GCC gratuity calculator

Free tool · End of service

Bahrain Gratuity Calculator (2026): End of Service Benefits

Calculate your end-of-service gratuity in Bahrain under Bahrain Labour Law No. 36 of 2012, Article 116 + Edict 109 of 2023 - which salary counts, what resigning changes, the cap, and a worked example.

Quick answer

Gratuity in Bahrain is Half a month's wage per year (years 1-3), then One month's wage per year (after year 3). Your last basic wage plus social allowance. Example: BHD 700 for 6 years = BHD 3,150.

Calculate your gratuity

Your last basic wage plus social allowance.

How did the job end?

Estimated gratuity

BHD 3,150

  • Half a month's wage per year (years 1-3) × 3BHD 1,050
  • One month's wage per year (after year 3) × 3BHD 2,100

Estimate only - your contract, unpaid leave and deductions can change the final figure. Confirm with your employer or the labour ministry.

How gratuity is calculated in Bahrain

How gratuity is calculated in Bahrain
Service periodAward
0-3Half a month's wage per year (years 1-3)
3+One month's wage per year (after year 3)
Salary used
Your last basic wage plus social allowance.
Minimum service
None - pro-rata from day one
Maximum award
No cap
When it's paid
Service from 1 March 2024 is paid by the SIO (social insurance), usually within about a week of your claim; earlier service is paid by the employer.
Law
Bahrain Labour Law No. 36 of 2012, Article 116 + Edict 109 of 2023

If you resign

Full award - resignation does not reduce it.

Worked example

Salary used for gratuity BHD 700, 6 years of service, contract ended by the employer:

  • Half a month's wage per year (years 1-3) × 3BHD 1,050
  • One month's wage per year (after year 3) × 3BHD 2,100
  • Total gratuityBHD 3,150

Rules worth knowing

  • Since 1 March 2024 employers pay a monthly contribution for expatriates (4.2% of wages for the first 3 years, 8.4% after) into the SIO, which pays the gratuity directly - so the money is safe even if the employer closes.
  • The calculator shows your total entitlement under the formula; the SIO and your employer split who pays which part.

Frequently asked questions

How is gratuity calculated in Bahrain?

Under Bahrain Labour Law No. 36 of 2012, Article 116 + Edict 109 of 2023: Half a month's wage per year (years 1-3), then One month's wage per year (after year 3). Your last basic wage plus social allowance.

How much gratuity for 6 years on a BHD 700 salary?

About BHD 3,150 when the contract ends or the employer terminates it, using the formula above.

Do I get gratuity if I resign in Bahrain?

Yes - the full award is paid on resignation.

What is the minimum service to qualify for gratuity?

There is no minimum when the contract ends - the award is calculated pro-rata on your actual service.

Is there a maximum gratuity amount?

The law sets no cap on the award.

When must the gratuity be paid?

Service from 1 March 2024 is paid by the SIO (social insurance), usually within about a week of your claim; earlier service is paid by the employer.

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