| Service counted | 3 years, 9 months, 13 days |
| Leave earned | 113.6 days |
| How | 30 days a year × 3.79 years of service |
| Leave taken | 40 days |
| Balance | 73.6 days |
| Cash for unused days (at basic) | AED 29,436 |
| Pay if you take the days as leave instead (full salary) | AED 44,153 |
While you are on leave you are normally paid your full salary. When the job ends, unused days are paid at basic salary (Cabinet Resolution No. 1 of 2022, Article 19). Your contract can be more generous, never less.
An employer cannot stop you from using your leave for more than two years, and you can carry forward up to half a year's leave by agreement. If some days were lost under your company's policy, count them as taken.
✓ Rules checked against official sources on How we calculate
In 1820 about three in four people lived in extreme poverty. Today it is under one in ten.
Our World in Data, based on Bourguignon and Morrisson and the World BankHow annual leave works in the UAE
Article 29 of Federal Decree-Law No. 33 of 2021 sets the minimum paid annual leave for private sector employees:
- 30 days a year once you have completed one year of service.
- 2 days for each month if you have worked more than six months but less than a year.
- Your final part year earns leave pro rata.
- Your contract can give more days, never fewer. Part-time staff earn leave in proportion to their hours.
Leave salary: what you are paid
While you are on annual leave you are paid your wage, which for most people means the normal full salary. When the job ends, leave you have earned but not taken is paid in cash at your basic salary: basic ÷ 30 for each day (Article 19 of Cabinet Resolution No. 1 of 2022). This is added to your gratuity and must be paid within 14 days.
Unused leave pay = unused days × basic salary ÷ 30
Worked example
Basic salary AED 10,000, 2 years and 6 months of service, 40 days already taken. Leave earned: 30 × 2.5 = 75.0 days. Balance: 35.0 days. Cash on leaving: 35.0 × AED 333.33 = AED 11,667.
Carrying leave forward
You can carry forward up to half of a year's leave to the next year by agreement with your employer, or agree to be paid for those days instead. An employer can't stop you from using your accrued leave for more than two years. Days you agreed to give up or were paid for already count as taken.
What this doesn't cover
Sick leave, maternity and parental leave, study and bereavement leave, and public holidays are separate entitlements and don't come out of annual leave. DIFC and ADGM have their own employment laws, and government employees follow their HR law.
How we calculate, and our sources
We count calendar days from your first working day to the date you choose, both included, take off unpaid leave days, and then:
- Under 6 months: no annual leave yet.
- 6 to 12 months: 2 days × full months worked.
- One year or more: your yearly leave (at least 30 days) × years of service, part years pro rata.
- Balance = leave earned − leave already taken.
- Cash for unused days = balance × basic salary ÷ 30. Pay while on leave = days × full monthly salary ÷ 30.
We assume none of your leave was lost under a carry-forward policy. If some was, count it as taken.
Official sources
- Federal Decree-Law No. 33 of 2021 on labour relations (UAE Legislation portal)
- Cabinet Resolution No. 1 of 2022, the Labour Law's Executive Regulations
- UAE Government portal: end of service benefits in the private sector
Rules checked against official sources on 27 October 2026. Spotted a rule that changed or a mistake? Email [email protected] and we fix it, usually within a few days.
Questions people ask
How is leave salary calculated in the UAE?
For unused days when the job ends: days × basic salary ÷ 30. While you are on leave you are normally paid your full salary for those days.
How many days of annual leave do I get in the UAE?
At least 30 calendar days a year after one year of service, and 2 days a month between six months and one year.
Are unused leave days paid when I resign?
Yes. Whether you resign or are let go, leave you earned and didn't take is paid at basic salary with your final settlement.
Is leave encashment based on basic or gross salary?
On basic salary, under Article 19 of the Executive Regulations, unless your contract or company policy is more generous.
Can I carry forward unused leave?
Up to half of a year's leave, by agreement with your employer. An employer can't stop you from using your leave for more than two years.
More money calculators
Estimates, not advice. Our calculators follow the published rules as we understand them (checked October 2026), but they are not financial, tax or legal advice. Rules change and your contract, bank or free zone may differ. Confirm with the labour ministry, the tax authority, your bank or a licensed adviser before you act. Full disclaimer