Saudi End of Service Calculator
Calculate your end-of-service gratuity under Saudi Labour Law. Free. Instant. Based on Articles 84-86.
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Exclude housing, transport, and other allowances
Enter your details and click "Calculate Gratuity" to see your end-of-service entitlement.
How Saudi Gratuity Works
Under Saudi Labour Law Articles 84-86:
First 5 years: half month salary per year
After 5 years: full month salary per year
Minimum service: 2 years required
Resignation penalty: 1/3 to 2/3 reduction under 10 years
Calculated on last basic salary only. Allowances and bonuses are excluded.
How Is End-of-Service Gratuity Calculated in Saudi Arabia?
Under Saudi Labour Law (Royal Decree No. M/51), all employees who complete two or more years of continuous service are entitled to end-of-service gratuity. The calculation is based on the employee's last basic salary, excluding all allowances and bonuses.
For the first five years of service, the gratuity is half a month's salary per year. For each additional year beyond five, it increases to a full month's salary per year. There is no statutory cap on the total amount, unlike the UAE.
The critical difference in Saudi Arabia is the resignation penalty. If an employee resigns with 2 to 5 years of service, they receive only one-third of the calculated gratuity. Between 5 and 10 years, they receive two-thirds. Full gratuity is only paid on resignation after 10 years or when the employer terminates the contract.
Employees terminated under Article 80 (gross misconduct) forfeit their gratuity entirely. The employer must pay the gratuity within one week of the contract ending.