01
Confirm the correct wage basis
First, use the salary or wage definition shown for the selected country. For example, entering total salary where the law requires basic wage can materially overstate the estimate.
End of Service Gratuity Calculator for Saudi Arabia, UAE, Qatar, Bahrain, Kuwait and Oman, with country-specific 2026 rules, wage guidance and calculation methods.
Saudi Arabia · Employment Tool
Saudi Arabia Gratuity Calculator
The End of Service Gratuity Calculator helps you estimate your Saudi end-of-service award under the standard private-sector rules. In addition, it provides country-specific wage guidance, eligibility checks and a clear calculation breakdown.
Saudi Arabia · End-of-Service Award under the Saudi Labour Law.
Calculate Your Saudi Arabia Gratuity
Enter your employment details in the End of Service Gratuity Calculator. Then, the tool applies the selected country’s standard private-sector rules to estimate your benefit.
Use the last wage that applies under Saudi labour rules. Certain variable commission elements may be excluded by agreement.
Optional. Enter only days that should legally be excluded from counted service.
Estimated end-of-service gratuity
—
Counted service—
Full statutory accrual—
Reason-for-leaving factor—
Rule applied—
This is an estimate, not a payroll statement or legal opinion. Your contract, sector, social-insurance status, deductions or court/authority interpretation may change the final amount.
🇸🇦Saudi Arabia
End of Service Gratuity Calculator — Quick Reference
Key rules used by this calculator
Calculation process
How the End of Service Gratuity Calculator Works
Enter the last wage applicable to your Saudi gratuity, your employment dates and your reason for leaving. The calculator first builds the statutory award and then applies the Saudi resignation percentage when required.
02
Measure eligible service
Next, the calculator uses your contract start date and last working day. Then, it adjusts for any non-countable unpaid leave before working out years and eligible fractions.
03
Apply the statutory formula
After that, the calculator applies the selected country’s accrual rate, including service tiers, minimum-service rules and any statutory cap that the law provides.
04
Review adjustments and the breakdown
Finally, where resignation or another legal rule changes the entitlement, the calculator applies the adjustment after it calculates the full accrual. As a result, the breakdown shows the service period, gross accrual, factor and formula used.
Why this matters: a different wage basis, one missing service month or the wrong leaving reason can change the gratuity amount. Check the inputs against your contract and latest payroll record before relying on the estimate.
Before you rely on the result
End of Service Gratuity Calculator — Important Checks
Use these checks to confirm that the calculator inputs match your employment records and the rules that apply to your case.
Resignation before 10 years can reduce the statutory award.
Use the last wage applicable to the end-of-service calculation.
Unused leave, notice pay, unpaid salary and other final-settlement items are separate from this gratuity result.
Also check separately: unused annual leave, unpaid salary, notice pay, bonuses or commissions due, lawful deductions, travel/ticket benefits and any more favorable contractual end-of-service benefit.
Gratuity explained
What Is an End of Service Gratuity Calculator?
An End of Service Gratuity Calculator estimates the statutory benefit that may become payable when employment ends. First, it combines the selected country’s labour rules with the correct wage basis, eligible service period and reason for leaving. As a result, you can see a transparent estimate instead of relying on a single unexplained number.
There is no single GCC-wide gratuity formula. Saudi Arabia, the UAE, Qatar, Bahrain, Kuwait and Oman use different salary definitions, minimum-service requirements, accrual rates, resignation rules, caps and, in some cases, social-insurance or provident arrangements. Therefore, the End of Service Gratuity Calculator changes its formula and guidance automatically when you select another country.
In addition, the result shows the counted service period, full statutory accrual, any adjustment factor and the rule applied. You can then compare the estimate with your contract, payroll records and employer’s final settlement before you rely on it.
What Affects an End of Service Gratuity Calculator Estimate?
- Country and legal framework — determines the formula, eligibility threshold, cap and any resignation adjustment.
- Correct salary or wage basis — some countries use basic wage while others apply a different statutory wage definition.
- Counted service period — start date, last working day and legally excluded unpaid absence can change the amount.
- Reason for leaving — resignation, contract expiry or employer termination may affect entitlement in some jurisdictions.
