Saudi end-of-service award calculator
Enter your last wage, your dates of service and why the job ended to estimate your end-of-service award (EOSB) under Saudi Labor Law.
How the award is calculated
The rules come from the Saudi Labor Law:
- Article 84: half a month's wage for each of the first five years and one month's wage for each year after, based on the last wage. Parts of a year are paid in proportion.
- Article 85: on resignation, the worker gets a share of that award depending on length of service.
- Article 87: exceptions where a resigning worker still gets the full award (see below).
- Article 80: dismissal for the misconduct listed in this article removes the award.
Full award = monthly wage × (first 5 years ÷ 2 + years after 5)
| Years of service | Employer ends contract / contract expires | You resign |
|---|---|---|
| Under 2 | Full award | Nothing |
| 2 to under 5 | Full award | One third |
| 5 to under 10 | Full award | Two thirds |
| 10 or more | Full award | Full award |
Resigning under an Article 87 exception gives the full award at every length of service.
Article 87 exceptions: the full award on resignation
Under Article 87 of the Saudi Labor Law, and as an exception to Article 85, a worker who leaves work because of force majeure beyond their control receives 100% of the full Article 84 award, whatever their length of service, even under 2 years. A female worker is also entitled to the full award if she ends the contract within 6 months of her marriage or within 3 months of giving birth.
For example, on SAR 10,000 a worker who resigns after 3 years under Article 87 gets the full SAR 15,000, instead of SAR 5,000 for an ordinary resignation. After 1.5 years they get SAR 7,500, where an ordinary resignation would give nothing.
Resigning from a fixed-term contract: since the Labor Law amendments came into force on 18 February 2025, Article 79 bis sets how a resignation from a fixed-term contract is handled. It is deemed accepted if the employer does not reply within 30 days. Within those 30 days the employer may defer acceptance for up to 60 days, giving its reasons in writing. This rule applies to fixed-term contracts only.
Worked examples
| Case | Wage | Calculation | Award |
|---|---|---|---|
| 4 years, contract ended by employer | SAR 10,000 | 10,000 × 4 ÷ 2 | SAR 20,000 |
| 3 years, resigned | SAR 9,000 | 9,000 × 3 ÷ 2 × ⅓ | SAR 4,500 |
| 8 years, contract ended by employer | SAR 12,000 | 12,000 × (2.5 + 3) | SAR 66,000 |
Example 1: contract not renewed after four years
Faisal's last wage is SAR 10,000 including housing. His fixed-term contract ends after 4 years and is not renewed. Each of those years earns half a month: 4 × 5,000 = SAR 20,000.
Example 2: resigning after three years
Nora resigns after 3 years on SAR 9,000. Her full award would be 9,000 × 3 ÷ 2 = SAR 13,500. Because she resigned with between 2 and 5 years of service, she gets one third: SAR 4,500.
Example 3: eight years of service
Ali's employer ends his contract after 8 years on SAR 12,000. The first 5 years give 2.5 months and the next 3 years give 3 months: 5.5 × 12,000 = SAR 66,000.
Common mistakes
- Using the UAE or Qatar rule. Saudi Arabia counts in months of wage, not days, and resignation reduces the award.
- Leaving out fixed allowances. The award is usually based on the full last wage, not the basic alone.
- Counting resignation shares wrongly. The share depends on your total service, not just the years after five.
- Forgetting part-years. 6 years and 6 months is 6.5 years.
Where to check or claim officially
If your employer disagrees with your figures or does not pay on time, these are the official routes. Keep your contract, payslips and a dated copy of any notice.
- Saudi Arabia: request amicable settlement of a labour dispute on HRSD's labour e-services (free; helpline 19911). If there is no settlement, the case goes to the labour court.
Read the final settlement checklist for payment deadlines and what the settlement must include.
Frequently asked questions
How much end-of-service award do I get if I resign in Saudi Arabia?
It depends on your service: nothing under 2 years, one third of the award for 2 to 5 years, two thirds for 5 to 10 years, and the full award from 10 years (Article 85).
What wage is the Saudi end-of-service award based on?
The last wage you received. In practice this is usually the basic wage plus fixed allowances such as housing and transport. Check your contract for what it includes.
Do I get the award if I worked less than a year?
If the employer ends the contract or it simply expires, the award is paid in proportion to your service, even for part of a year. If you resign before 2 years, nothing is due.
When is the award lost completely?
If the employer dismisses you for one of the misconduct cases listed in Article 80, such as assault or serious breach of duties, no award is due.
Are there exceptions for resignation?
Yes. Under Article 87 you get the full award if you leave because of force majeure, and a female worker gets it in full if she ends the contract within 6 months of marriage or 3 months of giving birth.
Does this apply to Saudi nationals?
Yes. The award applies to private-sector workers under the Labor Law, Saudi or not, in addition to any GOSI pension rights.
This calculator gives an estimate based on the law. Your contract, company policy or a labour court decision can change the amount. For a dispute, contact the Ministry of Human Resources or a lawyer.
Last verified on 2026-11-08 against Saudi Labor Law, Articles 84, 85, 87 and 80, and Article 79 bis (as amended, in force since 18 February 2025).