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UAE Leave Salary & Encashment Calculator

Work out the value of your unused annual leave — instantly, per UAE Federal Decree-Law No. 33 of 2021, Article 29

AED
AED

Included in the encashment where the country pays leave on the full wage.

Subtracted from your accrued entitlement to find unused days.

Enter your details and press Calculate to see your result.

Quick answer

Leave salary calculation in the UAE comes down to one base: unused annual leave is paid on your basic wage only, so the payout is (monthly basic salary ÷ 30) × your unused leave days. Article 29 of Federal Decree-Law No. 33 of 2021 pays every unused day, including leave earned in the final part-year, and it makes no difference whether you resign or are terminated. Salary paid while you are actually on leave is different: that uses your full wage, basic plus allowances.

At a glance

Payout formula
Basic salary ÷ 30 × unused days
Encashment base
Basic salary only (Art. 29)
Unused days paid
All of them, incl. the final part-year
Leave pay (days taken)
Full wage (basic + allowances)
Law
Decree-Law 33/2021, Art. 29

What "leave salary" means in the UAE

"Leave salary" is used two ways. The first is the salary you receive while on annual leave, which is paid on your full wage. The second, and the one most people are calculating, is the cash value of annual leave you did not take, paid to you when your employment ends. This is often called leave encashment.

Under Article 29 of Federal Decree-Law No. 33 of 2021, unused-leave encashment on leaving is calculated on the basic wage only; housing, transport and other allowances are excluded. Cabinet Resolution No. 1 of 2022 confirms the same basis.

Start from your unused leave balance

Leave salary is only as accurate as the balance it multiplies. If you are not sure how many unused days you have, count them first with the annual leave calculator, then enter the balance here.

UAE annual leave calculator

Leave salary after resignation or termination

How your job ends does not change your leave salary. Article 29 pays a worker who leaves before using their leave for every unused day, whatever the number, on the basic wage. The rule is the same for a resignation, a termination or a fixed-term contract that simply runs out, and nothing is deducted for resigning.

Two details matter at the end. First, the final part-year counts: Article 29 gives you leave for the fraction of your last year, so the completed months since your last work anniversary still add days to the payout. Second, leave you carried forward with your employer's approval is still payable, even if your balance is above 30 days.

The payout is part of your final settlement, which your employer must pay together with the rest of your dues within 14 days of the contract ending (Article 53). To see it next to your gratuity and any notice pay, use the final settlement calculator.

UAE final settlement calculator

How to calculate leave salary in the UAE

  1. 1

    Find your accrued leave

    Apply the entitlement rule to your completed months of service: 2.5 days per month once you pass one year, 2 days per month between six and twelve months.

  2. 2

    Subtract leave already taken

    Deduct the annual-leave days you have used to get your unused balance.

  3. 3

    Work out the daily wage

    Divide your monthly basic salary by 30 to get the daily rate used for encashment.

  4. 4

    Multiply

    Unused days × daily basic wage = your leave salary payout.

Worked examples

AED 9,000 basic, 2 years, 20 days taken

  • Accrued: 2.5 × 24 months = 60 days
  • Unused: 60 − 20 = 40 days
  • Daily wage: 9,000 ÷ 30 = AED 300
  • 40 × 300 = AED 12,000
Leave encashmentAED 12,000

AED 8,000 basic, resigned after 3 years 6 months, 45 days taken

  • Accrued: 2.5 × 42 months = 105 days (the 6 months of the final year count)
  • Unused: 105 − 45 = 60 days
  • Daily wage: 8,000 ÷ 30 = AED 266.67
  • 60 × 266.67 = AED 16,000, the same as if the employer had terminated
Leave salary on resignationAED 16,000

AED 6,000 basic, 9 months, 0 days taken

  • Accrued (6–12 month tier): 2 × 9 = 18 days
  • Daily wage: 6,000 ÷ 30 = AED 200
  • 18 × 200 = AED 3,600
Leave encashmentAED 3,600

Frequently asked questions

Is leave salary calculated on basic or total salary in the UAE?

Unused-leave encashment on leaving is calculated on the basic wage only (Federal Decree-Law 33/2021, Art. 29). Allowances such as housing and transport are excluded. Salary paid during leave you actually take, however, is on your full wage.

How is leave salary calculated after resignation in the UAE?

Exactly as it is after termination: every unused day × your basic salary ÷ 30, including leave earned in the completed months of your final year. Article 29 makes no reduction for resigning, and the payout is due with your final settlement within 14 days of the contract ending.

How is unused leave paid when I leave a job?

Your unused annual-leave balance is multiplied by your daily basic wage (basic ÷ 30). It is paid as part of your final settlement when your employment ends.

Is leave carried forward still paid out at the end?

Yes. Article 29 pays every unused day when you leave, whatever the number, so leave carried forward with your employer's approval is included even if your balance is above 30 days.

Does leave salary include my housing allowance?

Not for the unused-leave encashment on leaving, which is basic-only. Your housing and other allowances are only relevant to the pay you receive during leave you actually take.

Does this leave salary calculator work for Dubai and Abu Dhabi?

Yes. Federal Decree-Law 33/2021 is a federal law administered by MOHRE, so the same basic-wage encashment rule applies across Dubai, Abu Dhabi and all seven emirates. The exception is the financial free zones (DIFC in Dubai and ADGM in Abu Dhabi), which run their own employment laws, so check your contract if you work in one of those.

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