End of Service Gratuity Calculator: Which Salary Components Count?
The End of Service Gratuity Calculator does not use one salary definition for every GCC country. Instead, the correct wage basis depends on the labour law that applies to the employee. For example, entering a total package when the law requires basic salary can significantly overstate the estimate.
In the UAE, the standard private-sector formula uses the employee’s last basic salary and excludes normal allowances such as housing and transport. Qatar also uses the last basic wage for the Article 54 statutory minimum. By contrast, Saudi Arabia uses the last wage that legally applies to the end-of-service award. Meanwhile, Kuwait, Bahrain and Oman follow their own statutory wage rules and may also involve social-insurance or provident arrangements.
For this reason, the salary guidance in the End of Service Gratuity Calculator changes when you select a country. Always compare the amount you enter with your employment contract and latest payroll record before relying on the estimate.
Benefits of Using an End of Service Gratuity Calculator
An End of Service Gratuity Calculator helps employees, HR teams and employers understand how the statutory benefit is built. It also reduces manual calculation mistakes and makes the result easier to review before anyone approves or accepts a final settlement.
- Country-Specific Calculation — Applies the formula, wage basis, eligibility threshold, service tiers and statutory limits for the selected GCC country instead of using one generic formula.
- Clear Calculation Breakdown — Shows counted service, full statutory accrual, any resignation adjustment and the rule used, making the result easier to verify.
- Fewer Manual Errors — Automatically handles service tiers, partial years, minimum-service rules and statutory caps where they apply.
- Better Final-Settlement Checking — Gives employees a practical benchmark to compare with an employer’s gratuity calculation before accepting the final settlement.
- Useful for HR and Payroll Review — Helps HR and finance teams check separation calculations consistently before payroll processing or management approval.
- Supports Financial Planning — Gives employees and employers an estimate of the likely gratuity obligation so they can plan for a job change, contract completion or workforce cost.
Important: gratuity is only one part of a final settlement. Review unused annual leave, unpaid salary, notice pay, bonuses, commissions, lawful deductions, travel or ticket benefits and any better contractual entitlement separately.
Saudi Arabia · End-of-Service Guide
Saudi Arabia gratuity: calculation, resignation rules and wage basis
For a standard private-sector case in Saudi Arabia, this End of Service Gratuity Calculator builds the award in two stages: half a month’s wage for each of the first five years, then one full month’s wage for each following year. If the employee resigns before completing ten years of continuous service, the Saudi resignation rules can then reduce the calculated award.
Calculation rule
Saudi Arabia End of Service Gratuity Calculator Formula
Saudi Labour Law Article 84 calculates the full end-of-service award from the worker’s last wage. The first five years accrue at half a month’s wage per year, while later service accrues at one full month’s wage per year. The calculator prorates eligible fractions of a year.
Years 1–5Last wage × 0.5 × eligible years (maximum 5 in this tier)
After year 5Last wage × service years above 5
Full awardFirst-tier amount + later-service amount
Formula: Full award = (Last wage × 0.5 × min(service, 5)) + (Last wage × max(service − 5, 0)). If the employee resigns, Article 85 may then reduce that full award according to total continuous service.
Worked example — SAR 8,000 wage, 7 years:
First 5 years: 8,000 × 0.5 × 5 = SAR 20,000
Next 2 years: 8,000 × 2 = SAR 16,000
Full award: 20,000 + 16,000 = SAR 36,000.
If this is an ordinary resignation after 7 years, the Article 85 two-thirds factor gives an estimated SAR 24,000, subject to any statutory exception.
First 5 years: 8,000 × 0.5 × 5 = SAR 20,000
Next 2 years: 8,000 × 2 = SAR 16,000
Full award: 20,000 + 16,000 = SAR 36,000.
If this is an ordinary resignation after 7 years, the Article 85 two-thirds factor gives an estimated SAR 24,000, subject to any statutory exception.
Resignation
Saudi resignation adjustment
When an employee resigns, Saudi rules may reduce the gross award according to completed service. Therefore, the calculator asks for the reason for leaving instead of applying one formula to every case.
- Less than 2 years: no standard resignation award.
- From 2 years up to 5 years: one-third of the calculated award.
