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Total employer cost calculator

Budgeting a vacancy? Enter the gross salary and see the end-of-service gratuity accrual and the benefits on top, per month and per year.

The figures behind it · Gratuity, years 1 to 5
21 days' basic pay per year
Gratuity after 5 years
30 days' basic pay per year
GPSSA pension (Emiratis)
employer 12.5 % (+2.5 % government)

Your figures

Basic salary from the contract, without housing, transport and other allowances: gratuity, overtime and leave pay are calculated on it.

What the employer adds by contract: medical insurance, housing and transport allowances, GPSSA pension for Emiratis, as a share of the gross.

What sits on top of the gross

There are no payroll taxes, but the gratuity accrues from the first day.

End-of-service gratuity
21 days of basic salary for each of the first five years and 30 days for each year after, capped at two years' pay, payable after one year of service. Accruing it monthly costs 5.83 % of basic salary (8.33 % after five years). The calculator treats the salary you enter as basic; if allowances are a large share, enter the basic only.
Pension and benefits
Private employers of UAE nationals pay 12.5 % to GPSSA and the government adds 2.5 % (employee 11 %); in Abu Dhabi the employer rate is 15 %. Medical insurance is mandatory and visas, flights and housing allowances are common contract benefits: enter them as a percentage.
Not included
Visa and Emirates ID fees, medical insurance premiums, recruitment and training. Use the cost per hire calculator for the hiring side.
Source and rules

MOHRE: Federal Decree-Law No. 33 of 2021, end of service gratuity

Rule set 2026.1, last checked on October 12, 2026.

The result is an estimate based on the statutory rules. Your contract, collective agreement or tax code may change the figures. It is not tax or legal advice.

Frequently asked questions

How much does an AED 10,000 employee cost?

About AED 10,583 a month in statutory cost: AED 10,000 salary plus AED 583 gratuity accrual (21/30 of a month's basic pay divided by 12). Medical insurance and visa costs come on top.

Is gratuity calculated on the full salary?

No, on the basic salary only, excluding housing, transport and other allowances. That is why contracts split the package.

Does the gratuity change for the unlimited contract?

Since 2022 every contract is a fixed-term contract and gratuity is paid in full on termination by either side after one year of service, without the old reductions for resignation.

What next?

Post a job on Jober and reach candidates while the numbers are fresh.

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