SavyitSavyit / Free tools / Gratuity for 16 years of service in the UAE
Gratuity for 16 years of service in the UAE
After 16 years you get 435 days of basic salary (5 × 21 + 11 × 30). On a basic salary of AED 10,000 that's AED 145,000.
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Get Savyit freeGratuity for 16 years, by basic salary
| Basic salary / month | Daily wage | Gratuity |
|---|---|---|
| AED 3,000 | AED 100.00 | AED 43,500 |
| AED 5,000 | AED 166.67 | AED 72,500 |
| AED 8,000 | AED 266.67 | AED 116,000 |
| AED 10,000 | AED 333.33 | AED 145,000 |
| AED 15,000 | AED 500.00 | AED 217,500 |
| AED 20,000 | AED 666.67 | AED 290,000 |
| AED 30,000 | AED 1,000.00 | AED 435,000 |
How UAE gratuity is calculated
- Find your daily wage: basic monthly salary ÷ 30.
- First 5 years: 21 days' wage for each year.
- After 5 years: 30 days' wage for each extra year.
- Part years count in proportion once you have one full year. Unpaid leave days don't count.
- The total can't be more than 24 months of basic salary.
Only basic salary counts. Housing, transport and other allowances are left out. Since the 2021 law, resigning no longer cuts your gratuity, and it must be paid within 14 days of your last day.
How long the payout lasts
AED 145,000 covers 483 days at AED 300 a day, or 290 days at AED 500. Between jobs, a daily number is easier to keep to than a lump sum. Plan your next salary →
Other years of service
Estimate under Federal Decree-Law No. 33 of 2021 (Article 51), for private-sector staff on the mainland and in most free zones. Not legal advice: your employer's final settlement and MOHRE decide the amount. Read the law.
Questions
Is gratuity for 16 years 21 or 30 days a year?
Both. Your first five years count at 21 days each (105 days) and the other 11 at 30 days each, 435 days in all.
What if I leave at 16 years and 6 months?
Part years count in proportion, so 16.5 years on AED 10,000 basic gives AED 150,000.
Does my housing allowance count?
No. Gratuity uses basic salary only, without housing, transport or other allowances.
Do I lose gratuity if I resign?
No. Since the 2021 law you get the full amount whether you resign or are let go, once you have one year of service.
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Estimates for planning, not financial advice. Everything is calculated in your browser; nothing you type is sent anywhere. Updated 2026-10-29.