- More than 5 years but less than 10 years: two-thirds of the calculated award.
- 10 years or more: the full calculated award.
Special statutory circumstances can affect resignation entitlement, so use the result as an estimate rather than a final payroll statement.
Salary & final settlement
Which wage should you enter?
Use the last wage that legally applies to the end-of-service award in your employment case. Saudi wage definitions can include regular wage elements, while certain commission or variable elements may be treated differently by agreement or by the applicable rule.
The calculator does not add unused leave, unpaid salary, notice compensation, tickets, bonuses, deductions or other final-settlement items. Check those amounts separately when you review the final settlement.
Frequently Asked Questions
Saudi Arabia End of Service Gratuity Calculator FAQs
What is an end-of-service award in Saudi Arabia?
It is a statutory benefit that may become payable when employment ends. The standard calculation builds the award from the worker’s applicable last wage and total eligible service, then applies any resignation reduction or other legal exception that affects the case.
How is Saudi gratuity calculated?
The standard formula calculates half a month’s applicable wage for each of the first five years and one full month’s wage for each year after five. It also prorates eligible fractions of a year.
Which salary or wage should I use?
Use the last wage that legally applies to the Saudi end-of-service award in your employment case. Do not automatically assume that only basic salary or the full payroll package is correct; compare the figure with your contract and wage records.
Do I lose all gratuity if I resign?
Not necessarily. Under the standard Saudi resignation scale, entitlement depends on completed service. A resignation before two years normally produces no standard resignation award, while longer service can qualify for one-third, two-thirds or the full calculated award.
What happens if I resign after more than five but less than ten years?
For an ordinary resignation in that service range, the standard rule generally applies two-thirds of the full calculated award. However, special statutory circumstances can produce a different result.
More Saudi gratuity questions
Does a partial year count toward Saudi gratuity?
Eligible fractions of a year are generally calculated proportionately, so the calculator does not simply round service down to completed whole years.
Can termination for misconduct change the result?
Yes. Certain dismissal circumstances can affect or remove entitlement under the Labour Law. This calculator does not decide whether a dismissal legally falls within a statutory exception.
Are unused leave days included in the gratuity amount?
No. The calculator estimates the end-of-service award only. Check unused leave, unpaid salary, notice compensation, tickets, bonuses and other final-settlement items separately.
Can my employment contract provide a better benefit?
Yes. A contract, policy or other binding arrangement can provide a more favorable end-of-service benefit than the statutory minimum. The calculator shows the standard legal estimate, not any additional contractual enhancement.
Is the calculator result the final legal amount?
No. It is an educational estimate based on the information entered. Payroll records, contract terms, statutory exceptions and the facts surrounding the end of employment can change the final payable amount.
Official reference
Check the Saudi Labour Law
Saudi Labour Law Articles 84–88 govern the standard end-of-service award calculation used by this guide.
Saudi Ministry of Human Resources and Social Development ↗Educational estimate only. Contract terms, statutory exceptions and authority or court interpretation can change the final entitlement.
United Arab Emirates · End-of-Service Guide
UAE gratuity: basic-salary formula for private-sector employees
For an eligible full-time foreign worker, the UAE End of Service Gratuity Calculator uses the last basic wage rather than the total monthly package. It applies 21 days of basic wage per year for the first five years and 30 days per year after that, subject to the statutory maximum.
Calculation rule
UAE End of Service Gratuity Calculator Formula
For an eligible full-time foreign worker, the standard UAE system uses the last basic salary for gratuity. The employee must normally complete at least one year of continuous service. The calculator excludes qualifying unpaid absence from the service period.
Daily basic wageMonthly basic salary ÷ 30
First 5 yearsDaily basic wage × 21 × eligible years
After year 5Daily basic wage × 30 × additional years
Formula: Gratuity = (Basic salary ÷ 30 × 21 × min(service, 5)) + (Basic salary ÷ 30 × 30 × max(service − 5, 0)). A statutory maximum of 24 months of wage limits the total standard gratuity.
Worked example — AED 10,000 basic salary, 7 years:
Daily basic wage: 10,000 ÷ 30 = AED 333.33
First 5 years: 333.33 × 21 × 5 = AED 35,000
Next 2 years: 333.33 × 30 × 2 = AED 20,000
Estimated gratuity = AED 55,000. The 24-month cap is not reached.
