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gavelSaudi Labor Law, Art. 84 to 87verifiedUpdated October 2026

Saudi End of Service Benefit Calculator (ESB)

Estimate your end of service benefit in KSA (مكافأة نهاية الخدمة) under Articles 84 and 85 of the Saudi Labor Law: half a month's wage a year for the first five years, a full month a year after, less if you resign. Enter your dates, your last monthly wage (total with allowances, not only the basic) and how your job ended.

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The award uses your actual wage: basic plus allowances and other increments or in-kind benefits in your contract (Article 2). Check your contract if part of your pay is commission.

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Estimated award
Art. 84 / 85
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Estimate only. Your final settlement may also include unused leave (see the Saudi annual leave calculator), notice pay or deductions for amounts you owe. Not legal advice. The Arabic text of the law governs.

ruleHow it is calculated

How the Saudi end of service award is worked out

The award depends on your last wage and length of service (Article 84). Unlike the UAE, the wage includes allowances, and the article sets no maximum.

  1. 1

    First five years

    Half a month's wage a year. Part of a year counts in proportion.

  2. 2

    After five years

    A full month's wage a year.

  3. 3

    If you resigned (Article 85)

    Nothing under 2 years, one third from 2 years, two thirds after more than 5 years, the full award from 10 years.

  4. 4

    Exceptions

    Full award on force majeure or for a woman leaving soon after marriage or childbirth (Article 87). No award for Article 80 dismissals.

Formula: award = (0.5 × years up to 5 + 1 × years beyond 5) × last monthly wage, then × 1/3, 2/3 or 1 if you resigned

calculateWorked examples

Examples

3 years, contract ended by the employer
  • • Last monthly wage: SAR 6,000.00
  • • Months of wage: 1.5
  • • Full award: 1.5 × 6,000.00 = SAR 9,000.00
AwardSAR 9,000.00
8 years, contract ended by the employer
  • • Last monthly wage: SAR 10,000.00
  • • Months of wage: 5.5
  • • Full award: 5.5 × 10,000.00 = SAR 55,000.00
AwardSAR 55,000.00
7 years, you resigned
  • • Last monthly wage: SAR 12,000.00
  • • Months of wage: 4.5
  • • Full award: 4.5 × 12,000.00 = SAR 54,000.00
  • • Resigned after more than 5 and under 10 years: two thirds
AwardSAR 36,000.00
table_chartBy years of service

How much end of service in Saudi Arabia

The award on a last wage of SAR 10,000.00 a month. For another wage, scale in proportion, or use the calculator above.

Years of serviceContract ended by employerYou resigned
1SAR 5,000.00SAR 0.00
2SAR 10,000.00SAR 3,333.33
3SAR 15,000.00SAR 5,000.00
5SAR 25,000.00SAR 8,333.33
7SAR 45,000.00SAR 30,000.00
10SAR 75,000.00SAR 75,000.00
15SAR 125,000.00SAR 125,000.00
20SAR 175,000.00SAR 175,000.00

For Article 80 dismissals and the Article 87 exceptions, use the calculator or see the questions below. For everything you are owed on leaving, use the final settlement calculator. To check a figure, use the official Ministry of Justice labor calculator. Weighing a job in the UAE? See UAE vs Saudi end of service.

Frequently asked questions

How much end of service benefit will I get in Saudi Arabia?expand_more

If the employer ends the contract: half a month's wage for each of the first five years and a full month's wage for each year after (Article 84). On SAR 10,000 a month that is SAR 25,000 after 5 years and SAR 75,000 after 10 years. If you resign: nothing under 2 years, one third from 2 to 5 years, two thirds from over 5 to under 10 years, and the full award from 10 years (Article 85).

Is there an official end of service calculator in Saudi Arabia?expand_more

Yes. The Ministry of Justice has a free labor calculator (in Arabic) that covers the award, and the Ministry of Human Resources and Qiwa have their own tools. They apply the same Articles 84 and 85, so for the same dates, wage and reason the result should match this calculator.

Is the end-of-service award calculated on basic salary or total salary?expand_more

On your last "wage". Article 2 of the Labor Law defines it as the actual wage: the basic wage plus the other increments decided for the work, including allowances, cost-of-living and family increments, regular rewards and in-kind benefits stated in the contract. Housing and transport are normally part of it, so enter your full monthly wage, not only the basic. Article 86 lets employer and worker agree to leave out commissions and similar variable pay, so check your contract.

How much is the award per year of service?expand_more

Half a month's wage for each of the first five years, then a full month's wage a year (Article 84). The article sets no maximum.

Does a part of a year count?expand_more

Yes, in proportion to the time worked (Article 84). This calculator counts the exact days.

What if I resign?expand_more

Article 85 reduces the award: nothing under 2 years, one third from 2 up to 5 years, two thirds over 5 and under 10 years, and the full award from 10 years.

When do I get the full award even though I resigned?expand_more

Article 87 gives the full award if you leave because of force majeure beyond your control, or if a woman ends her contract within six months of her marriage or three months of giving birth.

Do I lose the award if I am dismissed?expand_more

Only in the cases listed in Article 80, such as assaulting the employer, forgery to get the job, deliberate loss to the employer, disclosing trade secrets, or unexcused absence beyond the stated limits (after written warnings). Then the employer may end the contract without award, notice or indemnity. In any other termination by the employer, the full Article 84 award is due. The labour court decides disputes over whether a case qualifies.

When must the employer pay?expand_more

Within one week of the end of the contract, or two weeks if the worker ended it (Article 88). The employer may deduct work-related debts you owe.

What if the contract ended during probation, by agreement, or at retirement age?expand_more

If it ends during probation, neither side owes compensation and no award is due (Article 54). If it ends by mutual written agreement or because you reached retirement age (Article 74), Article 84 gives the full award, as Article 85 reduces it only for resignation. The agreement and retirement points are our reading of Article 84, not words of the article, so check your contract.

Did the 2025 amendments change the end-of-service award?expand_more

No. Royal Decree M/44, in force since 19 February 2025, changed other articles, including notice periods, resignation procedure and leave. The Ministry of Human Resources guideline listing the changed articles does not include Articles 84 to 87.

Does this apply to everyone?expand_more

It is built for workers under the Labor Law. Article 7 exempts some groups, such as domestic workers, and other rules can apply to them.

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Source

Saudi Labor Law, Royal Decree No. M/51 of 1426H, English text published by the Ministry of Human Resources and Social Development: Articles 2 (definitions), 80, 84, 85, 86, 87 and 88. The amendments of Royal Decree No. M/44 (in force 19 February 2025) were checked against the Ministry's guideline listing the changed articles; Articles 84 to 87 are not among them. Checked on . The English text is a translation provided for guidance and the Arabic text governs. Always confirm your entitlement with the Ministry or a qualified adviser.

Read the official text:Saudi Labor Law, Royal Decree M/51 (HRSD, English PDF) · HRSD guideline: Amendments to Labor Law Articles, Royal Decree M/44 (PDF) · Ministry of Justice labor calculator (official, in Arabic)

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