Oman Gratuity Calculator (end of service, 2026)
Oman gratuity for expatriate employees = at least one month of last basic wage for each year of service, with part years pro rata (Labour Law, Royal Decree 53/2023, Article 61). A new savings system, where the employer pays 9% of basic wage a month into the Social Protection Fund, will replace it for future service; its start date has not been fixed yet and must be no later than 19 July 2027, so gratuity still builds up today.
· Calculated with AiStaffo
The rules in Oman
| Law | Labour Law (Royal Decree 53/2023), Article 61; Social Protection Law (Royal Decree 52/2023) |
|---|---|
| Who is covered | Expatriate employees. Omanis are covered by the Social Protection Fund pension instead |
| Wage used | Last basic wage (housing and transport excluded) |
| Amount | At least one month's basic wage per year of service |
| Part years | Paid in proportion |
| Withholding | Only for dismissal without notice on one of the grounds in Article 40 |
| Savings system | 9% of monthly basic wage paid by the employer into the fund, replacing gratuity from its start date (not yet fixed; no later than 19 July 2027) |
Worked example
Last basic wage OMR 800 a month, 4 years and 6 months of service, all before the savings system starts: 800 × 4.5 = OMR 3,600.
When the savings system starts
From its start date, the employer pays 9% of basic wage every month into the employee's savings account at the Social Protection Fund instead of paying gratuity at the end. Gratuity already earned for service before that date is still owed by the employer. Royal Decree 60/2025 postponed the start to a date the Fund's board sets, no later than 19 July 2027.
Minimum service
The previous labour law required one year of service before gratuity was due. Whether the 2023 law keeps that minimum has not been confirmed by an official source, so check with your employer if you have served less than a year.
For employers: gratuity is one line of what a role costs
Gratuity, leave, statutory contributions and notice periods all sit on top of salary. Routine back-office roles such as data entry, follow-ups, reconciliations and reporting can be handed to AI workers that carry none of these costs. Book a free automation audit and we will put your own figures on it.
Please note: this calculator follows the published law and common practice as checked on 21 October 2026. It is a guide, not legal advice. Contracts can give more than the legal minimum, and special cases (part-time work, free zones, disputes) can change the figure, so confirm the final amount with your HR team or a lawyer before paying or accepting a settlement.
Sources
Questions people ask
How is gratuity calculated in Oman?
Is Oman gratuity paid on basic or gross salary?
What is the Oman expat savings system?
When does the savings system start?
Do I lose gratuity if I resign in Oman?
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