Saudi Arabia end-of-service calculator (مكافأة نهاية الخدمة)
Saudi end-of-service is half a month's wage per year for the first five years, then a full month per year beyond, for a terminated contract.
Worked example · End-of-service award
With Monthly wage of 8,000 SAR, this model computes End-of-service award of 16,000 SAR. See the full working.
✓ Verified against 3 self-test cases Updated for 2026 · sources checked 2026-10-05
How مكافأة نهاية الخدمة (end of service) in Saudi Arabia is calculated
Saudi Arabia has no personal income tax, so net equals gross for expatriate employees. The key calculation is the end-of-service award under Article 84.
For a terminated contract the award is half a month's wage for each of the first five years and a full month per year beyond. Resigning cuts it sharply: nothing under two years, one third from two to five years, two thirds from five to ten, and the full amount only after ten. Pick how the employment ended in the calculator. Estimate, not legal advice.
Worked example
ShowHide the full working: 3 inputs, 3 computed steps
| Inputs | |
|---|---|
| Monthly wage | 8,000 SAR |
| Years of service | 4 |
| How the employment ended | Terminated or contract ended — full award |
| Computed by the engine | |
| Eos Full | 16,000 |
| Resign Factor | 1 |
| End-of-service award ✓ pinned | 16,000 SAR |
Every computed row comes from the engine, run on the inputs above. Rows marked ✓ pinned are also fixed by a published self-test, so a change to the model that moved them would fail its own tests.
Frequently asked questions
How much end-of-service for 4 years at 8,000 SAR?
Half a month per year for four years is 0.5 x 8,000 x 4 = 16,000 SAR.
Does resignation cut the award?
Yes — resigning gives one third (2-5 years), two thirds (5-10) or the full amount (10+ years).
Is there income tax in Saudi Arabia?
No personal income tax; Saudis pay GOSI social contributions, expats do not.
Sources
- Labour Law (Royal Decree M/51), art. 84 — end-of-service award · checked 2026-10-05
- Labour Law (Royal Decree M/51), art. 85 — reduction on resignation · checked 2026-10-05
Estimate. Not tax advice. The verification badge means the model reproduces the stated formula through 3 self-test cases; the sources support that the formula matches the rules.
Check the arithmetic yourself: how this calculator is verified — the formula behind every derived value, the 3 test cases the engine reproduces, and what the badge does and does not claim. Also available as machine-readable JSON.
Related calculators
United Arab Emirates مكافأة نهاية الخدمة (gratuity)
Also for Saudi Arabia: Saudi Arabia تجديد الاستمارة (registration) · Saudi Arabia ضريبة القيمة المضافة (VAT) · Saudi Arabia الإجازة السنوية (annual leave)
All Saudi Arabia calculators · All calculators
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