End of Service Calculator Qatar

What is end of service gratuity in Qatar?

End of service gratuity (often shortened to EOSG or simply "gratuity") is a lump sum your employer must pay when your employment in Qatar ends, provided you have worked for at least one year. It rewards length of service, and it is separate from your final salary, unused annual leave and any notice pay. For most private-sector expatriate workers it is the largest single payment they receive when they leave a job.

The entitlement comes from Article 54 of Law No. 14 of 2004 (the Labour Law), published on the State of Qatar's official legal portal, Al Meezan. The Ministry of Labour enforces it, and disputes go to the Labour Dispute Resolution Committees. Our end of service calculator for Qatar applies the Article 54 minimum and lets you raise it if your contract is more generous.

What Article 54 actually says

The rule is short, and every part of it matters for the calculation:

• Eligibility: a worker who has completed one year or more of continuous service is entitled to gratuity when the service ends.
• Amount: the parties can agree the amount in the contract, but it may not be less than three weeks' wage for each year of service.
• Part years: the worker is entitled to gratuity for fractions of a year "in proportion to the duration of employment", so 6 years and 6 months counts as 6.5 years.
• Wage basis: the last basic wage is the basis of the calculation. Housing, transport, food and other allowances are not included unless your contract says so.
• Deductions: the employer may deduct from the gratuity any amount the worker owes the employer, such as an outstanding salary advance or loan.
• Continuity: if a worker returns to the same employer within two months of leaving, the service is generally treated as continuous, except where the earlier contract ended by dismissal under Article 61.

Did the 2026 amendments change gratuity?

Qatar amended the Labour Law with Law No. 9 of 2026, published in the Official Gazette in June 2026. Law firm summaries from Clyde & Co and K&L Gates describe changes to non-compete clauses (up to two years), strikes, joint committees, dispute conciliation, vocational licensing and the exclusion of part-time and freelance workers. None of them reports a change to the Article 54 formula. The one gratuity-related change is a new summary dismissal ground: a worker who incites others to strike for illegitimate reasons, in a way that disrupts the business, can be dismissed without notice or gratuity. Several provisions still depend on ministerial decisions, so keep an eye on official announcements.

The earlier 2020 reforms (Law No. 18 of 2020), which removed the exit permit and No Objection Certificate requirements, also left the three-week minimum in place.

How the Qatar gratuity formula works

Three weeks is 21 calendar days. Because 21 ÷ 30 = 0.7, the minimum gratuity works out to 70% of one month's basic salary for each year of service. The law itself does not fix the divisor, and some employers use other conversions, so the calculator offers three methods:

The gap between methods is small, roughly 1% of the gratuity. If your contract or company policy names a method, use it. If it names nothing, ÷ 30 is the figure most HR teams and Qatar guides use, and it is also the one most favourable to the worker of the three.

Contract rates higher than the minimum

Article 54 sets a floor, not a ceiling. Many contracts, especially in banking, oil and gas services and senior roles, promise four weeks (28 days) or one month (30 days) per year. Open "Contract terms" in the calculator and change Gratuity days per year from 21 to your contract figure. The calculator will not accept less than 21, because a contract cannot reduce the statutory minimum.

Worked examples of the end of service calculation

Example 1: completed years only

This example follows the one published by HR software firm Yomly. Basic salary is QAR 5,000 and service is exactly 3 years.

1. Daily basic wage: 5,000 ÷ 30 = QAR 166.67.
2. Three weeks: 5,000 ÷ 30 × 21 = QAR 3,500.
3. Gratuity: 3,500 × 3 years = QAR 10,500.

Yomly's own article shows QAR 10,500.21 because it rounds the daily wage to 166.67 before multiplying. The calculator keeps full precision, so it shows QAR 10,500.00.

Example 2: a part year

Basic salary QAR 6,500, service 4 years and 6 months (also a Yomly example).

Example 3: a four-week contract

A reader asked Gulf Times about a contract that promised four weeks per year. He worked 5 years and 11 months, and the company offered only 3 weeks for each of the 5 full years (15 weeks). The paper's answer, based on Article 54, was that he was owed his contract rate including the part year: 5 × 4 + 4 × 11/12 = 23.67 weeks' basic salary. On a QAR 3,000 basic, that is 28 days × QAR 100 × 5.9167 years = QAR 16,566.67, against QAR 10,500 under the company's offer.

