How do employers calculate gratuity for varied contract types?

Hi all,

I’m reviewing our payroll process and need some practical advice on calculating end-of-service gratuity for staff with different contract types full-time, part-time, and short fixed-term contracts. The formulas I’ve seen online sometimes treat allowances and basic salary differently, so results vary.

If you’ve handled this before:

How do you define “basic salary” in your calculations?

Do you include housing or transport allowances when estimating gratuity?

Any practical tips to keep records accurate for audits or final payouts?

Also, I used a handy gratuity payout calculator https://calculategratuity.ae/ to test a few scenarios — it made comparing outcomes much faster. Would appreciate any real-world tips or examples you can share.

Thanks!