UAE final settlement calculator

Last updated

A UAE private-sector final settlement normally adds up the end-of-service gratuity, payment for unused annual leave calculated on the basic wage, and any salary not yet paid for the last month, less amounts the employer may lawfully deduct. The employer must pay it within 14 days of the contract ending.

What the estimate includes

The calculator uses the same rules as SupaJack Construct's settlement: gratuity under Article 51, unused annual leave at basic salary ÷ 30 a day under Article 29(9), and the last month's unpaid days at the full monthly package over the days in that month.

Parts of a final settlement
PartHow it is worked outSource
Gratuity21 then 30 days' basic per year, capped at two years' wageArticle 51
Unused annual leaveBasic ÷ 30 for each unused dayArticle 29(9)
Salary for days workedFull package ÷ days in the month × unpaid daysContract and payroll
DeductionsAmounts due under the law or a court judgmentArticle 51(7)
Payment deadlineWithin 14 days of the contract endingArticle 53

What it leaves out

  • Notice pay, if the notice period was not worked.
  • Air tickets, bonuses or other items set by the contract.
  • Emirati workers' end-of-service benefits, which follow the pensions legislation.

Settlements in SupaJack Construct

The application works out the settlement from the same records it pays from, compares the gratuity with the provision already in the books, and posts the difference. See the labour law guide and use the gratuity calculator, final settlement calculator, overtime calculator, annual leave calculator, unpaid leave calculator, payment certificate calculator, retention calculator, advance recovery calculator, VAT calculator and the WPS file checker.

Worked example

A site engineer on AED 9,000 basic and AED 3,500 allowances leaves on 28 February 2026 after joining on 1 March 2019, with 12 unused leave days and the whole of February unpaid. Gratuity is AED 49,481.10, unused leave 12 × 300 = AED 3,600.00, and February's 28 days at AED 12,500 come to AED 12,500.00. The settlement is AED 65,581.10.

Questions people ask

What is included in a UAE final settlement?

Usually gratuity, unused annual leave, unpaid salary and any contract entitlements, less lawful deductions.

How soon must a final settlement be paid?

Within 14 days of the end of the contract.

Is unused leave paid on basic or gross salary?

On the basic wage, under Article 29(9).

Is gratuity paid if I resign?

Yes, under the current law, after one year of continuous service.

Can the employer deduct from the settlement?

Only amounts due under the law or a court judgment, under the conditions in the Implementing Regulation.

Does the calculator include notice pay?

No. Add notice pay separately if the notice period was not worked.

Are air tickets included?

No. They depend on the contract.

Does this apply to Emirati workers?

Their end-of-service benefits follow the pensions legislation, so the gratuity part does not apply.

What if unpaid absence happened during service?

Unpaid days are not counted as service; the gratuity calculator lets you enter them.

Is this a legal opinion?

No. It is an estimate from the published rules; check the contract for other items.

Sources

  1. Federal Decree-Law No. 33 of 2021 on the Regulation of Employment Relationship (MOHRE, consolidated)
  2. End of service benefits for workers in the private sector (u.ae)
  3. Employment laws and regulations in the private sector (u.ae)
  4. Ministry of Human Resources and Emiratisation

Pick a day

Pick a time

Times are Dubai time (GST, UTC+4).