Jashvant Prajapati

Business Process Solutions UAE — Payroll, HR & WPS

Running payroll for 5 employees takes the same legal precision as running it for 100. MOHRE compliance obligations are identical whether you have 8 staff or 80 — and the penalties are automatic, not discretionary.

"The most expensive payroll mistake UAE SMEs make is not paying late — it is calculating EOSB under a law that no longer exists."

— Jashvantkumar Prajapati

Day 10

WPS deadline — block triggers automatically

AED 10,000

Max penalty per employee for WPS default

21 years

UAE workforce compliance experience

14 days

MOHRE contract registration window

What We Outsource For You

Six functions, one service provider — every component of your UAE workforce compliance handled under one engagement.

💰

Monthly Payroll Processing

Federal Decree-Law No. 33 of 2021

UAE labour law-compliant payroll in AED and any secondary currency. Payslips issued to each employee on your agreed cycle. Every calculation accounts for basic salary, allowances, commissions, and deductions.

🏦

WPS Salary Transfer Management

CBUAE / MOHRE WPS Framework

End-to-end SIF file preparation and submission through your registered CBUAE-approved WPS agent. We track every monthly deadline so your MOHRE compliance status stays green and work permit services remain unblocked.

📊

EOSB Calculation & Provisioning

Federal Decree-Law No. 33 of 2021, Art. 51

End-of-service benefit calculations under the post-February 2022 framework: 21 days per year for the first 5 years, 30 days thereafter. Monthly provision tracking prevents shortfall at the point of departure.

📝

Employment Contracts & Offer Letters

Federal Decree-Law No. 33 of 2021, Art. 8

MOHRE-standard limited-term contracts for all employment categories drafted to reflect current law. Registered with MOHRE within the required 14-day window. Bilingual Arabic-English format available.

📅

Leave Management

Federal Decree-Law No. 33 of 2021, Art. 29–31

Annual leave accrual tracking (minimum 30 calendar days after 12 months), sick leave, and 60-day maternity provisions. Leave balances are factored into every final settlement calculation.

📋

HR Policy Documentation

UAE Labour Law — best practice framework

Employee handbooks, disciplinary procedures, and HR policies aligned with UAE Labour Law. Documented policies reduce dispute risk and provide defensible grounds in MOHRE labour complaint proceedings.

Who This Is For

Three tiers scaled to headcount — choose what fits now, upgrade as you grow.

Tier 1

1–10 Employees

AED 150–250

per employee / month

  • Monthly payroll calculation & payslips
  • WPS SIF file preparation & submission
  • MOHRE compliance status monitoring
  • Basic leave tracking

Best for: Startups, sole establishments, small branch offices

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Most Popular

Tier 2

11–50 Employees

AED 100–175

per employee / month

  • Everything in Tier 1
  • EOSB monthly provisioning
  • Employment contracts & offer letters
  • HR policy documentation
  • Contract registration with MOHRE

Best for: Growing SMEs, mainland LLCs, professional services firms

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Tier 3

51–200 Employees

AED 80–130

per employee / month

  • Everything in Tiers 1 & 2
  • Full leave management system
  • MOHRE portal management
  • Annual HR compliance audit
  • EOSB fund management support
  • Dedicated account manager

Best for: Established SMEs, regional HQs, multi-department companies

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Fee ranges are indicative for standard payroll complexity. Final pricing confirmed after headcount review. Government fees (MOHRE, ICP, WPS bank charges) charged at cost — no margin added.

Employee Lifecycle — What We Handle

From the offer letter on day one through to the final settlement and visa cancellation — every stage covered.

Hire

Offer letter drafting, MOHRE contract registration within 14 days, visa processing coordination. Contracts are limited-term and MOHRE-standard from day one.

Onboard

Emirates ID registration tracking, labour card issuance, medical insurance enrolment. Employee enters payroll with MOHRE-verified data.

Monthly

Payroll runs, payslips distributed, SIF file submitted 2 business days before deadline, leave balances updated, MOHRE compliance confirmed green.

Annual

EOSB provisions recalculated, increment letters prepared, renewal alerts issued 60 days before MOHRE establishment card and labour card expiry.

Offboard

Termination or resignation letter, full final settlement including accrued leave and EOSB, residence visa cancellation coordinated with PRO.

UAE payroll outsourcing documents — payroll summary, WPS transfer, and employment contract on desk

Not sure which tier fits your business? Get a free payroll compliance review — no obligation.

