Disclaimer: educational estimate only — not a substitute for the official authority or professional advice. See the Methodology & sources section below.
Under the Saudi Labour Law

Free Saudi End of Service Calculator by Haseem

Work out your end of service gratuity under Articles 84 & 85 — resignation or termination, years of service and last wage. Instant result, no sign-up. A free tool by Haseem.

Calculate your gratuity in seconds

Enter the wage, dates and reason for leaving — the result updates live.

Service period7 years, 0 months and 0 days
Base award (Art. 84)45,000
Entitlement appliedFull
Final award45,000
A guidance estimate. The actual entitlement depends on the contract, how the wage is defined, and any dispute; the Ministry of Justice calculator and the courts are the reference. A dismissal under Article 80 may forfeit the award.

Calculations run on your device — an educational tool, not a substitute for the Ministry of Justice calculator or legal advice. Anonymous usage events may be recorded for product analytics.

  • Based on the Labour Law
  • Free
  • No registration
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Transparency

Methodology & sources

Award = (years ≤5 × ½ month + years >5 × 1 month) × last wage, with partial years pro-rated, then the resignation share (⅓/⅔/full) or the full award on termination.

Content reviewed
15 July 2026
Method
½ month per year for first 5 years, then 1 month per year
Wage basis
Last wage (basic + fixed allowances)
Resignation shares
<2 yrs none · 2–5 ⅓ · 5–10 ⅔ · 10+ full
Rounding
Values shown to 2 decimal places (nearest halalah)
Regulation / source
Labour Law RD M/51, Art. 84/85 — Ministry of Human Resources and Social Development (MHRSD)
Version
v1.3
The result is an estimate, not a legally definitive outcome. It may change due to Article 80 (dismissal for cause), the exceptional cases in Article 87, unpaid leave, wage composition (basic and allowances vs variable commissions), and special contract situations — all of which may require professional review. The official reference is the Ministry of Justice calculator.
Method and formula

How the end of service gratuity is calculated

Article 84 sets half a month's wage for each of the first five years of service, and a full month for each year after, based on the last wage, with partial years prorated. Article 85 then applies a fraction of that base depending on how service ended.

Base award (Article 84)

award = (years ≤5 × ½ + years >5 × 1) × wage

Example: 7 years, wage 10,000 → (2.5 + 2) × 10,000 = 45,000

Resignation share (Article 85)

Under two years: nothing. From 2 to under 5: one third. From 5 to under 10: two thirds. 10 years or more: full. Employer termination or fixed-term expiry pays the base award in full regardless of length.

Quick guide

End of service benefit in the Labour Law

The end of service benefit is the worker's right when the employment relationship ends, and its value depends on the length of service and the reason for leaving. The regulator is the Ministry of Human Resources and Social Development, and the official reference calculator is the Ministry of Justice tool.

Gratuity share by reason for leaving

CaseService lengthEntitlement
ResignationUnder 2 yearsNone
Resignation2 to under 5One-third of the award
Resignation5 to under 10Two-thirds of the award
Resignation10 years or moreFull award
Employer terminationAny lengthFull award
Special case (Art. 87)Any lengthFull award
Dismissal under Art. 80Any lengthMay be forfeited

What counts as the last wage?

The gratuity is based on the last wage, which includes the basic wage plus fixed, continuous allowances (such as housing and transport). Variable commissions or percentages may be excluded by agreement. Disputes over the definition of "wage" are one of the most common sources of miscalculation.

Special cases paid in full (Article 87)

As an exception to the resignation share, the full award is paid if the worker leaves due to force majeure beyond their control, or if a female worker ends her contract within six months of marriage or three months of childbirth. Conversely, Article 80 may forfeit the gratuity where dismissal is for a lawful cause.

Contracts, probation and unpaid leave

The gratuity applies to both fixed-term and indefinite contracts. If the contract ends during the probation period, no gratuity is due; if employment continues afterwards, the probation time counts toward service. Unpaid leave days are excluded from the length of service when calculating.

Examples

Gratuity calculation examples

The wage is 10,000 in each example; the result differs by length of service and reason for leaving.

Termination after 8 years

Employer termination — full award.

Base award55,000
Share100%
Award55,000

Resignation after 7 years

Resignation between 5 and 10 — two-thirds.

Base award45,000
Share2/3
Award30,000

Resignation after 3 years

Resignation between 2 and 5 — one-third.

Base award15,000
Share1/3
Award5,000

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FAQ

Frequently asked questions

The worker gets half a month's wage for each of the first five years and a full month for each subsequent year, based on the last wage, with partial years paid pro-rata. The resignation share is then applied if the worker resigned, or the full award is paid on termination.

By length of service: under two years, nothing; two to under five years, one-third of the award; five to under ten years, two-thirds; ten years or more, the full award.

If the employer ends the contract (other than for an Article 80 cause) or a fixed-term contract expires, the worker receives the full award under Article 84, without applying the resignation share.

The last wage, including the basic wage and fixed, continuous allowances such as housing and transport. Variable commissions may be excluded from the calculation basis by agreement.

Yes, the worker is entitled for parts of a year in proportion to the time spent at work. For example, six months equals half a year in the calculation.

Under Article 87, the full award is paid if the worker leaves due to force majeure, or if a female worker ends her contract within six months of marriage or three months of childbirth.

The gratuity may be forfeited entirely if the worker is dismissed for one of the grounds set out in Article 80 of the Labour Law. This is an exceptional case with its own legal conditions.

If the worker continues after probation, that time counts toward service. If the contract ends during probation, no gratuity is due for that period.

Yes, unpaid leave days are excluded from the length of service when calculating the gratuity. Enter the number of days in the calculator above and it is deducted automatically.

No, it is an educational tool that gives an estimate under the Labour Law. For an official calculation use the Ministry of Justice tool, and for special cases consult a legal specialist, as the contract and wage definition can change the result.

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This estimate is based on Articles 84, 85 and 87 of the Saudi Labour Law and does not replace the Ministry of Human Resources, the Ministry of Justice calculator, or legal advice. The contract, wage definition, or a dispute may affect the result.

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