Daily basic wage: 10,000 ÷ 30 = AED 333.33
First 5 years: 333.33 × 21 × 5 = AED 35,000
Next 2 years: 333.33 × 30 × 2 = AED 20,000
Estimated gratuity = AED 55,000. The 24-month cap is not reached.
Resignation & eligibility
Resignation does not use the old reduction schedule
For standard cases under the current UAE private-sector framework, the old resignation percentages are not used once the worker is eligible. The calculator therefore applies the same statutory accrual formula for resignation and normal termination, while still keeping the leaving reason visible for clarity.
Service below one year does not produce the standard gratuity estimate. Alternative savings schemes, different work patterns and special categories can require a different method.
Basic salary
Enter basic wage, not total package
Use the last basic salary stated for the employment relationship. Housing allowance, transport allowance and other benefits are generally excluded from the standard gratuity wage base. This is one of the most common reasons an employee’s own estimate differs from a payroll calculation.
Frequently Asked Questions
UAE End of Service Gratuity Calculator FAQs
What is End of Service Gratuity in the UAE?
It is a statutory end-of-service benefit for eligible private-sector employees when employment ends. The standard calculation in this tool follows the current UAE private-sector framework for a typical full-time foreign worker.
Who is eligible for UAE gratuity?
For the standard calculation used here, an employee generally needs at least one year of continuous service. Special categories, alternative savings schemes and different work models may require another method.
How is UAE gratuity calculated?
The standard formula uses the employee’s last basic salary: 21 days of basic wage for each of the first five years and 30 days for each additional year, subject to the statutory maximum.
Is UAE gratuity based on basic salary or total salary?
The standard calculation uses the last basic salary, not the total monthly package. Housing, transport and similar allowances are normally excluded from the gratuity wage base.
Are there resignation penalties in the UAE?
Under the current standard private-sector framework, the old resignation reduction schedule is no longer applied once the worker is eligible. The calculator therefore does not reduce the standard gratuity simply because the employee resigned.
What is the 24-month cap on UAE gratuity?
The standard gratuity cannot exceed the equivalent of 24 months of the wage used for the statutory calculation. Therefore, the calculator applies this cap automatically.
More UAE gratuity questions
Does unpaid leave count toward gratuity service?
The standard rules can exclude qualifying unpaid absence from the gratuity service period. Therefore, enter only unpaid leave days that the law allows you to remove from counted service.
What about unused annual leave?
Unused annual leave is a separate final-settlement item. This calculator does not add it to gratuity, so check the leave balance separately against payroll and leave records.
Can a company scheme replace the standard UAE gratuity?
An alternative end-of-service savings arrangement or another approved scheme may cover some workers. In that case, the standard formula shown here may not represent the actual funded benefit.
Is the calculator result my complete final settlement?
No. The estimate covers gratuity only. Unused leave, unpaid salary, notice pay, bonuses, deductions and other contractual benefits may need to be added or reviewed separately.
Official reference
Verify with the UAE Government portal
The standard formula is described in the UAE Government’s private-sector end-of-service guidance under Federal Decree-Law No. 33 of 2021 and its implementing framework.
UAE Government — End-of-Service Benefits ↗This calculator is for standard private-sector estimates and does not replace MOHRE guidance, a payroll statement or legal advice.
Qatar · End-of-Service Guide
Qatar gratuity: minimum three weeks of basic wage per year
For Qatar, the End of Service Gratuity Calculator uses the Article 54 statutory minimum after the worker completes at least one year of service. It calculates three weeks of the last basic wage for each eligible year, while a contract may provide a more favorable benefit.
Calculation rule
Qatar End of Service Gratuity Calculator Formula
Qatar Labour Law Article 54 sets a minimum end-of-service gratuity of three weeks of the last basic wage for each year of employment once the worker has completed at least one year. A more favorable contract can provide more than this statutory minimum.
EligibilityAt least 1 year of employment
Daily basic wageLast basic wage ÷ 30
Minimum accrual21 days of basic wage × eligible service years
Formula: Minimum gratuity = (Last basic wage ÷ 30) × 21 × eligible service years. After the worker qualifies, the calculator prorates eligible fractions of a year.