Book Free HR Audit

UAE Labour Law Compliance Calendar

All obligations under Federal Decree-Law No. 33 of 2021 and its implementing Cabinet resolutions, effective February 2022. Source: mohre.gov.ae

ObligationPenalty for Non-Compliance
WPS salary paymentWork permit suspension at Day 10; up to AED 10,000 per employee for persistent default
Employment contract registrationAdministrative fine; contract unenforceable in dispute proceedings
Probation period trackingTermination during extended probation treated as arbitrary dismissal; compensation liability
Annual leave accrualUnpaid balance due in final settlement; MOHRE complaint risk if denied
Sick leave entitlementFailure to grant entitled sick leave is an MOHRE labour violation
Maternity leaveTermination during maternity leave is automatically arbitrary dismissal
EOSB payment at exitMOHRE complaint; court-awarded compensation; damage to MOHRE establishment rating
Contract type (unlimited abolished)Old-format contracts not recognised in MOHRE dispute resolution
Notice period compliancePayment in lieu mandatory; MOHRE complaint risk if withheld
Final settlement paymentDaily fine accumulation after Day 14; MOHRE enforcement action
Visa cancellation after exitOverstay fine approximately AED 25/day; employer liability for uncancelled visas (Source: icp.gov.ae — verify current rates)
MOHRE establishment card renewalLapsed card blocks all work permit and visa services

Penalty amounts as published at mohre.gov.ae and subject to revision. Verify current rates before compliance action. Processing times are indicative.

Three years of EOSB miscalculation — found at the worst possible moment

Anonymised client — Dubai mainland LLC, 23 employees

A Dubai mainland LLC with 23 employees engaged us after two of their longest-serving staff resigned within the same month. The finance manager had been calculating EOSB using the old unlimited contract formula — which applied a different accrual rate during the first three years of service and used a reduced basis for early resignation.

Under Federal Decree-Law No. 33 of 2021, that formula no longer applies. The correct calculation produced a shortfall of AED 34,800 across the two departing employees combined. The company had to settle both amounts from operating cash within 14 days to avoid MOHRE late payment penalties.

We recalculated EOSB provisions for all 23 remaining employees against the current law, identified a further AED 61,200 in under-provisioned EOSB liability, and restructured their monthly provisioning schedule. The company now retains Avyanco for full payroll, monthly WPS management, and quarterly EOSB reviews.

AED 34,800

Immediate shortfall settled

AED 61,200

Under-provisioned EOSB found

AED 5,750

Monthly retainer (23 staff)

AED 0

Penalty exposure avoided

Concerned your EOSB calculations may be wrong? Avyanco offers a fixed-fee EOSB audit for businesses with 10–100 employees. Results within 5 working days.

Request EOSB Audit

Ready to hand over your payroll and HR compliance?

WhatsApp Jashvant directly: +971 54 526 4050

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5 UAE Payroll & HR Mistakes We Fix Every Week

Using the old unlimited contract EOSB formula post-February 2022

Federal Decree-Law No. 33 of 2021 abolished unlimited contracts and changed the EOSB accrual basis. Businesses still using the previous calculation are under-provisioning and will face a cash shortfall when senior staff depart. This is the error encountered most frequently in new client audits.

Not registering employment contracts with MOHRE within 14 days

An unregistered contract is not enforceable in MOHRE dispute resolution. If a labour complaint is filed, the employer has no documented basis for the agreed terms. The 14-day registration window under Federal Decree-Law No. 33 of 2021, Art. 8 is a hard legal requirement, not an administrative courtesy.

Calculating WPS submissions on basic salary only

The WPS transfer must reflect total remuneration — basic salary plus all contractual allowances. Submitting only the basic component while paying allowances separately is a WPS compliance failure regardless of the total amount reaching the employee.

Not accounting for accrued leave in the final settlement

Employees are legally entitled to encashment of untaken annual leave at exit. Failing to include this in the final settlement is an MOHRE violation. This is routine in manual payroll setups where leave balances are tracked informally.

Missing the Day 10 WPS deadline and triggering automatic MOHRE review

MOHRE's WPS monitoring system flags establishments automatically at Day 10 of non-payment. Work permit services are suspended immediately — no warning is issued first. A single missed month can block your entire workforce's visa renewals.

Cost & What Is Included

Tier 1 monthly (1–10 staff)

AED 150–250 / employee

Tier 2 monthly (11–50 staff)

AED 100–175 / employee

Tier 3 monthly (51–200 staff)

AED 80–130 / employee

One-time setup fee

AED 2,500–5,000

Fees current as of 2025 and indicative. Final pricing confirmed after headcount and payroll structure review. Subject to change. Verify current pricing directly with Avyanco.

