Updated for 2026 Saudi Labor Law · Reviewed August 2026

Saudi Arabia End of Service Benefit (EOSB) Calculator

Enter your salary and dates below for an instant, itemized gratuity estimate under Articles 84, 85 and 87.

Calculate Your End of Service Benefit

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Step-by-step calculation

This is an estimate based on the standard Article 84 formula. It doesn’t account for unpaid leave deductions, outstanding loans, or settlement terms specific to your contract. Confirm your final figure with HR or the Ministry of Human Resources and Social Development before making any decisions based on it.

Built and maintained by saudiajobs.net, the job platform thousands of workers in the Kingdom use to find their next role. We built the notice-period check below because it’s the part people forget until it costs them a start date.

Notice Period & Job Switch Calculator

Your gratuity number matters, but it’s not the thing that delays your start date at a new company. That’s your notice period, and it’s the step almost every other EOSB calculator skips entirely.

Standard statutory minimums under Articles 75-76: 60 days for monthly-paid workers on an unlimited contract, 30 days for workers paid on other terms. Your actual contract can set a longer period, and limited contracts generally run to their fixed end date unless both sides agree otherwise in writing.

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How Housing and Transportation Allowance Factor Into EOSB

This is the single biggest reason people under-calculate their own gratuity. Saudi Labor Law bases EOSB on your Actual Wage, not your basic salary alone. If your contract lists a basic salary plus a fixed housing allowance and a fixed transport allowance, all three amounts go into the calculation. Only genuinely variable pay, things like commissions, overtime, or one-off bonuses, can be left out, and only if your contract explicitly says so in writing. If your contract is silent on the matter, everything fixed counts.

What Happens If I Resign Between 2 and 5 Years?

You keep one-third of your full gratuity. This is Article 85’s middle tier, and it catches a lot of people by surprise because it feels like a steep cut for what might be years of solid work. The reduction only applies to voluntary resignation. If your employer ends the contract, or it expires naturally, this penalty doesn’t apply to you at all, even at the same tenure.

Years of ServiceResignation Payout
Under 2 yearsNo EOSB
2 to under 5 yearsOne-third of full EOSB
5 to under 10 yearsTwo-thirds of full EOSB
10 years or moreFull EOSB

Article 77 vs Article 85: Which One Applies to You

These two articles get confused constantly because both deal with how a contract ends, but they answer different questions. Article 85 governs the reduction tiers when you resign. Article 77 covers what happens when an unlimited contract is terminated by either party without a specific cause listed under the law, and it deals with notice and compensation obligations around that termination, separate from the EOSB formula itself.

Article 85 (Resignation Tiers)

Applies when you voluntarily resign. Reduces your EOSB based on tenure: nothing under 2 years, one-third from 2-5, two-thirds from 5-10, full at 10+.

Article 77 (Termination Without Cause)

Applies when an unlimited contract ends without a valid Article-80 reason. Full EOSB applies, and the terminating party may owe additional compensation on top of it.

How EOSB Is Calculated Under Article 84

Service PeriodAccrual Rate
First 5 yearsHalf a month’s wage for each year
Every year after year 5One full month’s wage for each year

Partial years still count. If you leave after 5 years and 4 months, that extra 4 months is paid out proportionally rather than rounded down to zero.

When You Get Full EOSB Despite Resigning (Article 87)

Two situations override the resignation reduction completely. A female worker who resigns within six months of getting married, or within three months of giving birth, is entitled to the full payout no matter how long she’s been with the company.

When You Get Nothing (Article 80)

An employer can only withhold your EOSB entirely in specific, clearly defined gross-misconduct cases such as proven dishonesty, unjustified absence beyond 30 intermittent days or 15 consecutive days after written warnings, or workplace assault. Outside those defined cases, withholding your gratuity isn’t legally justified.

Falahi, founder of saudiajobs.net
Written by Falahi
Founder, saudiajobs.net

Falahi has spent years building job platforms for the Saudi and GCC expat workforce and works daily with the labor law questions job seekers actually ask. This calculator and its formulas are checked against the Saudi Labor Law articles cited below and are reviewed periodically as regulations update. Falahi is not a lawyer, and this page is not a substitute for advice from a licensed legal professional or the Ministry of Human Resources and Social Development.

Sources referenced on this page: Saudi Labor Law, Royal Decree M/51, Articles 75, 76, 77, 80, 81, 84, 85, 87 and 88. For official confirmation of your entitlement, contact the Ministry of Human Resources and Social Development (HRSD) directly.

Frequently Asked Questions

How is end of service benefit calculated in Saudi Arabia?

You earn half a month’s wage for each of your first five years of service, then a full month’s wage for every year after that, based on your last actual wage including fixed allowances.

Do I get EOSB if I resign before two years?

No. Resigning before completing two years of continuous service does not entitle you to any gratuity payout, apart from the marriage or childbirth exceptions under Article 87.

Is EOSB the same for Saudi nationals and expat workers?

Yes. Articles 84 and 85 apply equally to Saudi and non-Saudi employees under the same labor contracts.

How long does my employer have to pay my final settlement?

Under Article 88, the employer must pay within seven days if the contract ends by termination or expiry, or within fourteen days if you resigned voluntarily.

Can I start a new job before serving my full notice period?

You’re legally expected to complete your notice period unless your employer agrees in writing to release you early. Starting a new role before that can expose you to compensation claims from your current employer, so confirm release terms before your last working day, not after.

I’m M. Falahi, an entrepreneur and digital creator behind saudiajobs.net and drivingjob.me. I specialize in building platforms that simplify access to essential services and provide users with valuable resources. With a passion for innovation, I aim to create digital solutions that make a meaningful difference.