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End of Service Calculator — Sultanate of Oman 🇴🇲

Results are indicative — depends on nationality, applicable system and contract terms

End of service gratuity in Oman varies by nationality (Omani or expatriate), applicable system (Labor Law or SPF), years of service, and employment contract terms. This calculator provides an initial estimate and is not a definitive legal calculation.

📖 End of Service Gratuity — Updated Omani Labor Law

Article 61 of the Updated Oman Labour Law:
Workers not covered by the Social Protection Law are entitled to a gratuity of no less than one full basic monthly salary per year of service, with partial years calculated proportionally.

Service PeriodNew Law (Minimum)Old Law (Reference)
Less than 1 yearPro-ratedNot entitled
1 to 5 years1 month / year15–20 days / year
Over 5 years1 month / year (minimum)30 days / year ≈ 1.15 months

💡 Note: For service over 5 years, the old system (30 days ÷ 26 = 1.15 months/year) may exceed the new minimum. Check your individual contract.

⚠️ These figures are indicative — for official calculations consult the Ministry of Labour or Social Protection Fund or a specialist lawyer | Last updated: August 2026

🧮 Calculation Example — How is gratuity calculated?

Expat employee, basic salary OMR 400, service period 5 years and 6 months (= 5.5 years)

Basic salaryOMR 400 / month
Service period5 years and 6 months (5.5)
Formula (Article 61)400 × 5.5 = OMR 2,200
Total GratuityOMR 2,200

Per Article 61 of Oman Labor Law: one full month's basic salary per year of service, with fractions calculated proportionally. 6 months = 0.5 additional months' salary.

📊 End of Service Gratuity Table — Expat (Article 61)

Formula: Basic salary × years of service (fractions pro-rated)

Basic Salary 1 Year 2 Years 3 Years 5 Years 10 Years 15 Years 20 Years
OMR 3003006009001,5003,0004,5006,000
OMR 4004008001,2002,0004,0006,0008,000
OMR 5005001,0001,5002,5005,0007,50010,000
OMR 7007001,4002,1003,5007,00010,50014,000
OMR 1,0001,0002,0003,0005,00010,00015,00020,000
OMR 1,5001,5003,0004,5007,50015,00022,50030,000
OMR 2,0002,0004,0006,00010,00020,00030,00040,000

Amounts in Omani Riyals (OMR) — indicative, based on Article 61 minimum

❓ Frequently Asked Questions

Source: Article 61, Omani Labor Law | Content last updated: August 2026

What is the difference between the new and old system?

Old system: 15 days for years 1–3, 20 days for years 3–5, 30 days after 5 years (calculated from daily rate = basic÷26). New system (Article 61): minimum is one full month's salary per year with fractions pro-rated. The higher amount applies per the employment contract and applicable system.

Am I entitled to gratuity if I worked less than one year?

Under the updated Omani Labor Law (Article 61), fractions of a year are calculated proportionally. An employee who completed 6 months is entitled to 0.5 months' salary.

Is an expatriate entitled to end of service gratuity?

Yes. Oman's Labor Law applies to both Omani nationals and expatriates. Expatriate employees are entitled to end of service gratuity under the stated provisions, and also have an SPF savings program funded by the employer.

Are allowances included in the gratuity calculation?

Under labor law, gratuity is calculated on basic salary only. Some companies include allowances in the individual contract and use them in the calculation — check your contract to confirm.

What is the difference in end of service between Omani nationals and expatriates?

For Omanis: end of service is managed through the SPF savings program with employer contributions of 11.5% monthly. For expatriates: calculated under Article 61 (minimum one month's salary per year of service).

When must end of service gratuity be paid?

Under Article 91 of Oman's Labor Law, the employer must pay the employee's wages and all entitlements upon termination of employment. If the employee leaves voluntarily, entitlements must be paid within 7 days of the leaving date. In case of delay, the employee can file a complaint with the Ministry of Labour.

Is gratuity paid in case of resignation?

Entitlements differ based on the reason for termination, the applicable legal system, and the employment contract. Specific circumstances may affect the entitlement. Check your contract and consult a specialist lawyer to confirm.

What is the minimum service period to claim gratuity?

End of service gratuity is calculated per the provisions applicable to the employee, their contract, and the prevailing legal system. Do not use the 3-year rule as a general rule; entitlements may differ based on the termination reason and applicable system.

Am I entitled to full gratuity if I resign?

Under the updated Article 61, gratuity is calculated proportionally for each year of service whether termination is employee- or employer-initiated. In case of disciplinary dismissal under Article 40, gratuity may be forfeited in whole or in part. Consult a specialist lawyer for your specific situation.

How is gratuity calculated for a partial year?

Under Article 61, fractions are pro-rated: 6 months = 0.5 month of basic salary. Example: expat employee with OMR 400 basic salary and 5 years and 6 months service: 400 × 5.5 = OMR 2,200.

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Oman End of Service Gratuity — How It's Calculated

Under Article 61 of Oman's Labour Law (Royal Decree 53/2023), eligible employees not covered by the Social Protection Fund (SPF) receive at least one basic wage for each year of service, with partial years calculated proportionally. Omani nationals enrolled in SPF have their end-of-service managed through that programme instead; the Article 61 formula applies primarily to expatriate employees and Omanis not covered by SPF.

Key factors affecting the calculation

  • Gratuity is based on basic salary only — housing allowance, transport and other benefits are excluded unless the employment contract specifies otherwise
  • Partial years are pro-rated — 6 months of service = 0.5 months' gratuity
  • Omani nationals enrolled in SPF may have different entitlements — check with your employer or the SPF directly

Disclaimer

Results are indicative and based on the minimum statutory provisions under Article 61. Individual contracts may include better terms. For definitive figures, consult your employer's HR department or the Ministry of Labour.

Common End-of-Service Scenarios in Oman

Scenario 1 — Expat resigning after 3 years, OMR 500 basic salary
Gratuity = 500 × 3 = OMR 1,500
Scenario 2 — Expat completing 7 years and 4 months, OMR 350 basic
Service = 7.33 years | Gratuity = 350 × 7.33 = OMR 2,567
Scenario 3 — Expat with 10 years service, OMR 800 basic salary
Gratuity = 800 × 10 = OMR 8,000
Scenario 4 — Expat worked 8 months only, OMR 300 basic
Service = 0.67 years | Gratuity = 300 × 0.67 = OMR 200 (fractions are pro-rated under Article 61)

Enter your own salary and dates in the calculator above for your exact figure. For your net take-home pay, use the Salary Calculator. Plan ahead with the Loan Calculator.