About the Gulf Salary Calculator
What is the Gulf Salary Calculator?
Gulf salaries are tax-free, but living costs there are high. This gulf salary calculator shows what you actually save in rupees each month.
It also estimates end-of-service gratuity and the pre-tax salary you would need in India to save the same.
How to use the Gulf Salary Calculator
- Country (sample: UAE (AED))
- Monthly Basic Salary (local currency) (sample: 8,000)
- Monthly Allowances – housing, transport (local currency) (sample: 6,000)
- Monthly Living Costs There (local currency) (sample: 5,000)
- Exchange Rate (₹ per unit, 0 = approximate current rate) (sample: 0)
- Remittance Cost (% of amount sent) (sample: 0.5)
- Years of Service (for gratuity) (sample: 5)
- Your Monthly Living Costs if in India (₹) (sample: 40,000)
- Press Calculate Gulf Savings (results also refresh as you type). The result card shows the Monthly Savings in INR, along with Monthly salary in INR, Savings rate, Yearly savings in INR and End-of-service gratuity.
Formula used
Savings (₹) = (Salary − Living costs) × Exchange rate × (1 − Remittance cost)
- UAE gratuity = 21 days' basic per year for the first 5 years, 30 days after that
Worked example
These are the sample values already filled in the calculator above, and the result it returns for them:
| Input | Sample value |
|---|---|
| Country | UAE (AED) |
| Monthly Basic Salary (local currency) | 8,000 |
| Monthly Allowances – housing, transport (local currency) | 6,000 |
| Monthly Living Costs There (local currency) | 5,000 |
| Exchange Rate (₹ per unit, 0 = approximate current rate) | 0 |
| Remittance Cost (% of amount sent) | 0.5 |
| Years of Service (for gratuity) | 5 |
| Your Monthly Living Costs if in India (₹) | 40,000 |
| Result | Value |
|---|---|
| Monthly Savings in INR | ₹2,14,562 |
| Monthly salary in INR | ₹3,35,440 |
| Savings rate | 64.3% |
| Yearly savings in INR | ₹25,74,742 |
| End-of-service gratuity | 28,000 AED |
| Gratuity in INR | ₹6,70,880 |
| Equivalent salary in India (gross, new regime) | ₹37,71,136 a year |
| Tax | No personal income tax in the GCC; as an NRI your Gulf salary is not taxed in India |
Tips for using the Gulf Salary Calculator
- Send money when the rate is favourable and compare exchange houses with bank apps.
- Keep savings in NRE accounts – interest is tax-free in India.