Home › Bahrain › End of Service Calculator
Bahrain End of Service Calculator 2026
Bahrain’s gratuity follows Article 116 of Law No. 36 of 2012 — but since 1 March 2024 (Edict 109/2023), who pays you split in two. Enter your dates below and the calculator accrues your gratuity under the Article 116 formula, then splits it: pre–March 2024 → claim from employer, post–March 2024 → claim from SIO.
Calculate your Bahrain gratuity ESTIMATE ONLY
How it works: accrual = ½ month’s wage per year for the first 3 years of service, then 1 month’s wage per year after (fractions prorated by days ÷ 365). Service before 1 March 2024 accrues as an employer claim; service from that date as an SIO claim. No cap, no resignation reduction.
TEST CASES (hand-verified 2026-10-09): (650, 2020-09-01→2026-02-28): total 2597.33 = pre 1299.11 (employer) + post 1298.22 (SIO); all-post (650, 2024-06-01→2026-06-01): total 1300.00 all SIO; all-pre (650, 2020-01-01→2022-01-01): total 650.00 all employer; (1000, 2022-01-01→2027-01-01): pre 1500.00, post 2500.00
The formula: Article 116
| Service period | What you earn |
|---|---|
| Each of the first 3 years | ½ month’s wage per year |
| Each year from year 4 | 1 full month’s wage per year |
Wage basis: basic wage plus social allowance, if any. No cap. No reduction for resignation — the statute makes no distinction by mode of separation, whatever some websites claim.
The March 2024 split — who pays what
Under Edict 109/2023, your employer now pays the SIO 4.2% of monthly wages (service years 1–3) and 8.4% (year 4+) every month. The formula itself didn’t change — the funding did. So:
- Service before 1 March 2024 → claim the accrued amount from your employer (the old lump-sum rule).
- Service from 1 March 2024 → claim from the SIO (register your bank details with them).
Open question: if your wages rose after March 2024, SIO contributions may undershoot the final formula — whether the employer owes the difference is unresolved (“further regulations expected”). Watch this space.
Worked example
Monthly wage: BHD 650 (600 basic + 50 social) · Service: 1 Sep 2020 – 28 Feb 2026 (5.50 yrs)
- First 3 years: 3 × 0.5 × 650 = BHD 975
- Years 4–5.5: 2.5 × 650 = BHD 1,625
- Total = BHD 2,600 (rounded year fractions; the tool uses exact days)
- Pre–1 Mar 2024 (3.5 yrs): (3 × 0.5 + 0.5) × 650 = BHD 1,300 → employer
- Post–1 Mar 2024 (2 yrs): 2 × 650 = BHD 1,300 → SIO
Frequently asked questions
How do I calculate Bahrain end-of-service gratuity?
Under Article 116: half a month’s wage per year for the first 3 years, then one full month’s wage per year after that, on basic wage plus social allowance. Then split the total: service before 1 March 2024 is claimed from your employer, service from that date from the SIO.
How do I claim Bahrain gratuity from SIO?
Register your bank details with the Social Insurance Organization (SIO). Post–1 March 2024 service is funded by your employer’s monthly contributions (4.2% for years 1–3, 8.4% from year 4) and claimed from the SIO at exit.
What if my service spans before and after March 2024?
Split it. Accrual for service up to 1 March 2024 is claimed from your employer; accrual after that date from the SIO. The calculator on this page does the split automatically from your start and end dates.
Does quitting reduce Bahrain gratuity?
No. Article 116 makes no distinction by mode of separation — resignation, termination and expiry all pay the full formula.
Is there a cap on Bahrain gratuity?
No statutory cap was found in Article 116 or the SIO guidance. Some websites claim a one-year minimum service; no statutory basis was found for that either.
Related: Bahrain hub · compare all six Gulf countries · Oman calculator
AFFILIATE PLACEHOLDER: "Recommended services" section goes here once affiliate relationships exist. No affiliate links yet — do not invent any.