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Kuwait final settlement calculator
Everything you should get when you leave a job in Kuwait, in one figure: indemnity + wages owed + unused leave + notice pay, minus what you owe.
Your final settlement
What goes into a Kuwait final settlement
| Part | Formula | Law |
|---|---|---|
| Indemnity | 15 days' wage a year for 5 years, then a month a year, at most 18 months | Art. 51 |
| If you resigned (open contract) | Nothing under 3 years, half for 3 to 5, two thirds for 5 to 10, all from 10 | Art. 53 |
| Wages owed | Days × wage ÷ 26 | Art. 56, 67 |
| Unused leave | Working days × wage ÷ 26 | Art. 73 |
| Notice not given | 3 months' wage (monthly pay), paid by the side that skipped it | Art. 44 |
| Fixed term ended early | The actual harm, at most the wage for the rest of the term | Art. 47 |
| Deductions | Debts and loans you owe | Art. 51, 59 |
| Time limit | Claim within 1 year of the end of the contract | Art. 144 |
Who gets the full indemnity
- The employer ends the contract, including during probation (Article 32).
- A fixed-term contract ends and is not renewed (Article 52).
- You leave under Article 48 because the employer broke the contract or the law, assaulted you, or the Ministry of Health medical committee finds the work a risk to your health or safety.
- Death, loss of working capacity, bankruptcy or closure (Articles 49, 50).
- A woman resigns within 1 year of marriage (Article 52).
Only Article 41(a) takes the whole indemnity away: a mistake causing serious loss, getting the job by fraud, or revealing secrets.
Worked example: the employer ends it without notice
Wage KWD 500. Joined 1 January 2020, last day 31 December 2025 (2,192 days, 6.01 years). The employer gives no notice (3 months owed), 10 days of December are unpaid, 10 leave days are left and a KWD 200 loan is still open.
- Indemnity: 15 × 500 ÷ 26 × 5 + 500 × 1.0055 = KWD 1,945.047.
- Notice pay: 3 × 500 = KWD 1,500.000.
- Wages owed: 10 × 500 ÷ 26 = KWD 192.308.
- Leave: 10 × 500 ÷ 26 = KWD 192.308.
- Loan taken off: −KWD 200.000.
- Final settlement: KWD 3,629.663.
Worked example: you resign after 4 years
Wage KWD 400. Joined 1 January 2021, last day 31 December 2024 (1,461 days), notice served, 20 leave days left.
- Full indemnity: 15 × 400 ÷ 26 × 4.0027 = KWD 923.709; resigning with 3 to 5 years keeps half: KWD 461.855.
- Leave: 20 × 400 ÷ 26 = KWD 307.692.
- Final settlement: KWD 769.547, plus any wages still owed.
Had the same worker left without serving the 3 months, the employer could claim 3 × 400 = KWD 1,200 for the notice (Article 44).
When must it be paid?
The Labour Law sets no fixed number of days for paying the indemnity. Wages may not be paid more than 7 days after they are due (Article 56), and all dues must go into your bank account in Kuwait (Article 57). If the employer denies your claim, the court will not hear it after 1 year from the end of the contract (Article 144), so do not wait. Workers' dues come before most of the employer's other debts (Article 145).
Each part on its own: Kuwait indemnity, Kuwait leave salary and Kuwait overtime. Notice rules in plain words: Kuwait notice period rules.
Sources (checked October 2026): Kuwait Labour Law No. 6 of 2010, Arabic text (PAM print, June 2017), Kuwait Times: Assembly raises annual leave (Law 85/2017), Kuwait Times: notice period and indemnity (2016), Teamed: Kuwait end-of-service indemnity. Laws change, and the ministry or a court gives the final figure.
Questions
What is included in a final settlement in Kuwait?
The end-of-service indemnity (Article 51, cut on resignation under Article 53), wages not yet paid, cash for unused annual leave (Article 73), notice pay if notice was not given (Article 44), compensation if a fixed-term contract was ended early (Article 47), and anything else your contract gives. Debts and loans you owe the employer can be taken off (Article 51).
What is the notice period in Kuwait?
For an open-ended contract: at least 3 months for a monthly-paid worker and 1 month for others, from either side (Article 44). The side that skips it pays the worker's wage for the same period.
How long does the employer have to pay the final settlement in Kuwait?
The law sets no fixed deadline for the indemnity. Wages may not be paid more than 7 days late (Article 56). If the employer denies your claim, you must claim within 1 year of the end of the contract (Article 144).
What if I resign without serving notice in Kuwait?
Under Article 44 the side that ends the contract without notice owes the other side the worker's wage for the notice period. The employer may claim it from you.
Can I be dismissed without indemnity in Kuwait?
Only under Article 41(a): a mistake causing the employer serious loss, getting the job by fraud, or revealing work secrets. Dismissal for the other reasons in Article 41(b) keeps the indemnity.
What if my fixed-term contract is ended early?
Under Article 47 the side that ends it without a right pays compensation for the actual harm, at most the wage for the rest of the term.
Is the final settlement paid on basic or total salary in Kuwait?
On the last wage (Article 62), which includes everything paid periodically: basic, allowances, increments (Article 55).
How do I complain if my employer does not pay in Kuwait?
File a request with the Public Authority for Manpower (labour relations) first. It calls both sides, and if it cannot settle the dispute it sends the case to court within a month (Article 146). Workers pay no court fees (Article 144).
Read the guide
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