How to Calculate End of Service Benefits for Domestic Workers in UAE (2025 Guide) UAEQuest - Your Gateway to UAE Information

How to Calculate End of Service Benefits for Domestic Workers in UAE (2025 Guide)

Published on June 27, 2025 | Updated: June 28, 2025

1. Introduction

End Of service benefits or EOSF are the legal rights of an employee and financial safety for domestic workers in the UAE. Whether you're an employer or a worker you need to know how to calculate end of service benefits. You must know legal compliance and fair treatment according to the UAE's Labor law. With updated rules and regulations in 2025, both parties must stay informed.

This guide helps you to know the latest legal rights, step-by-step calculations, practical examples, and tool to ensure the accurate results every time. Here is How to Calculate End of Service Benefits for Domestic Workers in UAE (2025 Guide).

2. Who is considered a domestic worker in the UAE?

Domestic workers include individuals which are employed in private households and are not covered under the standard UAE labor law. Here are some of the common domestic workers types;

  • Housemaids
  • Nannies
  • Private Drivers
  • Cooks & Chefs
  • Gardeners
  • Cleaners
  • Personal Assistants (in domestic setting only)

According to the UAE's government data of 2025, there are over 750,000 domestic workers working in the emirates. These workers are forming a critical workforce in the country and play a very important role in the country.

3. UAE Labor Law for Domestic Workers (2025 Update)

According to the Federal Decree-Law No.9 of 2022, Article 26 specifically outlines the end of service benefits for the domestic workers in the United Arab Emirates. The Key points in the law are mentioned below;

  • End of service is due after the worker completes 1 year
  • End of service benefits must be paid within 10 days after the contract is finished or in case of termination
  • Employer must pay end of service benefits via cash or bank transfer
  • No deductions are allowed without written consent between both the parties

Legal Source: UAE Ministry of Human Resources and Emiratisation (MOHRE)

4. Eligibility Criteria for End of Service Benefits

To qualify for the end of service benefits as a domestic worker in the UAE, you need to have following parameters mentioned below;

  • Domestic worker must have completed at least 1 full year of service
  • End Of service benefits is calculated only on the basic salary mentioned in the contract
  • Allowances and bonuses or rewards are not calculated in EOSB

Exceptions (No End Of Service Benefits Applicable if):

  • The worker is terminated for misconduct (fraud, theft) during his job.
  • The worker resigns before completing 1 year without giving any notice.
  • The employer proves that the worker breached contract terms.

5. How to Calculate End of Service for Domestic Workers

To calculate end of service benefits there is very simple formula. You can also calculate by yourself with just simple steps. First you need to understand this;

  • If you have completed like 1-5 years you will get 21 days' of basic salary each year
  • If you have completed more than 5 years than 30 days' basic salary per year is counted

Formula To Calculate End Of Service Benefits For Domestic Workers

Let's understand the concept with the practical examples.

  • Suppose worker's salary: AED 1,500
  • Duration Completed: 3 Years

Calculation Results:

According to the salary and years of service here the results given below;

(21 Days x Basic Salary / 30) x Years of Service

(21 × 1500 ÷ 30) × 3 = AED 3,150

6. How To Calculate End Of Service Benefits For Domestic Workers Online

If you want simplification and don't need to calculate manually here is a simple online calculator you can use and calculate easily.

Save time with our End of Service Calculator for UAE Domestic Workers. It's 100% free and follows the 2025 law.

Try This Advance Online End Of Service Benefits Calculator For Domestic Workes in UAE With Detailed Information.

Or Use This Simple Domestic Worker EOSB Calculator

How to use:

  1. Enter your monthly salary 💰
  2. Enter years of service ⏳
  3. Click "Calculate" and get your result instantly

Your End of Service Benefits:

AED 0

7. What If Employer Terminates the Contract?

If the employer terminates the worker without prior notice or any reason then the worker is entitled to full end of service benefits according to the law. But in case the employer has some acceptable reasons then end of service benefits are not applicable. Common reasons mentioned below where no end of service benefits applicable if;

  • If the employer terminates the worker for serious misconduct during his job
  • Worker has been absent for more than 7 days or more without any notice or information
  • If the worker is caught in suspicious activities like illegal works, scams, or theft

Always ensure a termination letter is issued and signed between both parties to avoid any conflict.

