How to Calculate End of Service Benefits (ESB) in Saudi Arabia (MHRSD Rules)

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Official MHRSD End of Service Calculator

Ministry of Human Resources & Social Development Labor Education Portal
Free Public Calculator

Simulate your legal End of Service severance payout according to your registered monthly wage, years of service, and contract termination type.

Governed By: Saudi Labor Law Articles 84 & 85 Open MHRSD Calculator ↗

The End of Service Award (مكافأة نهاية الخدمة) is a statutory entitlement due to private sector employees when an employment relationship concludes in Saudi Arabia. It is calculated based on your final actual wage (basic salary plus fixed regular allowances such as housing and transportation) and total years of continuous service.


1. Calculation When Contract Ends or Employer Terminates (Article 84)

If your fixed-term contract expires without renewal, or if the employer terminates your employment contract without cause, you are entitled to the full award under Article 84:

  • First 5 Years of Service: Half a month's wage for each completed year.
  • Years Exceeding 5 Years: One full month's wage for each additional completed year.
  • Note: Partial years are calculated proportionally on a pro-rata basis.

2. Calculation If the Employee Resigns (Article 85)

If an employee resigns voluntarily from their position, the payout ratio is adjusted based on total years spent with the company under Article 85:

Continuous Service Period Percentage of Award Received
Less than 2 Years 0% (No award entitled)
2 Years to Less than 5 Years One-Third (33.33%) of the full award
5 Years to Less than 10 Years Two-Thirds (66.66%) of the full award
10 Years or More 100% Full Award

Step-by-Step: Using the Official MHRSD Online Calculator

  1. Access the portal: MHRSD Labor Education Portal.
  2. Navigate to Tools & Calculators > End of Service Award Calculator.
  3. Select your Contract Type (Fixed-term or Indefinite).
  4. Choose the Reason for Leaving (Resignation, End of Contract, Employer Termination, or Force Majeure).
  5. Enter your Last Actual Wage (Gross monthly amount).
  6. Input your exact start and end dates (Years, Months, Days).
  7. Click Calculate to view your legal minimum severance award instantly.

Policy & Independent Guide Notice:
IqamaHub KSA is an independent educational informational blog. We do not adjudicate labor disputes, disburse gratuity payments, or represent the Ministry of Human Resources. For official disputes, consult the Amicable Settlement service on the MHRSD portal.