About End of Service Benefit (ESB) Calculator
Under the Saudi Labor Law, every worker completing an employment contract in the Kingdom of Saudi Arabia is entitled to an End of Service Benefit, commonly termed severance or gratuity. Governed by Articles 84 and 85 of Royal Decree No. M/51, this statutory payout is calculated using your last drawn total wage, which includes your basic salary along with regular contractual allowances such as housing and transportation.
The exact gratuity amount depends on two primary elements: your total duration of continuous service and the legal grounds for contract conclusion. When an employment term ends through natural contract expiry or termination by the employer without cause, Article 84 awards a half month of wages for each of your first five years, and a full month of wages for every subsequent year. When an employee chooses to resign, Article 85 applies tiered reductions for tenures under ten years. This calculator evaluates both scenarios with full pro rata accuracy down to the month.