Numerical Tabulation of Gratuity Calculation

Gratuity Calculation

Basic Monthly Salary

Years of Service

Gratuity (1-5 yrs)

Gratuity (> 5 yrs)

Total Gratuity

AED 15.000

7 years

AED 17.500

AED 10.000

AED 27.500

AED 20.000

7 years

AED 23.333.33

AED 13.333.33

AED 36.666.67

AED 25.000

7 years

AED 29.166.67

AED 16.666.67

AED 45.833.33

AED 10.000

3 years

AED 7.000

N/A

AED 7.000

AED 12.000

3 years

AED 8.400

N/A

AED 8.400

AED 14.000

3 years

AED 9.800

N/A

AED 9.800

Explanation

  • First 5 Years Gratuity: Calculated using 21 days of basic salary per year.

  • After 5 Years Gratuity: Calculated using 30 days of basic salary per year for the additional years.

  • Daily Wage: Monthly basic salary divided by 30.

  • Years ≤ 5: Only the 1-5 year calculation applies.

  • Years > 5: Includes both 1-5 year and >5 year calculations.