“My mission in life which is to bring connectivity between billion hearts and minds of the people of India in our multicultural society and to embed the self confidence that we can do it.”
Dr A P J Abdul Kalam, Thanks Giving Address to the Nation, 24 July 2007
Self confidence is not only a matter of courage. It also comes from knowing the facts. When you understand exactly what a UAE offer pays, what a long day is worth, how much leave you earn and what you are owed when the job ends, you can plan your family's money with a straight face and ask your questions without feeling small. This guide walks through the pay rules for a worker in a UAE private-sector job, in plain words.
Sources: Federal Decree-Law No. 33 of 2021 on the Regulation of Employment Relationships, English text published on u.ae (Articles 17, 19, 29 and 51); UAE Government portal u.ae, Working hours and overtime, updated 12 August 2026. Checked October 2026.
Basic salary and allowances: read the split
Most offers show one big monthly figure. Behind it sit two kinds of money, and the law treats them differently.
The basic wage is the wage written in your employment contract, paid monthly, weekly, daily, hourly or by piece. By the law's own definition it does not include any other allowance or benefit in kind. Allowances are the extra parts: housing, transport, food and similar items. A benefit in kind is something given to you instead of cash, such as a bed in a company camp. The word wage in the wider sense means the basic wage plus the cash allowances and benefits in kind that the contract gives you.
When you read an offer, look for the line that says “basic” and the line or lines that say “allowances”. If the offer shows only one total, ask in writing how much of it is basic.
Why the basic is the number that matters most
Two offers can both say the same total and still be worth very different amounts. The reason is that several important payments are worked out on the basic wage alone, not on the total. Overtime is one. End-of-service gratuity is another. Payment for annual leave you have not used when the job ends is a third.
So a high total with a low basic means a smaller overtime rate and a smaller gratuity at the end. The monthly take-home looks the same on payday, but the extras that build up over the years are lower. Allowances are not wrong, and they do reach your pocket every month. The point is to know the split, so you can compare two offers fairly.
| Paid on basic wage only | Depends on the full contract wage | |
|---|---|---|
| Overtime pay | Yes. The hourly rate starts from your basic salary | Allowances are not the base for the rate |
| Work on your weekly day off | Yes. Normal pay is worked out on basic salary | Allowances are not the base for the rate |
| End-of-service gratuity | Yes. Calculated on the basic wage | Allowances are not counted |
| Payment for unused annual leave | Yes. Calculated on basic salary | Allowances are not counted |
| Your monthly take-home | Only the basic part of it | Basic plus allowances, as in your contract |
Normal hours and overtime
In the private sector a normal working day is 8 hours, or 48 hours in a week. During Ramadan, working hours are reduced by 2 hours a day. Anything an employer asks of you beyond the normal hours is overtime.
Overtime has limits. An employer may ask for no more than two hours of overtime a day, and your total working hours must not go above 144 hours in every three weeks.
The pay rules for the different situations are below. In every case the hourly pay is based on your basic salary, which is why the basic matters.
- Overtime on an ordinary day. Your normal hourly pay plus 25%.
- Overtime between 10 pm and 4 am. Your normal hourly pay plus 50%. This extra rate does not apply to shift workers, so ask whether your role is shift work.
- Work on your weekly day off. Either a substitute rest day, or normal pay plus 50%.
Ask for the overtime rules in writing before you accept: how overtime is recorded, who approves it and how it appears on your payslip.
The weekly day off and annual leave
You are entitled to at least one paid day off every week, as set out in your contract or the company's work regulations. Check which day it is. If you are asked to work on it, the rule above applies: a substitute rest day or pay at the higher rate.
Annual leave is paid. You earn at least 30 days with full pay for each year of service. If you have worked more than six months but less than a year, you earn 2 days for each month. If your service ends before you have taken your leave, you are entitled to leave, or payment, for the part of the last year you worked. Payment for unused leave is calculated on your basic salary.
Read what your contract says about how leave is scheduled and about air tickets for going home. Those terms come from the contract, not from a general rule, so find the sentence in your own offer and keep a copy.
