$US Department of Labor / Company Severance Policy

Severance Pay Calculator

Calculate your statutory end-of-service gratuity, redundancy pay, or severance based on service tenure and last drawn basic salary.

Verified Against US Department of Labor / Company Severance PolicyRuleset: Statutory Formula100% Free • No Sign Up Required

Regional Rules ActiveCurrency: USD ($)

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Last Drawn Monthly Basic SalaryBasic wage excluding non-fixed allowances

Completed Years of ServiceFull completed years

yrs

Completed MonthsAdditional months

mos

Statutory Eligibility Confirmed

Severance in the US depends on company policy or employment contract (customary benchmark: 2 weeks per year).

Eligible

Calculated based on 60 months of service

Estimated Payout

$13,846.15

Service Tenure

5y 0m

Governing Statute

US Department of Labor / Company Severance Policy

Severance pay is treated as taxable supplemental wage income by the IRS.

Summary in USD

Component	Amount	Share
Last Drawn Monthly Basic Salary	$6,000.00	Salary Basis
Completed Service Duration	5 yrs, 0 mos	60 months
Statutory Eligibility Status	Eligible	Severance in the US depends on company policy or employment contract (customary benchmark: 2 weeks per year).
Estimated Severance Pay	$13,846.15	Estimated Severance = 2 Weeks Pay × 5 Years = $13,846