8. What If the Worker Resigns?

In a case when employer didn't terminate the worker but the worker itself resigns than end of service benefits are applicable when certain conditions are met;

  • Worker has completed at least 1 year
  • Worker is not found in any illegal activity
  • Worker is not found in any theft case or misbehavior case

9. Important Key Rules to Know (Do's & Don'ts)

Here the most important key rules the both parties need to know whether to do or not to do. These rules can help both parties in a peaceful way.

Do:

  • Employer needs to pay end of service benefits within 10 days of termination
  • Employer use bank transfer or official receipt method to ensure safe transfer
  • Keep contract, salary slips, and ids copies for both parties

Don't:

  • Never Delay any payment or deduct without consent of worker
  • Assume verbal agreement is enough. There should always be governmental written agreement.
  • Force resignation to avoid payment for the worker is illegal.

10. Real-Life Example Calculations For Domestic Workers

Below are the real life examples for different jobs which can help to understand it better for both the parties.

Worker Type Monthly Salary Years Worked EOSB Payable
Maid AED 1,800 2 Years AED 2,520
Driver AED 2,000 5 Years AED 7,000
Nanny AED 2,500 7 Years AED 18,750

11. Common Mistakes By Employers To Avoid

Employers need to avoid these common mistakes which can cost them heavily if they do it in wrong way. These can also cause tension for the employers.

  • Not Paying the end of service benefits of worker within 10 days after termination
  • Calculating on total salary should include basic salary only. No allowances, bonuses or rewards
  • Firing worker within 1 year without any reason or written agreement to avoid end of service benefits
  • Deducting Workers salary illegally without any charges

Helpful Tip: Always maintain a digital record of transactions and legal documents to avoid any conflict.

Comparison With Other GCC Countries

Here is the comparison of end of service benefits for domestic workers in the United Arab Emirates with other Gulf countries like KSA, Qatar, Oman, and Kuwait etc. This table shows a comparison data.

Country End Of Service Benefits Minimum Service Required
Saudi Arabia Half salary for first 5 years & full salary thereafter 2 years
Qatar 3 weeks pay per year of job 1 year
Oman 15 days per year for first 3 years & 30 days afterward 1 year
Kuwait 15 days per year for first 5 years & 30 days afterward 1 year
Bahrain 15 days per year for first 3 years & 30 days afterward 1 year
United Arab Emirates 21 days per year for first 5 years & 30 days afterward 1 year

Mini Case Study

Let's explore it further with a case study given below. This helps workers and employers to understand better.

Case: Fatima – Domestic Helper

Fatima worked in Dubai for 6 years as a live-in maid. Her salary was AED 1,800/month.

EOS Calculation:

  • First 5 years: (21 × 1800 ÷ 30) × 5 = AED 6,300
  • 6th year: (30 × 1800 ÷ 30) = AED 1,800
  • Total EOS: AED 8,100

She received the full amount via bank transfer within 7 days of contract termination.

12. Final Thoughts

Domestic workers forms the backbone of many households in the United Arab Emirates. Fair treatment—including paying their end of service—is not just a legal duty, but a moral one.

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Frequently Asked Questions

To calculate end-of-service for a housemaid in UAE, use the same formula as other domestic workers: (21 days × basic salary ÷ 30) × years of service for 1–5 years, or (30 days × basic salary ÷ 30) × years of service for more than 5 years. For example, a housemaid with AED 1,800 basic salary and 3 years service would get (21×1800÷30)×3 = AED 3,780.

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Dubai Hustler - UAE Blog Author

👤 About the Author

I live in Dubai and help expats, travelers, and workers understand UAE rules, metro cards, visa processes, and everyday life — backed with real experiences and updated 2025 guides.