End of Service Gratuity Calculator
Estimate the end-of-service indemnity for private-sector employees in Kuwait. Enter the dates and salary, and the result appears with a step-by-step breakdown of how it was calculated.
This version covers indefinite-term contracts. Fixed-term contracts have different provisions.
Employee details
Salary including fixed allowances
Estimated gratuity
Service period: 7 years, 7 months and 0 days
| Daily wageSalary ÷ 26 | 32.692 KWD |
| First 5 years5.0 years × 15 days | 75.0 days |
| Beyond 5 years2.6 years × 30 days | 77.5 days |
| Total days due | 152.5 days |
| Gratuity before adjustment | 4,985.577 KWD |
| Final amount due | 4,985.577 KWD |
This is an indicative estimate for planning purposes, not a legal opinion. Details vary by contract type and by how the salary and allowances are counted. Consult your legal advisor before relying on any figure.
How is the gratuity calculated?
The coefficients behind the numbers, so every result can be checked by hand
First 5 years
15 days of wage for each year of service.
Beyond 5 years
One month (30 days) of wage for each additional year.
Maximum
The total gratuity cannot exceed one and a half years of salary (18 months).
Daily wage
Monthly salary divided by 26 by default. Some employers divide by 30. The difference is material, and you can switch the basis in the calculator.
Resignation
Under an indefinite contract, resignation reduces the entitlement: nothing before 3 years, half from 3 to 5 years, two-thirds from 5 to 10 years, and the full amount after 10 years.
Disciplinary dismissal
Dismissal for the reasons listed in Article 41 forfeits the gratuity and is not covered by this calculator.
Frequently asked questions
Who is this calculator for?
Private-sector employees in Kuwait covered by Labour Law No. 6 of 2010 on indefinite-term contracts. Fixed-term contracts, and sectors governed by other laws, follow different rules.
Which salary is used in the calculation?
The last monthly salary including fixed allowances that are paid every month, such as housing or transport. Variable amounts such as one-off bonuses are usually excluded.
What happens if the employee resigns?
Under an indefinite contract, resignation reduces the entitlement: nothing before 3 years of service, half from 3 to 5 years, two-thirds from 5 to 10 years, and the full gratuity after 10 years.
Is there a maximum gratuity?
Yes. The total cannot exceed one and a half years of salary, which is 18 months. The calculator applies this cap automatically and flags it when it is reached.
Why divide the salary by 26 and not 30?
Dividing by 26 reflects the working days in a month and is the common practice in Kuwait. Some employers divide by 30 calendar days. The difference changes the result noticeably, so the calculator lets you switch between the two.
Can Odoo calculate end-of-service provisions automatically?
Yes. Q8Coders configures Odoo HR and Payroll to compute the accrued gratuity for every employee, book the monthly provision, and settle the final amount on exit. Contact us for a demo.