Severance Pay Calculation
The severance pay calculator has been designed to help employees whose employment contracts have ended obtain a practical estimate of the severance payment they may be entitled to receive. An approximate result can be calculated using the employee’s start date, termination date, gross salary and any regular additional payments.
Severance pay is one of the most frequently encountered employee receivables in employment law. However, the termination of employment does not automatically create an entitlement to severance pay in every case. Factors such as the reason the employment contract ended, the employee’s total length of service, the employer’s grounds for termination and whether the employee resigned for just cause must be assessed.
What Is Severance Pay?
Severance pay is a form of compensation to which an employee may become entitled, subject to certain conditions, based on the length of service at the workplace. As a general rule, the employee must have worked continuously for the same employer for at least one year. The employment contract must also have ended in accordance with one of the circumstances recognised by law.
What Is Taken into Account When Calculating Severance Pay?
- Employment start and termination dates
- Total length of service
- Final gross salary
- Regular transport, meal, bonus and similar payments
- Reason for resignation or dismissal
- Applicable statutory severance pay ceiling
The result produced by the calculator is an estimate only. The actual amount receivable can be determined after payroll records, bank payments, the employment contract, Social Security Institution (SGK) records and workplace practices have been reviewed together.
Legal Assistance Regarding Severance Pay
If there is a difference between the calculator result and the amount actually paid, a legal assessment of the employee’s receivables may be required. Legal remedies under employment law may be available, particularly in cases involving underpayment, unregistered wages, the exclusion of regular bonuses from the calculation or an inaccurate employment termination code.
Attorney Selin Önem Konur provides legal advice and representation in employee receivables and employment law disputes. For a detailed assessment of your severance pay calculation, please contact us through our contact page.
