Leave Encashment Calculator for India and UAE, on Exit or at Year-End
A leave encashment calculator prices each unused earned-leave day at the employee's daily basic rate and adds them into one payout figure. Compute leave encashment on exit or year-end. India = per-day basic × accrued leave days. UAE = per-day basic × accrued leave per Labour Law. Free, instant.
Leave encashment calculator in brief
Leave encashment calculator figures from WappBlaster rest on a per-day basic rate: monthly basic divided by 26 in India, where Sundays drop out of the working-day model, or by 30 in the UAE, where Labour Law counts calendar days. That daily rate is multiplied by unused earned leave to give the cash due at separation or, where company policy allows, at year-end. For Indian private-sector staff, the Finance Act 2023 raised the lifetime tax exemption on encashment from ₹3 lakh to ₹25 lakh, so most exit payouts stay untaxed. UAE employees accrue 30 calendar days of paid leave a year once their first year is complete, and any balance left on exit joins gratuity in the final settlement. Casual and sick leave generally lapse rather than convert. The free WappBlaster payroll tool needs only jurisdiction, basic and leave balance, and returns both the daily rate and the total so each step can be checked.
What is a leave encashment calculator?
A leave encashment calculator is a tool that converts unused earned leave into a cash amount by multiplying a per-day basic wage by the leave days still due.
WappBlaster made this leave encashment calculator free for India and the UAE, using a 26-day divisor for Indian pay and a 30-day divisor for UAE pay.
The tool shows the per-day basic it used, so the divisor is never hidden.
Year-end and exit encashment use the same formula on this page.
Enter leave days that are already net of any carry-forward cap your company applies.
Leave encashment calculator benefits
Exit settlement check
An employee serving notice can see roughly what unused earned leave should add to the final payout.
India and UAE modes
Payroll staff handling both countries switch the jurisdiction and the divisor changes with it.
Per-day rate on display
The daily basic figure appears with the total, which makes errors in the monthly basic easy to spot.
Pairs with gratuity
UAE final settlements need both numbers, and the gratuity calculator sits one link away.
Leave Encashment Calculator: how it works
Leave encashment converts accrued unused earned leave into a cash payment, either at year-end (if policy permits) or at separation. India: per-day basic × accrued leave days, governed by state shops-and-establishment acts and company policy. UAE: per-day basic × accrued leave days under the UAE Labour Law (30 calendar days per year accrual).
Picks Indian or UAE rules, which changes the per-day divisor.
The country of your employment contract.
Monthly basic
Basic wage per month; in India this usually includes DA for statutory sums.
Your payslip or the pay section of the employment contract.
Accrued leave days
Earned leave you have built up and not taken.
The leave balance in your HR portal or the leave register kept by HR.
Leave encashment calculator limits: when it is not enough
Casual and sick leave usually lapse, so adding them to the day count will overstate what is owed.
Company policy can pay more than the statute, and tax exemption depends on your sector; for a disputed final settlement, ask an accountant to review the figures.
Leave Encashment Calculator FAQ
Is leave encashment on exit mandatory in India?
Yes for earned leave (EL) under most state shops-and-establishment acts. Casual and sick leave typically lapse and are not encashed by default. Policy can be more generous than statute.
Government employees: fully exempt. Private-sector salaried: exempt up to Rs. 25 lakh lifetime cap (raised from Rs. 3 lakh in Finance Act 2023). Excess taxable as 'income from salary'.
UAE Labour Law mandates 30 calendar days of paid annual leave after one year of service. Accrued unused leave is encashable on exit at per-day basic. Some contracts pay leave salary annually; others accrue to exit.
India: 26 (excludes Sundays in the working-day model). UAE: 30 (calendar-day basis under Labour Law). Confirm per company policy if it differs from the default.
Basic wage as defined in the employment contract, India typically includes Dearness Allowance for statutory calculations; UAE typically excludes allowances. Confirm against your contract.
The calculator uses the leave-days you input; ensure that figure is already net of any company carry-forward cap. WappBlaster Leave module enforces caps automatically and produces an audit-grade balance per employee.
Divide monthly basic by 26 for India, then multiply by 25. With the page's sample basic of ₹30000, the daily rate is ₹1154 and the amount payable is ₹28846.
What is the best leave encashment calculator for a UAE final settlement?
Use one that applies the 30-day calendar divisor and sits beside a gratuity tool, because UAE final pay needs both numbers. WappBlaster's UAE mode works that way, with the gratuity calculator a single link away.