End-of-service award after 25 years in Saudi Arabia (wage SAR 10,000)

Rules checked 2 November 2026 · Go Home Early

After 25 years of service on a wage of SAR 10,000 a month, the end-of-service award in the Saudi private sector is SAR 225,000 when the employer ends the contract or a fixed term expires, and SAR 225,000 when the worker resigns. The full award is 22.5 months of wage.

The first 5 years earn 2.5 months (5 x 0.5) and the 20 years after them earn 20 months (20 x 1), 22.5 months in all. The full-month rate accounts for 89% of the months.

Resigning after 25 years gives the full award, SAR 225,000, the same as a dismissal, because service of 10 years or more earns it in full.

One more year of service (26 years) would add SAR 10,000 to the award on a dismissal, taking it to SAR 235,000. For a resignation the award would go from SAR 225,000 to SAR 235,000. 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
Service25 years25 years
Months of wage in the full award22.5 months22.5 months
Full awardSAR 225,000.00SAR 225,000.00
Share dueall of itall of it
End-of-service awardSAR 225,000.00SAR 225,000.00

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 25 years on other wages

Monthly wageMonths of wageDismissal or expiryResignation
SAR 3,00022.5 monthsSAR 67,500SAR 67,500
SAR 5,00022.5 monthsSAR 112,500SAR 112,500
SAR 8,00022.5 monthsSAR 180,000SAR 180,000
SAR 10,000 (example)22.5 monthsSAR 225,000SAR 225,000
SAR 12,00022.5 monthsSAR 270,000SAR 270,000
SAR 15,00022.5 monthsSAR 337,500SAR 337,500
SAR 20,00022.5 monthsSAR 450,000SAR 450,000
SAR 25,00022.5 monthsSAR 562,500SAR 562,500
SAR 30,00022.5 monthsSAR 675,000SAR 675,000
SAR 40,00022.5 monthsSAR 900,000SAR 900,000

Common questions

How much end-of-service award is due after 25 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 225,000 after 25 years: 22.5 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 25 years?

Article 85 gives the full award at this length of service: SAR 225,000.

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.