Worked example — QAR 6,000 basic salary, 4 years:
Daily basic wage: 6,000 ÷ 30 = QAR 200
Annual minimum gratuity: 200 × 21 = QAR 4,200
4 years: 4,200 × 4 = QAR 16,800.
Daily basic wage: 6,000 ÷ 30 = QAR 200
Annual minimum gratuity: 200 × 21 = QAR 4,200
4 years: 4,200 × 4 = QAR 16,800.
Contract & resignation
Your contract can provide more than the minimum
The calculator shows the statutory minimum formula. If your employment contract, company policy or collective arrangement provides a better gratuity, the more favorable entitlement should be considered separately.
The standard Qatar calculation does not use the Saudi-style resignation percentage tiers. However, the circumstances of termination and any statutory exception can still affect a real final settlement.
Basic wage
Use your last basic salary
Enter the last basic wage rather than the full salary package. Allowances and other final-settlement items are not added to this gratuity estimate. Keep your employment contract and recent payslip available when checking the figure.
Frequently Asked Questions
Qatar End of Service Gratuity Calculator FAQs
Who is eligible for end-of-service gratuity in Qatar?
The standard Article 54 gratuity generally applies after the worker completes at least one year of employment, subject to the facts of the employment relationship and any statutory exception.
How is Qatar gratuity calculated?
This calculator uses the statutory minimum of three weeks, or 21 days, of the last basic wage for each eligible year of service. It also prorates eligible fractions of a year.
Is Qatar gratuity based on basic salary or total salary?
The statutory minimum calculation uses the last basic wage, not the total package. Allowances are therefore not added to the standard minimum formula used here.
Can my Qatar gratuity be more than 21 days per year?
Yes. Twenty-one days is the statutory minimum used here. A contract, policy or other binding arrangement may provide a higher end-of-service benefit.
Does a worker with less than one year qualify?
The standard Article 54 gratuity generally requires at least one year of service. Therefore, service below that threshold normally does not produce the statutory estimate shown by this calculator.
More Qatar gratuity questions
Does a partial year count in Qatar?
Once the employee is eligible, qualifying fractions of a year are generally calculated proportionately rather than ignored.
Does resignation automatically cancel Qatar gratuity?
Not automatically in a standard eligible case. However, the facts surrounding the end of employment and any statutory exception can affect the final entitlement, so the calculator should be treated as an estimate.
Are unused leave and unpaid salary included?
No. The calculator estimates gratuity only. Leave pay, unpaid salary, notice-related amounts and other final-settlement items should be reviewed separately.
What if my contract promises a higher gratuity?
A more favorable contractual benefit can exceed the statutory minimum. The calculator shows the standard Article 54 minimum and does not automatically add an enhanced company benefit.
Is this calculator an official Qatar government calculation?
No. It is an educational estimate based on the standard legal formula. Confirm the final amount against your contract, payroll records and the applicable official guidance.
Official reference
Qatar Labour Law Article 54
The calculator’s Qatar formula follows the statutory minimum described in Labour Law No. 14 of 2004, Article 54.
Al Meezan — Qatar Labour Law Article 54 ↗Use this as an educational estimate. Special employment categories, contractual benefits and dispute outcomes may produce a different final amount.
Bahrain · End-of-Service Guide
Bahrain end-of-service benefit: statutory formula and SIO-funded coverage
For Bahrain, this End of Service Gratuity Calculator shows the traditional statutory benchmark: half a month’s wage per year for the first three years and one month’s wage per year after that. However, covered non-Bahraini private-sector workers should also verify the SIO-funded contribution record for service under the newer scheme.
Calculation rule
Bahrain End of Service Gratuity Calculator Formula and SIO Treatment
Under Bahrain Labour Law Article 116, the traditional formula gives half a month’s wage for each of the first three years and one month’s wage for each later year, with fractions prorated. For covered non-Bahraini private-sector workers, a separate SIO end-of-service system has applied from March 2024. Therefore, workers should also check the funded contribution record.
