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UAE Limited / Fixed-Term Contract Standard

Limited Contract Gratuity Calculator

Under UAE Federal Decree-Law No. 33 of 2021, all private sector employment contracts in the UAE are standardized as limited (fixed-term) contracts. Calculate your exact end-of-service benefits below.

UAE Gratuity Calculator

Calculate in 3 easy steps under UAE Decree-Law No. 33
MOHRE 2026
1
Active Service Duration:3 Years, 0 Months, 0 Days
2
AED

Gratuity is strictly calculated on Basic Salary (Article 51). Housing and allowances are excluded.

3
AED
Days
Months
Days
AED
Your End of Service Gratuity
AED0.00
โ‰ˆ $0.00 USD | โ‚ฌ0.00 EUR | โ‚น0.00 INR
Daily Wage (Basic)0.00 AED
Entitled Days0.0 Days
2-Year Salary Cap0.00 AED
5-Year Threshold (21 โ†’ 30 Days Rate)0% Complete
1 Year5 Years (Max Rate)

Full Final Settlement Summary

Net Pay
Total Gratuity:0.00 AED
Unused Annual Leave Pay:+ 0.00 AED
Notice Period Pay in Lieu:+ 0.00 AED
Loans & Deductions:- 0.00 AED
Net Settlement Payable:0.00 AED

Step-by-Step Legal Math

Decree 33 Audit
Calculation updated
MOHRE Legal Reference

Rules for Limited Contracts in UAE

Key entitlements and obligations under UAE Federal Decree-Law No. 33 of 2021

Continuous Service DurationDaily Entitlement RateGratuity Calculation FormulaCapping Rule
Less than 1 Year0 DaysNo gratuity entitlement (Article 51)N/A
1 Year to 5 Years21 Days per year(Service Years) ร— 21 ร— (Basic Salary ร— 12 / 365)Max 2 years' basic salary
More than 5 Years30 Days per additional year(5 ร— 21 Days) + ((Years - 5) ร— 30 Days) ร— Daily BasicMax 2 years' basic salary

What is a Limited Contract in UAE?

A limited (or fixed-term) contract is an employment agreement with a specified duration (typically up to 3 years, renewable). Under the new UAE Labour Law, all employment contracts in the UAE private sector are now fixed-term contracts.

What happens if a limited contract is terminated early?

Either party may terminate the contract with written notice (ranging from 30 to 90 days). If the employee completes at least 1 continuous year, they receive 100% of their earned gratuity plus compensation for accrued leave.

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