Last updated: 9 November 2026
Use this free final settlement calculator to estimate everything your employer owes you when a job in Saudi Arabia ends: the end of service award, cash for unused annual leave, notice pay and compensation for ending a contract without a valid reason. Each part is shown on its own with its Labour Law article, then the total. Unpaid salary is part of what you are owed; if your pay has been late, see what to do about a salary delay in Saudi Arabia.
Final Settlement Calculator (Saudi Labour Law 2026)
Wage to enter: your last basic salary and your regular monthly allowances. The Labour Law calculates these dues on the actual wage, which is basic pay plus housing, transport and other regular allowances (Article 2).
Estimate only, not legal advice. Your contract, the exact dates and the labour court can change the final figure.
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What Is Included in a Final Settlement
Many expats in Saudi Arabia think the final settlement is the same as the end of service benefit. It is not. The award is only one part, and the other parts are paid on top of it.
| Part | When it is due | Article |
|---|---|---|
| End of service award | Every ending except dismissal under Article 80, ending during probation and resignation before 2 years | 84, 85, 87, 80 |
| Unused annual leave | Always, for leave days due but not taken, including part of the current year | 109, 111 |
| Notice pay | Open-ended contracts, when the side ending the contract does not give the written notice | 75, 76 |
| Compensation | When the contract is ended without a valid reason | 77 |
| Unpaid salary and dues | Always | 88 |
Worked Example
An expat on a fixed-term contract earns a basic salary of SAR 6,000, a housing allowance of SAR 1,500 and a transport allowance of SAR 500, so the wage used is SAR 8,000 and the daily wage is SAR 266.67 (SAR 8,000 / 30). The job ran from 1 January 2019 to 31 December 2025, exactly 7 years, with 15 leave days not taken.
| Part | If the worker resigns | If the employer ends it without a valid reason (6 months left in the contract) |
|---|---|---|
| End of service award (full award: 5 x SAR 4,000 + 2 x SAR 8,000 = SAR 36,000) | SAR 24,000 (two thirds, Article 85) | SAR 36,000 (Article 84) |
| Unused leave: 15 x SAR 266.67 | SAR 4,000 | SAR 4,000 |
| Compensation: 6 months x SAR 8,000 | Not due | SAR 48,000 (Article 77) |
| Final settlement | SAR 28,000 | SAR 88,000 |
How It Is Calculated
- Wage (Article 2): the actual wage, meaning basic pay plus housing, transport and other regular allowances. A month counts as 30 days, so the daily wage is the monthly wage divided by 30.
- Service: years, months and days from your start date to your last working day, counting the last day, the same way as Qiwa’s official end of service calculator.
- End of service award (Article 84): half a month’s wage for each of the first 5 years and a full month’s wage for each year after that, with part years paid in proportion.
- Resignation (Article 85): nothing under 2 years, one third after 2 to 5 years, two thirds after more than 5 and less than 10 years, and the full award after 10 years. Since February 2025 a resignation means a worker ending a fixed-term contract (Article 2), and every expat contract is fixed-term (Article 37). See the resignation rules in Saudi Arabia.
- Full award even if you leave (Articles 81 and 87): force majeure, a female worker leaving within 6 months of marriage or 3 months of giving birth, or leaving because of a serious employer breach under Article 81.
- No award (Article 80): dismissal for one of the 9 cases in Article 80, such as assault, forgery or long absence after a written warning, and any ending during probation. These cases also remove notice pay and compensation, but unused leave is still paid.
- Unused leave (Article 111): leave days not taken x daily wage.
- Notice pay (Articles 75 and 76): for open-ended contracts only. The side that ends the contract without the written notice pays the wage for the notice period.
- Compensation (Article 77): when the employer ends the contract without a valid reason. The calculator then adds notice pay too if no notice was given, because Article 80 treats the award, notice and compensation as three separate rights.
Notice Periods After the 2025 Amendments (Article 75)
The Labour Law amendments in force since 19 February 2025 changed the notice periods for open-ended contracts. Before, both sides gave at least 60 days when the wage was paid monthly.
| Open-ended contract | Worker ends it | Employer ends it |
|---|---|---|
| Wage paid monthly | At least 30 days | At least 60 days |
| Wage not paid monthly | At least 30 days | At least 30 days |
The notice must be in writing and based on a valid reason. If the employer gives notice, you may take one paid day a week (or 8 hours) to look for a new job, and the employer can excuse you from work during the notice period while still paying it (Article 78).
