Free tool
UAE employee cost calculator
See the true cost of hiring an employee in the UAE, beyond the headline salary. Adjust the add-ons to match your situation and get a loaded monthly and annual figure, with the full breakdown.
Add-on costs (AED / month, editable)
One-off visa/medical/Emirates ID, spread over 2 years
Mandatory cover, per month
Sourcing cost, amortised
% of salary
For deployed roles; 0 if none
For deployed roles; 0 if none
True monthly cost
AED 5,283
AED 63,398 per year · about 1.32x the salary
- Base salary
- AED 4,000
- Gratuity accrual (21 days/yr)
- AED 233
- Visa & immigration (amortised)
- AED 250
- Medical insurance
- AED 170
- WPS & payroll admin
- AED 30
- Recruitment (amortised)
- AED 200
- Management & HR overhead
- AED 400
With tamdeed, costs like these become one predictable, itemised monthly figure.
What goes into the cost of a UAE hire
Employing someone in the UAE carries more than the salary line. The main additional categories are:
- Visa and immigration: entry permit, medical, Emirates ID, labour card, and work-permit fees, usually spread over a two-year visa.
- Medical insurance: mandatory cover for the employee.
- End-of-service gratuity: accrued monthly rather than paid as a surprise lump sum.
- WPS and payroll: paying salaries through the Wage Protection System and running payroll.
- Recruitment and management overhead: the cost of sourcing and of the people and systems that manage the workforce.
- Accommodation and transport: significant for many deployed and blue-collar roles.
For the detail behind each line, see our guide on the true cost of hiring an employee in the UAE and what a bundled manpower rate contains. For the loaded-cost model behind this tool, see our UAE employment cost benchmark.
Frequently asked questions
What is the true cost of hiring an employee in the UAE?
The headline salary is only part of it. A UAE employer also carries visa and immigration costs, mandatory medical insurance, end-of-service gratuity accrual, WPS and payroll administration, recruitment, and management overhead, plus accommodation and transport for many deployed roles. Loaded together, the real monthly cost is typically well above the base salary.
How is end-of-service gratuity treated as a cost?
Gratuity accrues at 21 days of basic wage per year for the first five years, so a prudent employer sets aside roughly 5.8% of pay each month rather than facing a lump sum at the end. This calculator includes that accrual by default.
Are the default figures a quote?
No. The add-on defaults are typical, editable placeholders to illustrate the categories. Actual costs vary by role, nationality, salary band, and provider. For a real, itemised figure, request a quote from tamdeed.
This tool provides an illustrative estimate only. The default add-on values are typical placeholders, not quotes, and actual costs vary by role, salary, nationality, and provider. It is not legal, tax, or financial advice. For an itemised figure, request a quote from tamdeed.