Free tool
End-of-service award: resignation or contract expiry
Estimate the award using last wage, service duration and reason employment ended, under Articles 84 and 85 of the Saudi Labor Law. Without signup; inputs are submitted for saving only if you choose to open the result in your account.
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Notice: This is an indicative estimate under Articles 84 and 85 of the Labor Law. Actual entitlement depends on your contract and how employment ended. Some resignations qualify for a full award, including Article 81 cases and a woman leaving within six months of marriage or three months of childbirth. Consult the law or a specialist before relying on the figure.
This saves a copy of this tool's inputs and result, then opens it after signup or login. It does not issue an invoice or start a paid subscription.
How to estimate the end-of-service award
Start with last wage, service duration and why employment ended. The result is an estimate under Articles 84 and 85, not a Ministry of Human Resources decision.
1. Enter the last wage
Use the last inclusive wage on which entitlement is calculated.
2. Enter service duration
Enter years and months of service from joining until the last working day.
3. Choose why employment ended
Entitlement differs between contract expiry and resignation, so this choice changes the result.
4. Read the breakdown
The tool shows service duration, the award before resignation adjustment, the entitlement proportion and the estimated amount. The total includes half a month for each of the first five years and a full month thereafter.
Monthly GOSI contributions are a separate calculation. Estimate them in the GOSI contribution calculator.
The statutory calculation basis
Article 84 — the full award
Half a month's wage for each of the first five years, and a full month for each subsequent year, using the last wage. Partial years are proportional.
Article 85 — resignation adjustment
For resignations covered by Article 85: under two years, no award; two to five years including exactly five, one-third; above five but below ten, two-thirds; ten years or more, full award, subject to exceptions.
Hypothetical examples using a calculation wage of SAR 10,000. The full-award column assumes entitlement under Article 84. It does not determine Article 80 cases, exceptions under Articles 81 and 87, or wage components under Article 86.
Source: Labor Law — Ministry of Human Resources, Articles 84–88 on printed page 26. This tool is an estimate and does not replace reviewing the law or consulting a specialist.
After seeing your result
Regularly paying entitlements or contractors?
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This saves a copy of this tool's inputs and result, then opens it after signup or login. It does not issue an invoice or start a paid subscription.
Tool results are free. Inputs are submitted for saving only when you click to open the result in your account.
How is the Saudi end-of-service award calculated?
Under Article 84: half a month's wage per year for the first five years, then a full month per year, using the last wage. Fractions of a year are calculated proportionally.
How much is the award on resignation?
For resignations covered by Article 85: no award before two complete years; one-third from two to five years, including exactly five; two-thirds above five but below ten; full award at ten years or more. Review exceptions and the actual reason employment ended before applying a proportion.
Does it use basic salary or include allowances?
Article 84 uses the last wage, subject to the legal and contractual definition and components. Article 86 permits agreement to exclude some or all commissions, sales percentages and similar variable elements from the settlement wage. Enter the wage applicable to your case; do not automatically use basic salary or every amount paid without reviewing.
Can a resignation qualify for the full award?
Article 87 covers leaving for force majeure beyond the employee's control, and a woman ending her contract within six months of marriage or three months of childbirth. Article 81 cases retain statutory rights subject to its conditions. This calculator does not establish those facts; Article 80 cases may have no award. Review the law and the actual reason employment ended.