First 3 yearsApplicable wage × 0.5 × eligible years
After year 3Applicable wage × service years above 3
Covered non-Bahraini serviceSIO contribution record applies from March 2024
Traditional formula: Benefit = (Wage × 0.5 × min(service, 3)) + (Wage × max(service − 3, 0)). For covered non-Bahraini workers, SIO states that employer contributions are 4.2% of wage for the first three years of employment and 8.4% for later years from the scheme’s effective date.
Worked statutory benchmark — BHD 600 wage, 5 years:
First 3 years: 600 × 0.5 × 3 = BHD 900
Next 2 years: 600 × 2 = BHD 1,200
Traditional benchmark = BHD 2,100.
For a covered non-Bahraini employee, use this only as a benchmark and verify the actual SIO-funded entitlement and any pre-March-2024 employer liability.
First 3 years: 600 × 0.5 × 3 = BHD 900
Next 2 years: 600 × 2 = BHD 1,200
Traditional benchmark = BHD 2,100.
For a covered non-Bahraini employee, use this only as a benchmark and verify the actual SIO-funded entitlement and any pre-March-2024 employer liability.
SIO scheme
Why Bahrain needs an extra verification step
For covered non-Bahraini private-sector employees, contributions for end-of-service benefits are made to the Social Insurance Organisation under the newer scheme. Pre-scheme service, contribution records and coverage status can therefore matter when determining the actual amount payable.
Use the calculator as a legal-formula benchmark, then compare it with the relevant SIO information or employer records.
Frequently Asked Questions
Bahrain End of Service Gratuity Calculator FAQs
How is the traditional Bahrain gratuity benchmark calculated?
The benchmark used here is half a month’s applicable wage for each of the first three years and one month’s wage for each year after three, with qualifying fractions prorated.
Why can my SIO amount differ from the calculator?
The calculator applies a statutory formula benchmark, while an actual SIO-funded amount can depend on contributions, covered periods and the transition from the older employer-paid arrangement.
Who should check the Bahrain SIO end-of-service scheme?
Covered non-Bahraini private-sector workers should verify whether their service period falls under the SIO end-of-service system and compare the result with their recorded contribution history.
What about service before March 2024?
Older service and service covered after the SIO scheme transition may need to be reviewed separately because responsibility for the benefit can differ across the two periods.
Should I enter basic wage or total wage?
Use the wage basis that legally applies to your Bahrain end-of-service entitlement and verify it against employment and SIO records. In other words, Bahrain should not be treated as identical to the UAE or Qatar basic-salary formula.
More Bahrain benefit questions
Does this calculator show my SIO account balance?
No. It gives a legal-formula estimate only. Your actual funded balance or contribution-based entitlement must be checked through the relevant SIO records.
Does this calculate pension benefits for Bahrainis?
No. This tool is focused on end-of-service benefit concepts and is not a Bahrain pension calculator.
Do partial years count?
Qualifying fractions of service can be prorated under the traditional statutory formula. Actual SIO-funded treatment should still be checked against contribution records.
Are leave pay and unpaid salary included?
No. Those are separate final-settlement items. The calculator does not add unused leave, unpaid salary, notice pay, bonuses or deductions to the gratuity estimate.
Is the Bahrain result final?
No. Treat it as a benchmark. The actual entitlement can depend on SIO coverage, contribution records, service dates, contract terms and the legal basis that applies to the worker.
Official reference
Check Bahrain legislation and SIO records
Resolution No. 109 of 2023 is an important reference for the end-of-service contribution framework introduced for covered non-Bahraini workers.
Bahrain Legislation and Legal Opinion Commission ↗The actual Bahrain payment may require SIO contribution data. This page does not replace an SIO statement or official determination.
Kuwait · End-of-Service Guide
Kuwait indemnity: monthly-paid formula, 18-month cap and resignation adjustment
For a standard monthly-paid private-sector worker, the Kuwait End of Service Gratuity Calculator estimates indemnity using 15 days’ wage for each of the first five years and one month’s wage for each following year. In addition, it applies the 18-month wage cap and the relevant resignation factor for an unlimited contract.
Calculation rule
Kuwait End of Service Gratuity Calculator Formula
Kuwait Private Sector Labour Law Article 51 gives monthly-paid workers 15 days’ wage for each of the first five years and one month’s wage for each year after five, with eligible fractions prorated. The total monthly-paid indemnity is capped at 18 months of wage.