Always Included

Monthly payroll calculation and payslip distribution
SIF file preparation and WPS submission
MOHRE compliance status monitoring
Monthly payroll summary report
Dedicated point of contact

Optional Add-Ons

Annual HR compliance audit (up to 30 staff)AED 3,500
EOSB fixed-fee audit (up to 50 staff)AED 2,000
Employment contract (standalone)AED 750
MOHRE labour complaint representationQuoted per case
Employee handbook & HR policy suiteAED 4,500
HR compliance and employee onboarding UAE — HR professional explaining employment contract to new hire in Dubai office
HR outsourcing UAE — diverse business team collaborating in modern Dubai office

Frequently Asked Questions

What is the difference between payroll outsourcing and a PRO service?
A PRO service handles government document processing — visa applications, trade licence renewals, MOHRE submissions, and tasks requiring physical presence at government counters. Payroll outsourcing is a separate function: calculating salaries, managing WPS transfers, maintaining EOSB provisions, drafting employment contracts, and ensuring ongoing labour law compliance. The two services complement each other but are distinct. Avyanco can provide both or either independently.
Is my payroll data secure with a third party?
Payroll data is handled under a formal service agreement with confidentiality provisions. Access is restricted to designated Avyanco team members assigned to your account. Payroll files are not stored on shared or public systems. We recommend all clients maintain their own payroll records independently as well — multiple copies protect everyone in the event of a dispute or audit.
Can you handle payroll for employees in multiple emirates?
Yes. Federal labour law applies uniformly across all seven emirates for mainland-registered employers. A company with employees based in Dubai, Abu Dhabi, and Sharjah runs the same WPS and MOHRE compliance obligations regardless of where each employee works. We manage multi-emirate payroll under a single consolidated service. Free zone employees under different zone rules are accommodated with zone-specific compliance notes.
What happens if MOHRE audits my business?
MOHRE labour inspections can be triggered by a WPS delay, an employee complaint, or a routine compliance sweep. For clients on a Tier 2 or Tier 3 retainer, we provide full documentation support during audits — payroll records, EOSB calculation history, employment contract copies, and WPS transfer confirmations. Our records are structured precisely because MOHRE auditors request exactly this information.
Do you handle EOSB calculations under the new UAE labour law?
Yes — and this is one of the most error-prone areas we see. Federal Decree-Law No. 33 of 2021 changed both the EOSB calculation basis and the contractual framework. All employees are now entitled to EOSB calculated on the same basis: 21 days of basic salary per year for the first 5 years, 30 days per year from year 6. We calculate monthly provisions and maintain an EOSB ledger so the liability is never a surprise. Source: Federal Decree-Law No. 33 of 2021, Art. 51.
Can you draft MOHRE-compliant employment contracts?
Yes. All employment contracts we prepare are limited-term contracts in the MOHRE-standard format under Federal Decree-Law No. 33 of 2021. We draft the contract, review it with you, and coordinate MOHRE registration within the 14-day legal window. Contracts are available in Arabic-English bilingual format as required for MOHRE submission.
How quickly can you set up payroll for a new hire?
For an existing client, adding a new employee takes 1–2 business days once we receive: passport copy, visa UID, Emirates ID number, IBAN, and confirmed salary details. We do not add employees to WPS submissions before their MOHRE labour record is registered, as this causes SIF file rejections.
What does WPS compliance mean and why does it matter?
The Wage Protection System is a MOHRE and Central Bank UAE joint initiative requiring all mainland private sector employers to pay salaries electronically through a CBUAE-approved bank or exchange house. Non-compliance triggers automatic penalties — work permit suspension at Day 10, fines of up to AED 10,000 per employee for persistent default — without any warning or grace period. A single missed month can block your entire workforce's visa renewals. Source: mohre.gov.ae, cbuae.gov.ae.

Disclaimer: All UAE Labour Law references reflect Federal Decree-Law No. 33 of 2021 and its implementing Cabinet resolutions as published at mohre.gov.ae. Labour law obligations are subject to ministerial amendment without notice. Penalty amounts are as published by MOHRE and subject to revision — verify current rates before taking compliance action. Fee ranges are indicative as of 2025 and subject to change. Processing times are indicative based on standard cases; individual circumstances may vary. This page is for informational purposes only and does not constitute legal, financial, or HR advice. For advice tailored to your circumstances, book a consultation.

Jashvantkumar Prajapati
4.8

Advisory services designed & delivered by

Jashvantkumar Prajapati

Founder & CEO, Avyanco Group

21+ years advising founders and investors on UAE company formation, tax structuring, and cross-border expansion. CSP Licensed by the Dubai Economic Department. Direct experience helping 11,000+ businesses across mainland, free zone, and offshore structures.

CSP Licensed · DED #90940221+ Years UAE Experience11,000+ Companies Formed4.8★ · 700+ Verified Reviews

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