End-of-service award calculator

Enter your start and end dates, last monthly wage and why the employment ended to see your estimated end-of-service award under the Saudi Labor Law.

Today

Start date

Date the employment ended

End-of-service result

Award due
—
Length of service
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Full award (Art. 84)
—
For the first five years
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For the years after
—

An estimate under Articles 84, 85 and 87 of the Saudi Labor Law; it does not cover domestic workers or state employees. A worker dismissed under Article 80 is not entitled to the award. In a dispute, the Ministry of Human Resources and the labor court prevail.

How to use it

  1. Enter the start date and the date the employment ended, in Gregorian or Hijri.
  2. Enter your last actual monthly wage: basic wage plus allowances.
  3. Choose why the employment ended and the calendar used to count service.
  4. Press “Calculate award” to see the award, the length of service and the breakdown.

How it is calculated

Item Rule
First five years Half a month’s wage per year (Art. 84)
Years after the fifth A month’s wage per year (Art. 84)
Parts of a year Pro rata, with a 30-day month (Arts. 84 and 2)
Wage used Last actual wage (Arts. 84 and 2)

Share of the award on resignation

Length of service Due to a resigning worker
Under 2 years Nothing
2 to 5 years One third
More than 5 and under 10 years Two thirds
10 years or more The full award

Worked examples

Case Wage Service Award
Contract ended SAR 10,000 10 years SAR 75,000
Resignation SAR 8,000 7 years SAR 24,000 (two thirds of 36,000)
Resignation SAR 6,000 2½ years SAR 2,500 (one third of 7,500)
Contract ended SAR 6,000 1½ years SAR 4,500

Who is not covered

  • Domestic workers have their own regulation; per the Ministry of Human Resources their award is a month’s wage for every four consecutive years.
  • State employees are covered by civil service and retirement rules.
  • A worker dismissed under Article 80 of the Labor Law is not entitled to the award in the cases listed there.

Sources

Important

This calculator gives estimates based on the text of the Saudi Labor Law and is not legal advice. An employment contract or company policy may grant more. In a dispute, the Ministry of Human Resources and Social Development and the labor court prevail. This site is not affiliated with any government body.

To measure service in years, months and days only, use Date Difference, and read How to calculate length of service.

Last updated:

Frequently asked questions

How is the end-of-service award calculated?

Under Article 84 of the Labor Law it is half a month's wage for each of the first five years and a month's wage for each year after, based on the last wage. Ten years of service with a last wage of SAR 10,000 gives SAR 75,000 (25,000 for the first five years and 50,000 for the next five).

How much is the award if I resign?

Under Article 85 there is no award for resigning before 2 years; one third from 2 to 5 years; two thirds for more than 5 and under 10 years; and the full award from 10 years. Resigning after 7 years with a last wage of SAR 8,000 gives a full award of SAR 36,000, of which two thirds, SAR 24,000, is due.

Is service counted in Hijri or Gregorian years?

Article 10 of the Labor Law counts all periods in the Hijri calendar unless the employment contract or work regulations say otherwise, so the calculator offers both. A Hijri year is about 11 days shorter, so service counted in Hijri years comes out slightly longer.

Which wage is used?

The last wage. In the Labor Law "wage" means the actual wage, the basic wage plus allowances and other entitlements; the parties may agree to leave commissions and sales percentages out of the award wage (Article 86).

Is there an award for less than 2 years of service?

Not if you resign. If the contract ends or the employer terminates it, the award is pro rata; a year and a half at SAR 6,000 gives SAR 4,500.

When does a resigning worker get the full award?

Under Article 87, when the worker leaves because of force majeure beyond their control, and when a female worker ends the contract within six months of her marriage contract or three months of giving birth.

When must the employer pay it?

Under Article 88, within one week at most of the end of the employment, or within two weeks if the worker ended the contract.