Daily wage used hereMonthly wage ÷ 26
First 5 yearsDaily wage × 15 × eligible years
After year 51 monthly wage × each additional year
Formula used by this calculator: Gross indemnity = ((Monthly wage ÷ 26) × 15 × min(service, 5)) + (Monthly wage × max(service − 5, 0)), subject to the 18-month cap. If an employee resigns from an indefinite contract, Article 53 can reduce the payable share according to service length.
Worked example — KWD 800 wage, 7 years, employer termination:
Daily wage: 800 ÷ 26 = KWD 30.769
First 5 years: 30.769 × 15 × 5 = KWD 2,307.69
Next 2 years: 800 × 2 = KWD 1,600
Gross indemnity = KWD 3,907.69. The 18-month cap is not reached. A resignation from an indefinite contract can produce a lower payable amount.
Daily wage: 800 ÷ 26 = KWD 30.769
First 5 years: 30.769 × 15 × 5 = KWD 2,307.69
Next 2 years: 800 × 2 = KWD 1,600
Gross indemnity = KWD 3,907.69. The 18-month cap is not reached. A resignation from an indefinite contract can produce a lower payable amount.
Unlimited-contract resignation
Resignation can reduce the Kuwait indemnity
For the common unlimited-contract resignation case used by this calculator, the payable share varies by service:
- Less than 3 years: no indemnity under this resignation scale.
- 3 years to less than 5 years: 50% of the calculated indemnity.
- 5 years to less than 10 years: two-thirds of the calculated indemnity.
- 10 years or more: full calculated indemnity.
A completed fixed-term contract is treated differently, so the calculator shows a contract-type field when Kuwait is selected.
Scope
This calculator is for monthly-paid private-sector workers
Daily, weekly and hourly workers use a different statutory formula, and Kuwait’s oil sector has separate rules. The wage used under Kuwait law can also include regularly paid elements beyond the narrow “basic salary” concept used in some other GCC countries.
Frequently Asked Questions
Kuwait End of Service Gratuity Calculator FAQs
How is Kuwait indemnity calculated for a monthly-paid worker?
The calculator uses 15 days’ wage for each of the first five years and one full month’s wage for each year after five, with eligible fractions prorated and the statutory cap applied.
Why does the calculator use a 26-day divisor?
For the monthly-paid estimate used here, the 15-day tier is valued using a 26-working-day convention. This is why the first-five-year amount is not simply one-half of monthly salary in every case.
Is Kuwait indemnity capped?
For the monthly-paid formula used here, the gross end-of-service indemnity is capped at 18 months of wage.
Why does the calculator ask for contract type?
Resignation treatment can differ for an indefinite or unlimited contract, so contract type can directly affect the payable share of the calculated indemnity.
What happens if I resign from an unlimited contract?
The standard resignation scale can reduce the payable indemnity before ten years of service. As a result, the calculator applies the relevant percentage for the service range selected.
More Kuwait indemnity questions
Can I use this calculator for a fixed-term resignation?
The calculator’s resignation reduction logic is designed around the standard unlimited-contract treatment. A fixed-term case can involve different legal consequences and should be reviewed separately.
Can I use this for a daily-paid, weekly-paid or hourly-paid worker?
No. Those workers use a different statutory formula and should not rely on this monthly-paid calculation.
Which wage should I enter for Kuwait?
Use the last wage that legally applies to the indemnity for your employment case. Regularly paid wage components can be relevant, so verify the figure against the contract and payroll record.
Are unused leave and unpaid salary included?
No. The calculator estimates end-of-service indemnity only. Leave pay, unpaid salary, notice-related amounts and other final-settlement items should be checked separately.
Is the Kuwait calculator result final?
No. It is an estimate for a standard monthly-paid private-sector case. Contract type, worker category, sector-specific rules and the facts surrounding termination can change the final entitlement.
Official reference
Kuwait Private Sector Labour Law
The calculator’s standard monthly-paid logic follows the end-of-service indemnity rules commonly referenced in Articles 51–53 of Law No. 6 of 2010.
