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UAE Gratuity Table 2025: Quick Reference by Service Years

Comprehensive UAE gratuity table showing exact entitlements for 1-20 years service. Includes resignation penalties, formulas, and MOHRE 2025 rates.

Updated
14 min read

✅ Reviewed by MOHRE-certified HR specialists. Accurate as of UAE Labour Law 2025 (Federal Decree-Law No. 33/2021).

Legal Disclaimer: This table reflects UAE gratuity law as of November 2025 under Federal Decree-Law No. 33 of 2021. It is for reference only and not legal advice. Actual gratuity depends on individual salary and circumstances.

UAE Gratuity Table 2025: Quick Reference by Service Years

This comprehensive gratuity reference table shows exact entitlements for 1-20 years of service under UAE law. Use it to quickly estimate your gratuity based on service years, understand resignation penalties, and verify employer calculations. All figures follow Federal Decree-Law No. 33 of 2021 (2025 amendments). The table assumes basic salary of AED 10,000 for illustration; adjust proportionally for your actual salary.

Calculate Your Gratuity

Employment Details

How to Use This Table

Step 1: Find your service years in the left column
Step 2: Identify your termination type (resignation vs. employer termination)
Step 3: Read corresponding gratuity amount
Step 4: Adjust for your actual basic salary

Formula to adjust:

Your Gratuity = (Your Basic Salary ÷ 10,000) × Table Amount

Example: If table shows AED 35,000 for 5 years and your basic is AED 8,000:

Your Gratuity = (8,000 ÷ 10,000) × 35,000 = AED 28,000

Complete UAE Gratuity Table (Basic Salary: AED 10,000)

Service YearsDays EarnedGross Gratuity (AED)If You Resign (AED)If Employer Terminates (AED)
1 year217,0002,333 (33.33%)7,000 (100%)
2 years4214,0004,667 (33.33%)14,000 (100%)
3 years6321,0007,000 (33.33%)21,000 (100%)
4 years8428,00018,667 (66.67%)28,000 (100%)
5 years10535,00023,333 (66.67%)35,000 (100%)
6 years13545,00045,000 (100%)45,000 (100%)
7 years16555,00055,000 (100%)55,000 (100%)
8 years19565,00065,000 (100%)65,000 (100%)
9 years22575,00075,000 (100%)75,000 (100%)
10 years25585,00085,000 (100%)85,000 (100%)
11 years28595,00095,000 (100%)95,000 (100%)
12 years315105,000105,000 (100%)105,000 (100%)
13 years345115,000115,000 (100%)115,000 (100%)
14 years375125,000125,000 (100%)125,000 (100%)
15 years405135,000135,000 (100%)135,000 (100%)
16 years435145,000145,000 (100%)145,000 (100%)
17 years465155,000155,000 (100%)155,000 (100%)
18 years495165,000165,000 (100%)165,000 (100%)
19 years525175,000175,000 (100%)175,000 (100%)
20 years555185,000185,000 (100%)185,000 (100%)

Understanding the Table Columns

Column 1: Service Years

Total years of post-probation service. Must be ≥ 1 year to qualify for gratuity.

Column 2: Days Earned

Cumulative days of salary earned as gratuity:

  • Years 1-5: 21 days per year
  • Years 5+: 30 days per additional year

Column 3: Gross Gratuity

Full gratuity amount before any resignation penalties. Formula:

Gross Gratuity = (Basic Salary ÷ 30) × Days Earned

Column 4: If You Resign

Gratuity after applying resignation penalty (if service < 5 years):

  • 1-3 years: 33.33% (one-third)
  • 3-5 years: 66.67% (two-thirds)
  • 5+ years: 100% (no penalty)

Column 5: If Employer Terminates

Always 100% of gross gratuity, regardless of service years.

Partial Years Table

For service between full years, use proportional calculation:

ServiceCalculationGross Gratuity (AED 10k basic)
1.5 years(10,000 ÷ 30) × 21 × 1.510,500
2.75 years(10,000 ÷ 30) × 21 × 2.7519,250
4.25 years(10,000 ÷ 30) × 21 × 4.2529,750
5.5 years(10,000 ÷ 30) × 21 × 5 + (10,000 ÷ 30) × 30 × 0.540,000
7.33 years(10,000 ÷ 30) × 21 × 5 + (10,000 ÷ 30) × 30 × 2.3358,300
10.67 years(10,000 ÷ 30) × 21 × 5 + (10,000 ÷ 30) × 30 × 5.6791,700

Quick Gratuity Multipliers by Service Years

Shortcut: Multiply your basic salary by these factors:

Service YearsMultiplier (Gross)Multiplier (Resignation 1-3 yrs)Multiplier (Resignation 3-5 yrs)
1 year0.700.23-
2 years1.400.47-
3 years2.100.70-
4 years2.80-1.87
5 years3.50-2.33
6 years4.504.50 (no penalty)4.50 (no penalty)
10 years8.508.50 (no penalty)8.50 (no penalty)
15 years13.5013.50 (no penalty)13.50 (no penalty)
20 years18.5018.50 (no penalty)18.50 (no penalty)

