How much annual leave you earn
Annual leave for private-sector employees is set by Article 29 of Federal Decree-Law No. 33 of 2021:
- First 6 months: no paid annual leave is earned yet.
- From 6 months to 1 year: 2 days for each month of service. Someone who has worked 8 months has earned 16 days.
- After 1 year: at least 30 days a year, with full pay. If you leave part-way through a year, you earn leave for that part in proportion.
Unpaid leave and absence do not count as service. Part-time employees earn leave in proportion to their hours, with a minimum of 5 working days a year.
Two different leave payments
“Leave salary” is used for two different things, and they are calculated on different salaries:
- Pay while you are on leave is your full wage — basic salary plus allowances — because the law entitles you to your wage for the leave period. On a total salary of AED 18,000, 30 days of leave pays AED 18,000.00.
- Cash for unused leave when you leave the job is calculated on basic salary only (Article 29(9) and Article 19(2) of the Executive Regulations), at basic ÷ 30 per day.
Worked example: leaving with unused leave
An employee on AED 12,000 basic (AED 18,000 in total) worked from 1 January 2024 to 14 March 2026 — 2 years and 73 days — and took 48 days of leave along the way.
- Leave earned: 30 days × 2 years, plus 73/365 of 30 days = 66 days.
- Unused: 66 − 48 = 18 days.
- Cash on basic salary: 12,000 ÷ 30 × 18 = AED 7,200.00.
Had it been worked out on total salary instead, it would have been AED 10,800.00 — which is why it is worth knowing which figure your employer is using. The law says basic; a contract can be more generous.
Carrying leave forward and taking cash
- With your employer's approval, up to half of a year's leave can be carried into the next year.
- During employment, you and your employer can agree that you take cash instead of leave, paid at your salary at that time.
- Your employer cannot stop you from taking your leave for more than two years, unless you chose to carry it forward or be paid for it.
Unused leave is paid with the rest of your final settlement, within 14 days of your last day. See also the gratuity calculator.
What this calculator does not cover
DIFC and ADGM have their own employment laws with different leave rules, and your contract may give you more leave than the legal minimum. The calculator counts leave days as calendar days, which is how most employers apply the 30-day entitlement; the law does not say this expressly. See our disclaimer.