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Oman gratuity calculator (2026)

End-of-service gratuity under Royal Decree 53/2023, with the transitional split

Oman's Labour Law changed on 31 July 2023. Service before that date accrues under the old law at half a month's basic wage per year for the first three years and one full month per year thereafter; service from 31 July 2023 onward accrues at one full basic month per year. A correct calculation splits your service at the cutover and adds the two parts, both on your last basic wage.
Rules last reviewed: 14 June 2026 · Savings-fund start deferred to July 2027
How it's calculated

Who are you calculating for?

Basic wage only, as of your last month. Allowances are excluded unless your contract defines them as basic.

Frequently asked questions

How is gratuity calculated in Oman now?

Service is split at 31 July 2023. Time before that date earns half a month's basic wage per year for the first three years and a full month per year after; time from that date earns a full basic month per year. Both parts use your last basic wage, and the two are added together.

Why split the service at a date?

Royal Decree 53/2023 took effect on 31 July 2023 and raised the rate to one full month per year. The Ministry of Labour confirmed that earlier service keeps the old half-month rate, so applying the new rate to your whole tenure overstates the gratuity.

Is the gratuity being replaced by a savings fund?

Eventually. A savings scheme with a 9% employer contribution for expatriates was due in 2026 but has been deferred to 19 July 2027. Until it starts, the Article 61 lump-sum gratuity applies in full.

Does resignation reduce my gratuity?

No. Under the new law, resignation and termination earn the same gratuity. It is lost only on disciplinary dismissal.

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This tool estimates the Article 61 gratuity with the 31 July 2023 transitional split, on your last basic wage. The expatriate savings fund that will replace gratuity has been deferred to 19 July 2027, so lump-sum gratuity still applies. Final settlement may differ. This is not legal advice.

Source: Ministry of Labour, Oman