Introduction
The MOHRE Gratuity Calculator is a tool used to calculate the End of Service Benefits (EOSB) for employees working under the UAE Labour Law. Every worker who completes at least 1 year of continuous service becomes legally eligible for gratuity.
This blog explains how the MOHRE formula works, what rules apply in 2024 – 2025, and how employees can calculate their exact gratuity amount using basic salary and service duration.
1. What Is the MOHRE Gratuity Calculator?
The MOHRE gratuity calculator is a system based on the official rules issued by the Ministry of Human Resources and Emiratization (MOHRE).
It helps employees estimate their end-of-service benefits by entering:
- Joining date
- Leaving date
- Basic monthly salary
- Total service years
- Contract type (Permanent / Limited)
The calculator follows the updated Federal Decree-Law No. 33 of 2021, which applies to all private-sector employees in the UAE.
2. Who Is Eligible for Gratuity?
According to MOHRE law:
- Minimum 1 year of service is required
- Gratuity is calculated only on basic salary
- Allowances are not included (housing, transport, etc.)
- Employee must not have been terminated for misconduct
3. MOHRE Gratuity Calculation Formula (2024 – 2025)
MOHRE uses a simple standard formula:
Daily Salary Formula
Daily Wage = Basic Salary ÷ 30
Gratuity Formula
- For the first 5 years:
21 days’ basic salary per year - For service beyond 5 years:
30 days’ basic salary per year
Maximum Limit
Maximum gratuity cannot exceed 2 years of total salary.
4. Example of MOHRE Gratuity Calculation (Simple & Clear)
Example Case
- Country: UAE
- Contract Type: Permanent
- Basic Salary: AED 5,000
- Allowances: AED 1,000 (not included)
- Unpaid Leave Days: 0
- Joining Date: 01-01-2020
- Leaving Date: 31-12-2023
- Total Service: 4 Years
Step-by-Step
Daily Salary = 5000 ÷ 30 = 166.66 AED
21 days salary = 166.66 × 21 = 3,499.8 AED
Total for 4 years = 3,499.8 × 4 = 13,999 AED
Final EOSB:
AED 13,999
5. What This Calculator Includes
The MOHRE calculator automatically adjusts:
- Basic salary
- Service duration (years, months, days)
- Limited vs unlimited contracts
- Unpaid leave deductions
- Notice period deductions
- End of service rules 2024 – 2025
Everything is updated according to the latest UAE Labour Law.
6. Benefits of Using a MOHRE-Based Calculator
✔ 100% law-based calculation
✔ Avoids manual mistakes
✔ Quick & instant results
✔ Works for all UAE emirates
✔ Trusted for job change & resignation planning
Conclusion
The MOHRE Gratuity Calculator is the easiest way for employees to know their actual End-of-Service Benefits under the UAE Labour Law.
With the updated 2024 – 2025 rules and accurate formula, employees can calculate their EOSB within seconds and plan their financial decisions confidently.