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HR KUWAIT / PAYROLL TOOLS

End-of-service calculator

A clearer estimate of your Kuwait indemnity. Start with your wage and service dates, then see how each part is calculated.

Calculated on your deviceNo salary data is sent or saved
Your qualifying wage

Use remuneration that belongs in the wage basis, not reimbursement of actual work expenses.

KWD · up to three decimal places

Your service dates
DD/MM/YYYY · Gregorian

Employment start date

Gregorian calendar · Use arrow keys to move and Enter to select a day.

SuMoTuWeThFrSa

01/01/1900 to 31/12/2100

DD/MM/YYYY · Gregorian

Last working date

Gregorian calendar · Use arrow keys to move and Enter to select a day.

SuMoTuWeThFrSa

01/01/1900 to 31/12/2100

An anniversary completes a full year. The model measures elapsed time between the dates; it does not add an extra day to the end date.

Enter only distinct days legally confirmed as non-counting service for this employment. Count overlapping periods once. Do not include paid leave, weekly rest days, public holidays or automatically assume sick leave is excluded.

Article 79 permits special unpaid leave; it does not establish a universal service-deduction rule. The exclusion remains subject to the applicable records and legal circumstances.

How did employment end?

Selecting a legal ground is a case assumption. The calculator cannot establish whether its factual and procedural conditions are met.

Unused Annual Leave

Enter the actual remaining balance, including a fractional day where recorded. Zero is simply the balance entered; it does not establish that all leave was taken. These days are not deducted from service.

A CALCULATION YOU CAN FOLLOW

How this estimate works

For private-sector employment under Law No. 6 of 2010. This model does not assess other employment regimes or more favourable contractual benefits.

Wage basis

Articles 55 and 62 guide the wage components and averaging. Enter qualifying recurring remuneration; exclude repayment of actual work expenses and avoid double counting.

Monthly calculation

The model uses monthly qualifying wage ÷ 26 for the first-five-year daily rate. Article 51 does not itself prescribe a universal divisor of 26. Each year beyond five adds one monthly qualifying wage; the cap is 18 monthly wages.

Dates and partial years

Completed calendar anniversaries count as full years. Remaining days are divided by days in the next anniversary year. A 29 February anniversary is treated as 28 February in a non-leap year. These are disclosed calculation conventions, not certified statutory day-count rules.

Resignation

For an indefinite contract, ordinary resignation or the selected Article 42 scenario uses 0% below 3 years, 50% from 3 to under 5, two-thirds from 5 to under 10, and 100% at 10 years. The cap is applied before this percentage.

Separate settlement items

Unused annual leave compensation is shown separately using the balance you enter. Notice compensation, unpaid wages, loans and other balances are not added or deducted. Interrupted service, competing contractual benefits and disputed termination grounds need separate review.

Confirmed service exclusions

The single input represents unique, legally confirmed non-counting days. The model subtracts it once from gross elapsed days, then measures that reduced calendar period from the original start date for proportional amounts and service thresholds. It does not infer excluded periods or deduct paid leave, rest days, holidays or annual leave. This is a disclosed calculation convention, not a universal legal deduction rule.

Actual unused leave balance

Article 73 addresses payment for accumulated leave when the contract ends. The supplied Law 85/2017 replaces Article 70 with at least 30 paid working days and a six-month first-year threshold. This tool uses your actual balance, not an accrual estimate. Article 72 allows longer accumulation by mutual agreement; no absolute two-year cash-payout cap is imposed. The monthly daily rate remains the disclosed wage ÷ 26 assumption.

Calculator questions, answered

How is end-of-service indemnity calculated in Kuwait?

For the monthly-paid private-sector scenario, Article 51 describes 15 days’ wage per year for the first five years and one monthly wage per later year, subject to an 18-month wage cap and proportionate partial years. This calculator uses monthly qualifying wage ÷ 26 for its daily rate; that divisor and its anniversary-based day count are disclosed assumptions. Other pay arrangements need reviewed wage bases. PIFSS coverage requires a separate assessment: the displayed ordinary reference is not a certified employer-payable amount.

Original-text and separate amendment references: Article 51 · Law 85/2017 · Law 17/2018

Does ordinary resignation affect entitlement?

For an indefinite contract, the Article 53 scenario applies 0% below three years, 50% from three to under five, two-thirds from five to under ten, and 100% at ten years. This calculator applies that percentage to the capped reference using qualifying service. Fixed-term endings, disputed grounds and insured cases need individual review; the same formula does not determine every case.

Original-text and separate amendment references: Article 53

Are qualifying allowances included?

The wage basis may include qualifying recurring remuneration and eligible variable benefits, as described in Articles 55 and 62. Enter reviewed wage components, exclude reimbursement of actual work expenses, and do not count the same benefit twice. Variable and piece-rate averages need the relevant reference period; the calculator does not decide whether a disputed allowance qualifies.

Original-text and separate amendment references: Article 55 · Article 62

Is unused annual leave paid separately?

Yes, the calculator displays unused-leave compensation as a separate estimate using the actual remaining balance you enter, multiplied by the daily wage shown. Article 73 addresses compensation for accumulated leave on termination. This tool does not estimate accrual or certify the balance. Its combined figure covers indemnity and this leave estimate only, not a complete final settlement.

Original-text and separate amendment references: Article 73 · Law 85/2017

Are unpaid leave and absence days excluded from service?

Not automatically. Article 79 permits special unpaid leave but does not itself establish a universal service-exclusion rule. Enter only unique days already legally confirmed as non-counting service. The calculator deducts that total once; overlapping periods must be counted once in your records. Do not include paid leave, weekly rest days or public holidays. The reduced-calendar-period method and its effect on thresholds are explained above.

Original-text and separate amendment references: Article 79

Calculation basis and sources

Editorial calculation notes linked to historical source texts and separate amendments. This is not a certified current consolidation of Kuwaiti law.

Original 2010 provisions

Article 51 and Article 70 amendment documents

Official judicial publication — PIFSS distinction ↗

The official compilation reproduces reasoning in appeals 10 and 12/2014, dated 25 December 2017, at PDF pages 134–135. Its present application after the later amendments has not been certified; that is why the insured branch is not automated.

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