Complete Final Settlement Calculator

What is a Final Settlement?

A final settlement (also called end of service payment) is the total amount an employer must pay an employee when their contract ends in Saudi Arabia. It consists of four components:

• EOSB (End of Service Gratuity) — Based on years of service and basic salary per Article 84
• Notice Period Compensation — If notice wasn't served in full per Article 75
• Annual Leave Encashment — Unused and accrued leave per Articles 109–111
• Outstanding Overtime — Any unpaid overtime hours per Article 107

When Must Final Settlement Be Paid?

Under Saudi Labour Law Article 90, the employer must pay all amounts owed within 7 days of the employment contract ending. Delays incur a penalty of 50% of the owed amount.

Frequently Asked Questions

Q: Does the employer have to pay if I resign?
A: Yes — EOSB (if entitled based on years), all unused leave, and any outstanding overtime must always be paid regardless of who terminated the contract.

Q: Can my employer deduct debts from the settlement?
A: Yes, but only per Article 88 limits. Deductions cannot exceed the total entitled amount and must be pre-agreed in writing.