: Corrected: the gratuity provision is three weeks' basic pay a year in every year, and it applies to expatriates only. Qatari nationals are covered by the GRSIA pension instead, so their cost no longer includes a gratuity line.
: Corrected: Article 54 sets a flat minimum of three weeks' basic pay for every year of service. The calculator had raised it to four weeks after five years, which is the annual leave rule. Results for service beyond five years are lower.
: Re-checked: the 14% employer GRSIA rate for Qatari nationals, capped at QAR 100,000 a month, holds. Results unchanged.
: Re-checked against Qatar's Labour Law: a minimum of three weeks' basic pay per year of service after one year. Results unchanged.
Employer GRSIA, Qatari national
14%
Capped at QAR 100,000 a month
Employer GRSIA, expatriate
0%
Expats not covered
Gratuity provision, expatriate
3 weeks/yr
Legal minimum, every year
Total annual cost
QAR 254,000
Cost multiplier
1.06×
GRSIA employer rate
0%
Gross salary
QAR 240,000
GRSIA employer contribution
Expats not covered by GRSIA
QAR 0
Gratuity accrual (Article 54)
3 weeks of basic wage per year of service
QAR 14,000
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Frequently asked questions
1
What does GRSIA cost an employer in Qatar?
Employers pay 14% of the contributory wage for Qatari nationals under Social Insurance Law No. 1 of 2022, capped at QAR 100,000 a month, and the employee pays 7%. Expatriate employees are not covered by GRSIA, so the employer contribution is 0% for expat hires.
2
What is the Article 54 gratuity liability, and why should employers provision for it?
Article 54 of the Labour Law entitles an employee who leaves after at least a year to an end-of-service gratuity of not less than three weeks' basic wage for every year of service, with no cap. It's paid as a lump sum at exit, so provisioning for it each year avoids a large unbudgeted cash outflow. Three weeks is 21/30 of a month's basic wage, about 5.8% of annual basic pay.
3
Why is hiring a Qatari national more expensive on paper than an expat?
Because the employer GRSIA rate is 14% for a Qatari national, against a gratuity provision of about 5.8% of basic pay for an expatriate. On identical gross salaries, the national hire carries the larger direct payroll cost.
4
Does the gratuity accrual go up after year 5?
Not by law. Article 54 sets a single minimum of three weeks' basic wage per year, the same in every year of service. The 'four weeks after five years' rule in the Labour Law is about annual leave (Article 79), not gratuity. If your contracts promise four weeks, switch the rate in the calculator.
5
Why is there no gratuity line for a Qatari national?
Because the GRSIA pension takes its place. Article 56 says an employer whose retirement scheme gives the worker a greater benefit than the gratuity does not also owe the gratuity, so this calculator provisions GRSIA for nationals and gratuity for expatriates.
6
What isn't included in these cost figures?
Work permit and visa processing costs, mandatory health insurance (Qatar requires employer-provided health cover for all employees), recruitment fees, and Qatarization compliance considerations. This calculator focuses on the two costs that apply predictably to every hire: GRSIA employer contribution and gratuity accrual.