Last updated: May 2026
Checking gratuity before resigning
Before resigning, employees usually want to estimate their end-of-service gratuity so they can compare it with the employer’s final settlement. The key details are basic salary, joining date, last working date, notice period, unpaid leave, and whether the employee completed at least one year of continuous service. A simple estimate uses the same core gratuity approach: 21 days of basic salary per year for the first five years, then 30 days per year after that.
Example calculation
If your basic salary is AED 8,000 and you worked 2 years, daily basic salary is about AED 266.67. A rough estimate is 21 × 266.67 × 2 = AED 11,200.
Common estimate rules
- Less than 1 year of service: commonly estimated as no gratuity.
- 1 to 5 years: commonly 21 days of basic salary per completed year.
- More than 5 years: commonly 21 days per year for the first 5 years, then 30 days per extra year.
- Total gratuity is generally capped and special cases may change the result.
FAQ
Do I get gratuity if I resign in UAE?
Employees commonly become eligible after at least one year of continuous service, but final entitlement can depend on current law and contract details.
Should I calculate gratuity before resigning?
Yes. It helps you compare your own estimate with the employer’s final settlement.
What documents should I keep?
Keep your contract, salary certificate, payslips, resignation email, notice-period records, and final settlement statement.