Saudi Arabia End-of-Service Calculator
Estimate your end-of-service award under Articles 84–85 of the Saudi Labour Law.
Estimate only. Not legal advice — confirm with your employer or HRSD.
How the Saudi end-of-service award works
Under Article 84 of the Saudi Labour Law, employees are entitled to an end-of-service award calculated as half a month's wage for each of the first 5 years of service, and a full month's wage for each year after that. Partial years are pro-rated.
The wage base is wider than in the UAE. Article 2 defines wages broadly, and the calculation uses your "last actual wage" — in practice, this generally means basic salary plus regular fixed allowances like housing and transport. Genuinely variable pay (commissions, performance bonuses) is typically excluded. There's no statutory cap on the total award.
| Years of service | Rate |
|---|---|
| 1–5 years | ½ month's wage per year |
| 6+ years | 1 month's wage per year beyond year 5 |
| Cap | None |
Resignation reduces the award — termination doesn't
This is the biggest practical difference from the UAE. If your employer ends the contract, you generally receive the full award from day one (pro-rated even for short service). If you resign, Article 85 scales the award down based on tenure:
| Years of service (resignation) | Award payable |
|---|---|
| Under 2 years | None |
| 2–5 years | ⅓ of the full award |
| 5–10 years | ⅔ of the full award |
| 10+ years | Full award |
A few situations pay the full award regardless of tenure — for example, contract termination due to force majeure, or a female employee resigning within 6 months of marriage or 3 months of childbirth (Article 87).
Saudi vs UAE — what's different
- Wage base: Saudi includes fixed allowances; UAE uses basic salary only
- Resignation: Saudi reduces the award on a tier scale; UAE generally doesn't (post-2022 reform)
- Cap: Saudi has none; UAE caps at 24 months' basic salary
FAQ
Does probation count toward my service period?
Yes, once you continue working past probation. If the contract ends during probation itself, no award is owed for that period.
Can my employer deduct anything?
Outstanding debts to the employer can generally be deducted from your final settlement, including this award.