How your service period is counted

In date mode, the calculator counts from your joining date up to and including your last working day, then splits the period into completed years, months and days. For example, 1 March 2020 to 31 August 2026 is 6 years and 6 months, or 6.5 years. Leftover days are converted at 365 a year.

• Paid leave counts. Annual leave, sick leave and maternity leave are normally part of your service.
• Unpaid leave usually does not. Long unpaid absences are generally deducted from service. Enter them under "Unpaid leave days" and the calculator removes them.
• The probation period counts toward service once you stay on.
• Notice period counts if you worked it or were paid for it, because your employment continues until it ends.

Who is entitled, and who is not

Covered by Article 54

Private-sector employees under the Labour Law who complete at least one year of continuous service, whatever their nationality. It applies whether you resign, your contract expires, or the employer ends the contract with notice. Resigning does not reduce gratuity under Qatar law, which differs from some other Gulf states.

Not covered, or covered by other rules

• Qatari nationals in the private sector are enrolled in the pension scheme under the Social Insurance Law (Law No. 1 of 2022), run by the General Retirement and Social Insurance Authority. Under Article 56 of the Labour Law, where a retirement scheme gives a better benefit than the gratuity, the worker does not receive both.
• Domestic workers such as housemaids, drivers and cooks are outside the Labour Law but have their own law, Law No. 15 of 2017, which also guarantees end of service pay of at least three weeks' wages for each year of service. The calculator gives a reasonable estimate for them too.
• Government and public-sector staff, the armed forces and police, and companies set up by QatarEnergy (formerly Qatar Petroleum) are excluded from the Labour Law and follow their own regulations.
• Qatar Financial Centre (QFC) employees follow the QFC Employment Regulations, not Article 54.
• Part-time and freelance workers are excluded from the Labour Law under Law No. 9 of 2026, unless later decisions extend it to them.
• Workers with less than one year of service are not entitled to gratuity.

When gratuity can be lost

Article 61 lets an employer dismiss a worker without notice and without gratuity for listed acts of serious misconduct. These include using a false identity or forged documents, causing serious financial loss through the worker's own fault, repeatedly breaching written safety instructions after a warning, disclosing work secrets, being drunk or under the influence of drugs at work, assault during work, long unjustified absence, and a final conviction for a crime involving honour or trust. Law No. 9 of 2026 adds inciting an illegitimate strike that disrupts the business. Employers must prove these grounds properly, and a worker who believes the dismissal was unfair can file a complaint with the Ministry of Labour.

Common mistakes in gratuity calculations

• Using gross salary. Gratuity is based on the last basic wage. Including housing and transport overstates it, unless the contract defines the base more widely.
• Ignoring the part year. The law pays fractions of a year in proportion. An employer who pays only completed years is short-changing you, as in the Gulf Times case above.
• Applying the old Law No. 3 of 1962 scale. The old escalating rates no longer apply to service under the current law. For service that started before January 2005, take legal advice.
• Paying less than the contract. A contract promising four weeks or one month a year binds the employer, even though the law only requires three weeks.
• Forgetting deductions. Outstanding loans or advances may be set off. Better to know about them before your final settlement than to be surprised by them.
• Mixing up gratuity and leave pay. Unused annual leave is paid separately from the gratuity and should appear as its own line in your final settlement.

Getting your final settlement

1. Check your contract for the gratuity rate, the definition of basic salary and any pension scheme.
2. Run the calculator with your exact dates and last basic salary, then copy the breakdown.
3. Ask HR for a written settlement that shows gratuity, unused leave, final salary and any deductions as separate lines.
4. Raise a complaint with the Ministry of Labour if the gratuity is not paid or the figures are wrong. Disputes not settled amicably are referred to the Labour Dispute Resolution Committee.

If you also worked in the UAE or Kuwait, the rules differ: compare with our Kuwait indemnity calculator or the UAE leave salary calculator.

Frequently asked questions

This end of service calculator gives an estimate for information only. It is not legal advice. Your contract, company policy or a ruling by the Labour Dispute Resolution Committee may produce a different figure.

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