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UAE leave salary calculator
What you are paid while on annual leave (your full wage), and what unused leave is worth when you leave (your basic salary). These are the two figures people mix up.
Leave salary
The rule
| Situation | Wage used | Formula |
|---|---|---|
| You take annual leave | Full wage | Full monthly wage ÷ 30 × leave days |
| Leave not taken, paid when you leave | Basic | Basic ÷ 30 × unused days |
Example: full wage AED 9,000, basic AED 5,000. Taking 30 days of leave: 9,000 ÷ 30 × 30 = AED 9,000 for the leave month. Leaving with 12 days unused: 5,000 ÷ 30 × 12 = AED 2,000.
How many days you have earned: UAE annual leave calculator. Everything when you leave: final settlement calculator.
Sources (checked October 2026): Federal Decree-Law No. 33 of 2021 (u.ae), Gulf News: cash for unused leave (Article 29), Gulf News: leave before one year. Laws change, and the ministry or a court gives the final figure.
Leave salary examples
| Full wage | Basic | 30 days of leave taken | 15 unused days cashed at the end |
|---|---|---|---|
| AED 6,000 | AED 3,500 | AED 6,000 | AED 1,750 |
| AED 9,000 | AED 5,000 | AED 9,000 | AED 2,500 |
| AED 15,000 | AED 9,000 | AED 15,000 | AED 4,500 |
That is why taking your leave is usually worth more than cashing it in at the end: days you take are paid at the full wage, leave encashment only at the basic.
A worked example
Ravi earns a full wage of AED 7,500 with a basic of AED 4,000. In March he takes 20 days off: 7,500 ÷ 30 × 20 = AED 5,000 for those days. When he leaves the company in December he still has 10 days left: 4,000 ÷ 30 × 10 = AED 1,333.33 in his final settlement. Work out the days you have earned with the annual leave calculator.
Questions
What is leave encashment?
Cash for leave days you did not take. When you leave the job, the law pays it on the basic salary (Article 29(9)).
What is leave salary in the UAE?
Two things are called leave salary: the pay for the days you are on annual leave, which is your full wage (Article 29), and the cash for leave you did not take when you leave the job, which is on the basic wage (Article 29(9)).
Does my employer pay leave salary in advance?
The law says you are paid your wage for the leave period, and many companies pay it before you travel. Check your contract or company rules.
How is the daily wage worked out?
Monthly wage ÷ 30. For leave taken, use the full monthly wage. For unused leave cashed at the end, use the monthly basic salary.
Can I ask for cash instead of taking leave?
Leave is meant to be taken. Cash instead of leave depends on the company's rules and the Implementing Regulation (Article 29(8)). Unused leave is always paid when you leave.