Native UAE payroll
UAE payroll, WPS-ready.
No income tax for most employees. GPSSA social insurance for UAE nationals, end-of-service gratuity accrued correctly, and the WPS Salary Information File generated for upload to your bank.
- ✓ No income tax (correctly)
- ✓ GPSSA for nationals
- ✓ WPS Salary Information File
United Arab Emirates payroll
What United Arab Emirates payroll actually has to do
The tax authority is MOHRE. Currency is AED. Wage Protection System — salary files generated and ready for your bank.
- No personal income tax
- The UAE does not levy personal income tax — for the vast majority of employees, the payslip has no income tax deduction at all.
- GPSSA — for UAE nationals only
- UAE and GCC nationals are enrolled in the General Pension and Social Security Authority scheme. Mellow applies the correct employee and employer rates — including the higher Abu Dhabi employer rate where it applies.
- End-of-service gratuity
- 21 days of pay accrued per year for each of the first five years of service, and 30 days per year after that — tracked as a liability on every pay run.
- Wage Protection System (WPS)
- Mellow generates the Salary Information File (SIF) ready for upload to your bank's WPS portal — the mandatory electronic-salary system.
United Arab Emirates payroll — questions answered
Quick, honest answers — also exposed as structured data so AI search engines can read them.
- Is there income tax in the UAE?
- No — the UAE does not levy personal income tax on employees. The only social contribution is GPSSA, and it applies only to UAE and GCC nationals — expatriate employees have no income-tax or social-insurance deduction.
- How is end-of-service gratuity calculated?
- Broadly 21 days of pay per year for each of the first five years of service, and 30 days per year after that. Mellow accrues it on every pay run as a liability and shows the running balance.
- Does Mellow generate the WPS file?
- Yes — Mellow generates the Wage Protection System Salary Information File (SIF) ready for upload to your bank's WPS portal. The bank then transmits it to the authorities.
- Does Mellow connect directly to the bank for WPS?
- Not yet. Mellow generates the SIF file; you upload it through your bank's WPS portal. Direct bank integration is a planned enhancement.
- Is the Abu Dhabi GPSSA rate handled?
- Yes — Abu Dhabi's higher employer rate is applied automatically when the employee's emirate is Abu Dhabi.
Payroll, country by country
Mellow runs native payroll in six countries from one platform.
Run United Arab Emirates payroll on Mellow
The full HR platform — payroll included — from AED 19 per employee per month. 14-day free trial. No credit card required.