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Saudi final settlement: everything you are owed when you leave

By the Sumtrail editorial team. Published 10 October 2026. Last updated 10 October 2026.

When your job in Saudi Arabia ends, your employer owes you a final settlement. Here is what it should include.

What is included

  • Unpaid salary for days worked up to your last day.
  • End of service award under Articles 84 to 87: half a month's wage a year for five years, then a month a year. Resigning reduces it below 10 years of service.
  • Unused annual leave, paid on your wage (Article 111).
  • Notice pay if your employer ended the contract without the required 60 days' notice.
  • Any overtime, bonuses or allowances still owed under your contract.

What can be deducted

  • Advances and loans you owe.
  • Notice pay, if you resigned and did not serve your 30 days' notice.
  • Other deductions allowed by the law or a court.

Worked example

Wage SAR 8,000 (basic SAR 6,000), 7 years of service, employer ended the contract with full notice, 10 days of unused leave and 12 days of unpaid salary.

  • End of service: 5 × SAR 4,000 + 2 × SAR 8,000 = SAR 36,000
  • Unused leave: 10 × SAR 266.67 = SAR 2,666.67
  • Unpaid salary: 12 × SAR 266.67 = SAR 3,200
  • Final settlement: SAR 41,866.67

If the same worker had resigned, the end of service would be two thirds (SAR 24,000), and the settlement SAR 29,866.67.

When it must be paid

Within one week of the end of the contract if your employer ended it, and within two weeks if you ended it (Article 88). You can also ask for a service certificate, free of charge.

If you disagree

Ask for a written breakdown and compare it with your own figures. Disputes can be raised with the Ministry of Human Resources and Social Development, which first tries an amicable settlement before a case goes to the labour court.

See also the Saudi notice and resignation rules and the Saudi end of service guide.

Sources

Related on Sumtrail

See also the Saudi end of service calculator and all Saudi calculators.

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