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Abdullah Hammond demonstrates how to manage contract expiry dates in this tutorial. He explains that by using the function "date," you can calculate the contract ending date based on the starting date and contract duration. For example, if a contract starts on April 8, 2020, and lasts for 12 months, you can use the function to determine the end date. The function can move forward or backward in time depending on the number of months provided. This method is valuable for HR professionals, as well as other applications.