End-of-service gratuity
Gratuity is a lump sum paid when a job ends, as a reward for your years of service. For a foreign full-time worker who completes one year or more of continuous service, it is worked out on the basic wage:
- 21 days' wage for each of the first five years of service.
- 30 days' wage for each year after that.
- Part of a year counts in proportion, once you have completed one year.
- Unpaid absence days are not counted as service.
- The ceiling: the total must not exceed two years' wage.
Here is an illustration of the arithmetic only, not a promise of any figure. Suppose a basic wage is AED 1,500 a month. On a 30-day month, that is AED 50 for each day. Twenty-one days of that basic wage is AED 1,050, so each of the first five years of service adds AED 1,050 to the gratuity. Your own figures depend on your own contract and how long you stay.
Deductions and where to complain
Your employer must pay wages on their due dates, in line with the regulations approved by the Ministry. Nothing may be deducted or withheld from your wages except in the cases the law lists. One example is repaying a loan the employer gave you, and even then only with your written consent, without interest and within a monthly limit. If your payslip shows a deduction you do not understand, ask what it is for and keep the answer.
If something goes wrong, the Ministry of Human Resources and Emiratisation (MoHRE) receives complaints through its call centre on 600590000, its website and its app. Workers are exempt from paying litigation fees for claims under AED 100,000. Keep your contract, offer letter, payslips and record of hours together, because they are your evidence.
If you are weighing a lower offer, read accepting a lower salary in Dubai first. See also getting a job offer before you travel and your first month working abroad.
Where Disha fits, honestly
Disha Global Workforce recruits candidates aged 20 to 41 with Non-ECR passports and a minimum qualification of 10+2, for the countries we actually serve in the Gulf, Southeast Asia and parts of Europe. We work under the authorisation of a licensed Recruiting Agent.
What we can honestly do on this topic is show you the written terms of an opening before you decide, including the basic wage, the allowances, the hours and the overtime rules, so that you can read them against this guide. What we cannot do is set the pay. The salary and the contract are the employer's, and the final terms are the employer's decision. We cannot settle a pay dispute after you start work either, because that goes to the authorities named above. If we have nothing suitable open, we will say so.
Want to read an offer with someone?
Send us the offer you have, or tell us the trade you work in. We will explain the split between basic and allowances, and tell you plainly which UAE openings, if any, fit.
Frequently asked questions
What is basic salary in a UAE job offer?
Basic salary is the wage stated in your employment contract, paid monthly, weekly, daily, hourly or by piece. It does not include allowances or benefits in kind. Overtime, end-of-service gratuity and payment for unused leave are worked out on it, so ask for it to be shown as its own line.
How is overtime paid in the UAE private sector?
Overtime is your normal hourly pay, based on basic salary, plus 25%. Between 10 pm and 4 am it is plus 50%, though that extra rate does not apply to shift workers. An employer may ask for no more than two hours of overtime a day, within 144 hours every three weeks.
How many days of paid leave do I get each year?
The law gives at least 30 days with full pay for each year of service. If you have served more than six months but less than a year, you earn 2 days for each month. If service ends before you use your leave, you are entitled to leave for the part of the year worked.
How is end-of-service gratuity calculated?
For a foreign full-time worker with one year or more of continuous service, gratuity is worked out on the basic wage: 21 days for each of the first five years and 30 days for each year after. Parts of a year count in proportion. Unpaid absence is not counted, and the total cannot exceed two years' wage.
Where can I complain if my employer does not pay me correctly?
The Ministry of Human Resources and Emiratisation receives complaints through its call centre on 600590000, its website and its app. Workers are exempt from litigation fees for claims under AED 100,000. Keep your contract, payslips and a record of your hours, because they will support your claim.
This article describes the main UAE private-sector pay rules for foreign workers as they stood on 9 October 2026 and is general information, not legal advice. Your contract may give you more than the law requires, and rules can change, so confirm the current position with the Ministry of Human Resources and Emiratisation or the UAE Government portal before you make a decision.