Fixed-term contracts have no Article 75 notice. A resignation is accepted if the employer does not reply within 30 days. The employer can delay acceptance by up to 60 days with a written reason, and you can withdraw the resignation within 7 days unless it has already been accepted (Article 79 bis). The contract stays in force, with work and pay as normal, while the resignation is pending.
Compensation for Ending a Contract Without a Valid Reason (Article 77)
| Contract | Compensation (unless the contract sets its own amount) |
|---|---|
| Fixed-term | The wage for the rest of the contract term |
| Open-ended | 15 days of wage for each year of service |
| Both | Never less than 2 months of wage |
Article 77 does not say how part years count on an open-ended contract, so the calculator uses completed years only. A labour court may decide differently.
Unused Annual Leave (Articles 109 and 111)
You are entitled to at least 21 days of paid leave a year, rising to 30 days after 5 continuous years with the same employer. You cannot sell leave for cash while you are still working, but when you leave you are paid for every leave day due and not taken, plus leave for the part of the current year you worked. More on the rules in our guide to Article 109 annual leave.
When Must the Employer Pay?
- Within one week of the end of the contract, or within two weeks if you ended it (Article 88).
- The employer may deduct any work-related debt you owe, for example notice pay you did not give (Article 88).
- If you are not paid, ask in writing for the settlement and a breakdown, then file a claim through HRSD’s Friendly Settlement for Labor Disputes service (call centre 19911). Unsettled cases go to the labour court.
Not included in the calculator: tickets, bonuses, loans and any other benefit that comes from your contract rather than the Labour Law. Keep the settlement paper signed by your employer.
Frequently Asked Questions
What is included in a final settlement in Saudi Arabia?
The end of service award (Articles 84 to 87), pay for annual leave not taken (Article 111), notice pay if the required notice was not given (Articles 75 and 76), compensation if the contract was ended without a valid reason (Article 77) and any unpaid salary. Contract benefits such as tickets are extra.
How is final settlement calculated in Saudi Arabia?
Add up each part on the last actual wage (basic plus regular allowances): the end of service award, unused leave days x the daily wage (monthly wage / 30), notice pay where it applies and Article 77 compensation where it applies. The calculator on this page shows each part and the total.
How much final settlement do I get if I resign?
On a fixed-term contract you get one third of the end of service award after 2 to 5 years, two thirds after more than 5 and less than 10 years, and the full award after 10 years (Article 85), plus pay for unused leave. Under 2 years there is no award, but unused leave is still paid.
Is unused annual leave paid in the final settlement?
Yes. Article 111 gives you the wage for every leave day due and not taken, including leave for the part of the current year you worked. The daily wage is the monthly wage divided by 30.
What is the notice period in Saudi Arabia after the 2025 amendments?
For an open-ended contract with a monthly wage, the worker gives at least 30 days written notice and the employer at least 60 days. If the wage is not paid monthly, either side gives at least 30 days (Article 75). Fixed-term contracts follow the resignation process in Article 79 bis instead.
What compensation do I get if my employer terminates me without a valid reason?
Unless your contract sets an amount, the wage for the rest of the term on a fixed-term contract, or 15 days of wage for each year of service on an open-ended contract, and never less than 2 months of wage (Article 77). This is paid on top of the full end of service award.
Do I get anything if I am dismissed under Article 80?
Article 80 removes the end of service award, notice pay and compensation. Pay for leave not taken and any unpaid salary are still due.
When must the employer pay my final settlement?
Within one week of the end of the contract, or within two weeks if you ended it (Article 88). The employer may deduct work-related debts you owe.
Is the final settlement based on basic salary or total salary?
On the actual wage, which the Labour Law defines as basic pay plus allowances such as housing and transport (Article 2). A contract can exclude commissions from the end of service wage (Article 86).
Why can my result differ from my employer’s figure?
Common reasons are a different wage figure, a leave balance that does not match, Hijri instead of Gregorian dates (the law uses Hijri unless the contract says otherwise, Article 10) or an amount your contract sets. Ask for a written breakdown and compare it line by line.
Sources: Saudi Labour Law (Bureau of Experts consolidated text, including the amendments by Royal Decree M/44 in force from 19 February 2025), Articles 2, 10, 37, 74, 75, 76, 77, 78, 79 bis, 80, 81, 84 to 88, 109 and 111; Qiwa End of Service Reward Calculator; HRSD Friendly Settlement service. This calculator gives an estimate and is general information, not legal advice.