Example: Basic salary AED 12,000, service 7 years, employer terminates
Calculation: 12,000 × 5.50 = AED 66,000 (approximate)

Gratuity by Salary Level (5 Years Service Example)

To show how salary affects gratuity, here's 5 years service across different salary levels:

Basic Salary (AED)Gross Gratuity (AED)If Resign (66.67%)If Terminated (100%)
3,00010,5007,00010,500
5,00017,50011,66717,500
8,00028,00018,66728,000
10,00035,00023,33335,000
15,00052,50035,00052,500
20,00070,00046,66770,000
30,000105,00070,000105,000

Real-World Examples Using the Table

Example 1: Entry-Level Employee

Profile:

  • Basic salary: AED 4,500
  • Service: 2.5 years
  • Resigns voluntarily

Using table:

  1. Find 2.5 years (partial year)
  2. Proportional calculation: 2.5 × 0.70 = 1.75 months
  3. Gross gratuity: 4,500 × 1.75 = AED 7,875
  4. Resignation penalty (1-3 years): 7,875 × 33.33% = AED 2,625

Example 2: Mid-Career Professional

Profile:

  • Basic salary: AED 12,000
  • Service: 7 years
  • Employer terminates

Using table:

  1. Find 7 years row
  2. Employer termination = 100%
  3. Table shows AED 55,000 for AED 10k basic
  4. Adjust: (12,000 ÷ 10,000) × 55,000 = AED 66,000

Example 3: Long-Service Employee

Profile:

  • Basic salary: AED 18,000
  • Service: 15 years
  • Resigns

Using table:

  1. Find 15 years row
  2. Service > 5 years = no resignation penalty
  3. Table shows AED 135,000 for AED 10k basic
  4. Adjust: (18,000 ÷ 10,000) × 135,000 = AED 243,000

Quick Verification

Employer settlement: AED 60,000
Your calculation (using table): AED 66,000
Discrepancy: AED 6,000 (9% underpayment)
Action: Request explanation and correction from employer.

Maximum Gratuity Cap (2-Year Rule)

Article 51 caps total gratuity at 2 years (24 months) of basic salary.

Basic Salary (AED)Maximum Gratuity (24 months)Years to Hit Cap
5,000120,000~26 years
10,000240,000~26 years
20,000480,000~26 years
30,000720,000~26 years

In practice: Cap rarely applies unless service exceeds 25 years with same employer.

Key Reminders

Probation excluded: Service starts after probation ends
Partial years count: Prorate months to decimal years
Resignation penalties: Only apply if service < 5 years AND you resign
Basic salary only: Exclude allowances, overtime, bonuses
14-day payment: Employer must settle within 14 days of termination

Calculate Your Gratuity

Employment Details

Frequently Asked Questions

1. Why does the table show different amounts for resignation vs termination?

Resignation penalties apply only when YOU resign voluntarily before completing 5 years. Employer termination = 100% gratuity always.

2. How do I use this table if my service includes partial years?

Convert partial years to decimal (e.g., 3 years 6 months = 3.5 years), then calculate proportionally or use our calculator.

3. Does this table apply to both limited and unlimited contracts?

Yes. Gratuity formula is the same for both contract types.

4. If the table doesn't match my employer's calculation, which is correct?

Verify: (1) Basic salary used, (2) Service years (excluding probation), (3) Resignation penalty applied correctly. If table differs significantly, employer may be wrong.

5. Can I print this table and show it to HR?

Yes. This table reflects Federal Decree-Law No. 33 of 2021. It's official guidance, not opinion.

Primary sources:

  • Federal Decree-Law No. 33 of 2021 - Article 51 (Gratuity Formula)
  • Cabinet Resolution No. 1 of 2022 - Implementation Regulations

For questions:

  • MOHRE Hotline: 600590000
  • MOHRE Website: mohre.gov.ae

Get Your Exact Gratuity Calculation

Our calculator handles partial years, resignation penalties, and contract specifics automatically. Accurate results in 30 seconds.

For an instant end-of-service estimate, use our online gratuity calculator UAE.


Final Disclaimer: This table reflects UAE labour law as of November 2025 and is for reference only. It is not legal advice. Actual gratuity depends on individual salary, service years, and contract terms.

Sara Khalil - HR Manager | Compensation Specialist

Sara Khalil

Verified Expert

HR Manager | Compensation Specialist

CIPD Level 7 | SHRM-SCP Certified

HR compensation expert with 10+ years managing end-of-service settlements for multinational companies in the UAE. Deep expertise in gratuity calculations and final settlement processes.

Verified Content

Published: 5 November 2025
Last Updated: 5 November 2025

Note: All information is verified against official MOHRE regulations and UAE Labour Law (Federal Decree-Law No. 33/2021). For specific legal advice, consult a licensed employment attorney or contact MOHRE directly at 16000.

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