End-of-service gratuity after 3 years in the UAE (basic wage AED 10,000)
After 3 years of service on a basic wage of AED 10,000 a month, the end-of-service gratuity for a full-time foreign worker in the UAE private sector is AED 21,000. That is 63 days of basic wage at AED 333.33 a day, or 2.1 months of basic wage.
All 3 years are in the first 5 years, which earn 21 days of wage a year: 3 x 21 = 63 days. The 30 day rate has not started yet.
One more year of service (4 years) would add AED 7,000 to the gratuity on a basic wage of AED 10,000, taking it to AED 28,000. A year at the 21 day rate is 0.7 months of basic wage.
The cap of 2 years of basic wage (AED 240,000 on AED 10,000) is not reached: this gratuity is 8.75% of it. The cap is reached after 25.5 years of service.
Work out your own gratuityThe working
| Step | Value |
|---|---|
| Basic wage per month | AED 10,000 |
| Day's wage (basic ÷ 30) | AED 333.33 |
| Service | 3 years (1,095 days) |
| Days of wage | 63 days |
| Gratuity | AED 21,000.00 |
Full-time foreign worker, mainland private sector, no unpaid absence, a 365-day year. UAE nationals are under the pension legislation (Article 51(1)). Staff of free zones such as DIFC and ADGM follow their own rules.
The same 3 years on other basic wages
| Basic wage per month | Day's wage (basic ÷ 30) | Gratuity after 3 years | In months of basic wage |
|---|---|---|---|
| AED 5,000 | AED 166.67 | AED 10,500 | 2.1 months |
| AED 8,000 | AED 266.67 | AED 16,800 | 2.1 months |
| AED 10,000 (example) | AED 333.33 | AED 21,000 | 2.1 months |
| AED 12,000 | AED 400.00 | AED 25,200 | 2.1 months |
| AED 15,000 | AED 500.00 | AED 31,500 | 2.1 months |
| AED 20,000 | AED 666.67 | AED 42,000 | 2.1 months |
| AED 25,000 | AED 833.33 | AED 52,500 | 2.1 months |
| AED 30,000 | AED 1,000.00 | AED 63,000 | 2.1 months |
| AED 40,000 | AED 1,333.33 | AED 84,000 | 2.1 months |
| AED 50,000 | AED 1,666.67 | AED 105,000 | 2.1 months |
Common questions
How much gratuity is due after 3 years in the UAE?
On a basic wage of AED 10,000 a month, a full-time foreign worker in the private sector gets AED 21,000 after 3 years of continuous service: 63 days of basic wage at AED 333.33 a day.
Is the gratuity worked out on the whole salary?
No. Article 51 uses the basic wage. Allowances such as housing and transport are not part of it, so use the basic wage on your contract.
Does the gratuity change if I resign?
Article 51 gives one scale and does not mention the reason the contract ends. See the guide on resignation and termination.
Other lengths of service
Gratuity by years of service, 1 to 25 years · Gratuity calculator · Resignation or termination
Sources
- UAE Government portal: Federal Decree-Law No. 33 of 2021 (English text, Article 51)
- UAE Government portal: End of service benefits for workers in the private sector
- Every rule used, with its source and check date: Sources and rates
This page shows figures calculated from Article 51 of Federal Decree-Law No. 33 of 2021, as listed on the Sources page. It is general information only. Your contract, your payroll and your personal situation may differ. Rules as at 2 November 2026.