A UAE salary is usually split into basic salary and allowances, such as housing and transport. The total is what you take home each month, but the split decides many of your rights.
What uses basic salary
- End of service gratuity
- Pay for unused leave when you leave
- Overtime
What uses total salary
- Salary for days worked but not yet paid
- Pay in lieu of notice
Example
Two offers both pay AED 10,000 a month. One has a basic of AED 6,000, the other AED 4,000. After 5 years, gratuity is 105 days of basic pay: AED 21,000 on the first offer and AED 14,000 on the second. Same monthly pay, AED 7,000 difference at the end.
Before you sign
Look at the basic salary, not only the total. The law does not fix what share must be basic, so it is set by your contract.
Want the exact figure for your case?
Break down your salary