Gratuity Calculator
What If Your Employer Refuses to Pay?
File a complaint with Ministry of Human Resources & Emiratisation (MOHRE)
Seek legal advice if necessary
Conclusion
Gratuity Calculator Dubai 2025: Calculating your gratuity in Dubai 2025 ensures you receive fair compensation. Use a gratuity calculator for Dubai 2025 for accuracy, and always verify with HR.
For expert guidance on UAE labour rights and employment services, contact Mahad Manpower Dubai—your trusted partner in career success.