Kuwait Public Authority for Manpower — Labour Law ↗This tool does not cover oil-sector or non-monthly-paid formulas and should not replace an official settlement calculation.
Oman · End-of-Service Guide
Oman gratuity: Article 61 benchmark and the provident savings transition
Where Oman Labour Law Article 61 applies, the Oman End of Service Gratuity Calculator uses at least one basic wage for each eligible year and prorates qualifying fractions. However, covered non-Omani workers should also check whether the Social Protection provident savings system governs their service period.
Calculation rule
Oman End of Service Gratuity Calculator Formula
Oman Labour Law Article 61 provides, for workers to whom the statutory gratuity applies, at least one last basic monthly wage for each year of service. Fractions of a year are prorated. The provision applies subject to the Social Protection framework and the transition to the provident savings system.
Wage basisLast basic monthly wage
AccrualAt least 1 basic monthly wage × each eligible service year
Covered provident serviceCheck the Social Protection Fund account instead of relying only on this benchmark
Formula where Article 61 gratuity applies: Gratuity = Last basic monthly wage × eligible service years. The calculator prorates a qualifying fraction of a year.
Worked example — OMR 500 basic wage, 4.5 eligible years:
500 × 4.5 = OMR 2,250.
This is an Article 61 benchmark. If the worker’s service is covered by the provident scheme, the actual end-of-service amount is based on the applicable savings/contribution record and should be verified with the Social Protection Fund.
500 × 4.5 = OMR 2,250.
This is an Article 61 benchmark. If the worker’s service is covered by the provident scheme, the actual end-of-service amount is based on the applicable savings/contribution record and should be verified with the Social Protection Fund.
Provident scheme
Why an Oman result may need scheme verification
The Social Protection Law created a savings framework for non-Omani workers intended to replace the traditional employer-paid gratuity for covered service. This means the worker’s joining date, scheme coverage date and contribution record can matter when comparing a legal benchmark with the amount actually funded.
If you are covered by the provident scheme, verify your entitlement through the Social Protection Fund rather than relying only on the Article 61 estimate.
Frequently Asked Questions
Oman End of Service Gratuity Calculator FAQs
How is the Oman Article 61 gratuity benchmark calculated?
Where Article 61 gratuity applies, the benchmark used here is at least one last basic monthly wage for each eligible year of service, with qualifying fractions prorated.
Should I enter basic salary or total salary?
The Article 61 benchmark uses the last basic wage, so the calculator asks for basic salary rather than the full monthly package.
Is Oman gratuity always one month per year?
Article 61 provides the benchmark used here where the statutory gratuity applies, but covered service can instead fall under the newer Social Protection provident framework.
Who should check the Oman provident scheme?
Non-Omani workers whose service falls within the Social Protection provident system should verify whether the funded savings arrangement applies to their employment period.
Does this calculator show my provident account balance?
No. It estimates the Labour Law benchmark only. Instead, check any funded savings balance through the relevant Social Protection Fund records.
More Oman gratuity questions
Do partial years count?
Where the Article 61 gratuity applies, qualifying fractions of a year are prorated rather than automatically discarded.
Does resignation remove the Oman gratuity?
The standard Article 61 benchmark in this calculator does not apply a separate resignation reduction. However, scheme coverage and the facts of the employment ending can affect the actual entitlement.
Can my contract provide a better end-of-service benefit?
Yes. A more favorable contractual or company benefit can exceed the statutory benchmark. The calculator does not automatically add any enhanced contractual amount.
Are unused leave and unpaid salary included?
No. These are separate final-settlement items and should be reviewed independently from the gratuity or provident benefit.
Is the Oman result a final official amount?
No. It is an educational estimate. Confirm whether Article 61 or the provident scheme applies, then verify the final amount against your employment and Social Protection records.
Official references
Check both the Labour Law and Social Protection Fund
Use the Ministry of Labour text for the statutory gratuity provision and the Social Protection Fund for current provident-scheme coverage and contribution information.
Oman Ministry of Labour — Labour Law ↗Oman Social Protection Fund — Provident Scheme ↗
The Oman result is a benchmark only. Provident-scheme coverage can materially change how the final entitlement is paid or recorded.
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