About the Saudi End of Service Calculator
This calculator works out the end-of-service award (مكافأة نهاية الخدمة, often called EOSB or gratuity) that a private-sector worker in Saudi Arabia is entitled to when employment ends. Enter your last monthly wage, your length of service and why the contract ended, and it applies the formula in the Saudi Labor Law, including the reduced share for resignations.
It is useful for employees planning to resign or change jobs, workers whose contract is ending, and HR teams checking a final settlement. The breakdown shows how much comes from the first five years (half a month per year) and from later years (a full month per year), and the chart compares what you would receive if you resigned instead.
The award is based on your last wage, which normally includes basic salary plus regular allowances such as housing and transport, and part years count in proportion. Commission-type components can be excluded by agreement (Article 86). The calculator does not cover dismissal for cause under Article 80, unpaid salary, leave encashment, or more generous terms in your contract or company policy.
With the default inputs, the end-of-service award is SAR 50,000.00. Change any value above to recalculate instantly.
How to use the saudi end of service calculator
- 1Enter your last monthly wage, including housing and other regular allowances.
- 2Enter your total service in years, months and days.
- 3Choose how the employment ended — employer termination, contract expiry or resignation.
- 4Read your end-of-service award and the half-month / full-month breakdown.
- 5Use the chart to see how the award changes if you work longer or resign.
Formula and method
Article 84 of the Saudi Labor Law gives a worker half a month’s wage for each of the first five years of service and a full month’s wage for each year after that, calculated on the last wage received. Portions of a year count in proportion to the time worked, so service is measured in years including months and days.
Under Article 85 a worker who resigns receives one third of the award after at least two and up to five years, two thirds after more than five but less than ten years, and the full award after ten years or more. Article 87 restores the full award when the worker leaves because of force majeure, or when a female worker ends her contract within six months of marriage or three months of giving birth.
- W
- Last monthly wage, including regular allowances
- T
- Total service in years (including part years)
- share
- Fraction of the award payable for the reason employment ended
Worked examples
Contract ends after 7½ years on SAR 10,000
The first five years earn half a month each: 5 × SAR 5,000 = SAR 25,000. The remaining 2.5 years earn a full month each: 2.5 × SAR 10,000 = SAR 25,000. The total award is SAR 50,000.
Resigning after 7½ years
Service of more than five but less than ten years entitles a resigning worker to two thirds of the full award: ⅔ × SAR 50,000 = SAR 33,333.33.
Resigning after 3 years on SAR 6,000
The full award would be 3 × ½ × SAR 6,000 = SAR 9,000. With between two and five years of service, a resignation pays one third, or SAR 3,000.
Frequently asked questions
How is end of service calculated in Saudi Arabia?+
Under Article 84 you receive half a month’s wage for each of the first five years of service and one month’s wage for each year after that, based on your last wage. Part years are paid pro rata, so 7½ years on SAR 10,000 gives SAR 50,000.
How much end of service do I get if I resign?+
Article 85 pays nothing for less than two years, one third of the award for two to five years, two thirds for more than five but less than ten years, and the full award for ten years or more of continuous service.
Is the award based on basic salary or total salary?+
It is based on the last wage, which the Labor Law defines to include basic pay plus allowances paid regularly, such as housing. Commissions and similar variable components can be excluded if agreed in writing (Article 86). Check your contract and payslip.
Can a female employee get the full award on resignation?+
Yes. Article 87 gives a female worker the full award if she ends her contract within six months of her marriage or within three months of giving birth. The full award also applies if any worker leaves due to force majeure beyond their control.
When must the end-of-service award be paid?+
The employer must pay all dues within one week of the end of the contract if the employer ended it, or within two weeks if the worker resigned. Delays can be reported to the Ministry of Human Resources and Social Development.
Do I lose my end of service if I am dismissed?+
Only in the specific misconduct cases listed in Article 80, such as assault, serious breach of duties or fraud, where the employer may terminate without award after following the required procedure. Ordinary termination by the employer always attracts the full Article 84 award.
Results are general estimates and not legal advice. Laws vary by jurisdiction — consult a qualified attorney.