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Saudi End of Service Calculator (EOSB)
End-of-service benefits (mukafat nihayat al-khidma) are money your employer legally owes you when your job in Saudi Arabia ends. Most expats either don’t know the formula or accept whatever HR hands them. Use the calculator below, then read the full breakdown so you can check your employer’s figures line by line.
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Calculate your EOSB ESTIMATE ONLY
How it works: daily wage = monthly wage ÷ 30. Years 1–5 earn 15 days’ wage per year; year 6 onward earns 30 days’ wage per year; partial months are prorated. Resignation applies the Article 85 tiers below. Termination, contract expiry and mutual agreement pay the full amount.
The formula: Article 84
| Service period | What you earn |
|---|---|
| Each of the first 5 years | ½ month’s wage per year (15 days) |
| Each year after the 5th | 1 full month’s wage per year (30 days) |
The base is your last wage: basic salary plus fixed allowances (typically housing and transport). Variable commissions and one-off bonuses are excluded. There is no maximum cap.
Resignation reductions: Article 85
| Service at resignation | You receive |
|---|---|
| Less than 2 years | Nothing (0%) |
| 2 to under 5 years | One-third (⅓) of the total |
| 5 to under 10 years | Two-thirds (⅔) of the total |
| 10 years or more | Full amount (100%) |
Worked example
Last wage: SAR 10,000 · Service: 8 years · Resigned
- Daily wage = 10,000 ÷ 30 = SAR 333.33
- First 5 years: 15 × 333.33 × 5 = SAR 25,000
- Next 3 years: 30 × 333.33 × 3 = SAR 30,000
- Full award = SAR 55,000
- Resigned with 8 years → two-thirds: 55,000 × ⅔ = SAR 36,666.67
Had this worker been terminated instead of resigning, the full SAR 55,000 would apply.
Frequently asked questions
How is end of service calculated in Saudi Arabia?
Under Article 84 of the Saudi Labor Law, you earn half a month’s wage for each of your first 5 years of service, and one full month’s wage for each year after that. The calculation uses your last wage — basic salary plus fixed allowances such as housing and transport. Partial years are prorated.
Do I get end of service benefits if I resign in Saudi Arabia?
Yes, but with reductions under Article 85: less than 2 years of service means no benefit; 2 to under 5 years gives one-third; 5 to under 10 years gives two-thirds; 10 years or more gives the full amount.
Is there a maximum cap on Saudi end of service benefits?
No. Saudi Labor Law does not place an upper cap on end-of-service benefits for private-sector workers.
Are allowances included in the EOSB calculation?
Fixed allowances such as housing and transport are included in the “last wage” used for the calculation. Variable pay, commissions and one-off bonuses are generally excluded.
Do I get EOSB if my fixed-term contract simply expires?
Yes. Natural expiry of a fixed-term contract is treated like termination by the employer — you receive the full benefit with no resignation reduction.
Related: what else goes into your final settlement · overtime calculation · resigning under the new Qiwa rules
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