Enter a basic salary and the hours worked. The calculator applies the correct statutory premium for daytime, night, and rest-day overtime, and adjusts the threshold during Ramadan.
This calculator is provided for general guidance and estimation only. It applies statutory minimum formulas and does not constitute legal, tax, financial, or accounting advice. Statutory rates, ceilings, thresholds, and formulas are amended periodically in every GCC market, and your contract, entity, jurisdiction, and individual circumstances all change the outcome. Always cross-check any figure independently against the current law and your signed employment contract, and obtain advice from a qualified legal or payroll professional before acting on, communicating, paying, or relying on any amount shown here. AmalOps accepts no liability for any loss, claim, or dispute arising from use of this tool or reliance on its output.
Overtime is the most frequently miscalculated element of UAE payroll, and the reason is that three separate decisions are involved: what counts as overtime, what salary base the premium applies to, and what limits apply.
Under Federal Decree-Law 33/2021, the baseline overtime premium is 25% above the normal hourly wage. Where overtime falls between 10pm and 4am, the premium increases to 50%. Work performed on a designated rest day entitles the employee either to a substitute rest day or to a premium of 50%.
The hourly rate is derived by dividing the monthly wage by 30 days and then by the standard daily hours. The calculator uses 8 hours normally and 6 during Ramadan, which is why the same hours produce a higher figure in Ramadan: contracted hours fall while monthly salary does not, so the derived hourly rate rises.
This is where most errors originate. The statutory reference is the employee’s wage as defined in law, and organisations differ on whether that means basic salary only or a broader base. Because basic salary is often around half of a GCC package, the choice can change the cost by a factor of two. Whatever position you take, it must match the contract and be applied consistently across the workforce.
The law limits total working time including overtime, and exceeding the cap is a breach regardless of whether the employee consented or was paid correctly. Caps should be enforced at the approval step rather than reported after payment. For the full treatment, see our guide to overtime under UAE labour law.
AmalOps applies named overtime rules per employee group, enforces daily caps at approval, and switches Ramadan hours automatically as a calendar event.
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