Bahrain gratuity calculator (2026)
Half a month of pay for each of the first three years and one month for each year after. For service since 1 March 2024 this accrues as employer contributions of 4.2% then 8.4% of monthly pay, paid out by the SIO.
Source: Labour Law No. 36 of 2012 and Resolution No. 109 of 2023 (SIO end-of-service system) · rule last reviewed 2026-10-23
Since 1 March 2024 the employer pays monthly contributions on your full remuneration (basic plus allowances) to the Social Insurance Organization, which pays the gratuity.
Worked examples
For a monthly wage of BHD 800 (an example figure, not a salary benchmark).
| Service | Contract ends | You resign |
|---|---|---|
| 1 year | BHD 400 | BHD 400 |
| 3 years | BHD 1,200 | BHD 1,200 |
| 5 years | BHD 2,800 | BHD 2,800 |
| 7 years | BHD 4,400 | BHD 4,400 |
| 10 years | BHD 6,800 | BHD 6,800 |
| 15 years | BHD 10,800 | BHD 10,800 |
What else to know
- · Service before 1 March 2024 is still paid by the employer directly, on the old basis.
- · Bahraini nationals are covered by the social insurance pension instead.
Official source to check: Social Insurance Organization (SIO).
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Find roles that fit me — free →Questions, answered
- How is end-of-service gratuity calculated in Bahrain?
- Half a month of pay for each of the first three years and one month for each year after. For service since 1 March 2024 this accrues as employer contributions of 4.2% then 8.4% of monthly pay, paid out by the SIO. (Labour Law No. 36 of 2012 and Resolution No. 109 of 2023 (SIO end-of-service system).)
- Is Bahrain gratuity based on basic salary or total salary?
- Since 1 March 2024 the employer pays monthly contributions on your full remuneration (basic plus allowances) to the Social Insurance Organization, which pays the gratuity.
- Do I lose my gratuity if I resign in Bahrain?
- The law we cite sets the same accrual whether you resign or the contract ends. Check your contract for anything more generous.
- Is there a maximum gratuity in Bahrain?
- The law we cite sets no cap on the award.
- Is this calculator legal advice?
- No. It applies the published rule to the numbers you enter. Contracts can be more generous, and some employers (free zones, government, some sectors) follow other rules. Check with Social Insurance Organization (SIO) for your case.