End-of-service award after 21 years in Saudi Arabia (wage SAR 10,000)

Rules checked 2 November 2026 · Go Home Early

After 21 years of service on a wage of SAR 10,000 a month, the end-of-service award in the Saudi private sector is SAR 185,000 when the employer ends the contract or a fixed term expires, and SAR 185,000 when the worker resigns. The full award is 18.5 months of wage.

The first 5 years earn 2.5 months (5 x 0.5) and the 16 years after them earn 16 months (16 x 1), 18.5 months in all. The full-month rate accounts for 86% of the months.

Resigning after 21 years gives the full award, SAR 185,000, the same as a dismissal, because service of 10 years or more earns it in full.

One more year of service (22 years) would add SAR 10,000 to the award on a dismissal, taking it to SAR 195,000. For a resignation the award would go from SAR 185,000 to SAR 195,000. A year at the full-month rate is one month of wage.

Work out your own award

The working

StepDismissal or expiryResignation
Monthly wageSAR 10,000SAR 10,000
Service21 years21 years
Months of wage in the full award18.5 months18.5 months
Full awardSAR 185,000.00SAR 185,000.00
Share dueall of itall of it
End-of-service awardSAR 185,000.00SAR 185,000.00

Private sector, last wage, a part year in proportion, no deduction. Article 85 applies the share only when the worker resigns. A dismissal under Article 80 carries no award.

The same 21 years on other wages

Monthly wageMonths of wageDismissal or expiryResignation
SAR 3,00018.5 monthsSAR 55,500SAR 55,500
SAR 5,00018.5 monthsSAR 92,500SAR 92,500
SAR 8,00018.5 monthsSAR 148,000SAR 148,000
SAR 10,000 (example)18.5 monthsSAR 185,000SAR 185,000
SAR 12,00018.5 monthsSAR 222,000SAR 222,000
SAR 15,00018.5 monthsSAR 277,500SAR 277,500
SAR 20,00018.5 monthsSAR 370,000SAR 370,000
SAR 25,00018.5 monthsSAR 462,500SAR 462,500
SAR 30,00018.5 monthsSAR 555,000SAR 555,000
SAR 40,00018.5 monthsSAR 740,000SAR 740,000

Common questions

How much end-of-service award is due after 21 years in Saudi Arabia?

On a monthly wage of SAR 10,000, a worker whose employer ends the contract, or whose fixed term expires, gets SAR 185,000 after 21 years: 18.5 months of wage.

Which wage is the award worked out on?

Article 84 uses the last wage, and Article 2 defines wage as the basic wage plus the allowances and other increments due under the contract. Use the whole monthly wage, not the basic wage alone.

What if I resign after 21 years?

Article 85 gives the full award at this length of service: SAR 185,000.

Other lengths of service

Award by years of service, 1 to 25 years · End-of-service award calculator · Annual leave pay

Sources

This page shows figures calculated from Articles 84 and 85 of the Saudi Labor Law, as listed on the Sources page. It is general information only. Your contract, your payroll and your personal situation may differ. Rules as at 2 November 2026.