How the Saudi End of Service Calculator Works
Under Saudi Labor Law, an employee is entitled to an End of Service Benefit (EOSB) or gratuity upon the termination of their employment contract. This free tool calculates your payout accurately based on your final salary, the length of your service, and how the employment ended.
Base Calculation Rules
Regardless of how you leave the company, the base gratuity is calculated as follows:
- First 5 Years: Half a month's salary for each of the first five years.
- After 5 Years: A full month's salary for each subsequent year.
Resignation vs. Termination
If the employer terminates the contract (or if a fixed-term contract naturally expires), you receive 100% of the calculated base gratuity. If you resign, the payout is prorated based on how long you worked:
- Less than 2 years: No gratuity (0%).
- 2 to 5 years: One-third (1/3) of the gratuity.
- 5 to 10 years: Two-thirds (2/3) of the gratuity.
- 10+ years: Full gratuity (100%).
❓ Frequently Asked Questions
Which salary is used to calculate EOSB?
The calculation is based on your last total salary. This includes your basic salary plus any fixed allowances (like housing and transportation) stipulated in your contract.
Does unpaid leave affect my end of service calculation?
Yes. According to KSA Labor Law, periods of unpaid leave are generally deducted from your total duration of service before calculating the final benefit.