How do I use the UAE salary breakdown calculator?
- Enter your basic monthly salary from your contract or offer letter.
- Add housing, transport and any other fixed allowances.
- Read your total pay, basic share and daily and hourly basic rates.
How is a UAE salary usually structured?
Most UAE offers split pay into a basic salary plus allowances, typically housing and transport. Employers often keep the basic portion lower than the total, because some entitlements are calculated on basic pay only. When comparing offers, look at both the total package and the basic salary.
Which entitlements use basic salary?
End-of-service gratuity is calculated on basic salary. Overtime is paid as a percentage on top of the basic hourly wage. Annual leave pay while on leave is generally the full wage, but how unused leave is paid out can depend on your contract, so check it.
How do I compare two job offers?
Compare the total monthly package, the basic share, annual extras such as flights or bonuses, and benefits like medical insurance. Run each offer through this calculator and our gratuity calculator to see the long-term difference.
UAE salary breakdown calculator: frequently asked questions
Is there income tax on salaries in the UAE?
No. The UAE does not levy personal income tax on employment income, so your contract salary is what you receive, before any deductions agreed with your employer.
Why does my basic salary matter?
End-of-service gratuity and overtime pay are calculated from basic salary, not your total package. A low basic share means lower gratuity.
How is the daily basic wage calculated?
A common method is basic monthly salary divided by 30. Some calculations, such as the hourly overtime rate, use basic × 12 ÷ 365.
What allowances are common in the UAE?
Housing and transport are the most common. Others include phone, education, utility and annual flight allowances, depending on the employer.
What is a typical basic-to-total ratio?
It varies widely by employer and industry. Check your contract, because the split affects gratuity and some leave calculations.
Does this include overtime or bonuses?
No. Overtime, commission and bonuses vary month to month. Use our overtime calculator for overtime pay.
Is my salary paid through WPS?
Most private-sector employers registered with MOHRE pay salaries through the Wage Protection System, which records the amount transferred each month.
Does this work for free zone jobs?
Yes for the arithmetic. Free zones such as DIFC and ADGM have their own employment laws, so entitlements may differ.
Are these calculations based on UAE rules?
Where a UAE rule applies (VAT, labour law, mortgage limits) the tool follows it and names the source. Rules change, so confirm important figures with the relevant authority.
Is the uae salary breakdown calculator free?
Yes. It is free with no sign-up and no usage limits for normal use.