The General Pension and Social Security Authority (GPSSA) has clarified the distinct methods for calculating pension contributions across the UAE's public and private sectors. For government employees, the system is dynamic; contributions are directly linked to the actual monthly salary. If an employee receives a pay raise, their pension deduction adjusts immediately to reflect the new income from the month the change takes effect.

In contrast, the private sector operates on a fixed annual basis. Pension contributions are determined by the salary level recorded in January and remain locked at that figure for the entire calendar year, even if an employee receives a mid-year promotion or pay increase. While there is a specific exception for raises applied retroactively to January, most salary adjustments will only be factored into the pension calculation at the start of the following year. Employers are required to manage this data through the Ma’ashi platform, ensuring all payments are submitted by the 15th of the month to avoid legal penalties.