Employer cost calculator: UAE 2026
What an employee really costs in UAE: gross salary plus mandatory employer contributions. A AED 10,000 monthly salary costs about AED 10,575 (1.06× gross).
Employer cost by salary
The end-of-service gratuity accrual for expats (21 days of basic per year), or GPSSA pension contributions for UAE nationals. Figures below are for an expat.
| Gross per month | AED 5,000 | AED 10,000 | AED 20,000 | AED 50,000 |
|---|---|---|---|---|
| End-of-service gratuity (accrual) | AED 288 | AED 575 | AED 1,151 | AED 2,877 |
| Total employer cost | AED 5,288 | AED 10,575 | AED 21,151 | AED 52,877 |
| Cost multiplier | 1.058× | 1.058× | 1.058× | 1.058× |
| Employee take-home | AED 4,995 | AED 9,995 | AED 19,990 | AED 49,990 |
Employer GPSSA for UAE nationals: 12.5% (+2.5% paid by government) below AED 20,000, 15% at AED 20,000+. Expat end-of-service gratuity accrued at 21 days of basic per year for the first 5 years, 30 days after.
Employee side: UAE take-home pay calculator.
GET /v1/employer-cost?country=ae&gross=… — free API key, 1,000 calls/month.Questions
How much does it cost to employ someone in UAE?
On top of gross pay, employers in UAE pay the end-of-service gratuity accrual for expats (21 days of basic per year), or GPSSA pension contributions for UAE nationals. Figures below are for an expat. For a AED 10,000 monthly salary the total is about AED 10,575, or 1.06 times gross pay.
Does this include benefits or an EOR fee?
No. It covers statutory employer contributions and mandatory accruals only. Private health insurance, allowances, equipment and Employer of Record fees come on top.
Sources
- https://www.pwc.com/m1/en/tax/documents/2023/uae-updates-on-the-social-security-scheme-for-emirates-employees.pdf
- https://www.wtwco.com/en-in/insights/2024/01/united-arab-emirates-changes-to-social-security-for-new-members
- https://crowe.com/ae/news/key-highlights-of-the-new-pension-law
- https://www.dubai.ae/living/jobs-employment/involuntary-loss-of-employment
Updated 2026-11-13. Estimates for planning only, not tax advice.