Severance Pay Calculator
Enter employment period and salary information to calculate estimated severance pay
근무 정보 입력
설, 추석 상여금 등 연간 합계
야근수당, 직책수당 등 (3개월 합계)
입사일, 퇴직일, 월 기본급을 입력하면
예상 퇴직금을 계산해 드립니다.
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What is Severance Pay?
Severance pay is a monetary payment that employers must make when an employee retires after working for at least 1 year. According to the Employee Retirement Benefit Security Act in South Korea, employers must pay at least 30 days of average wages for each year of continuous service.
Severance Pay Requirements
- Continuous service of at least 1 year: Must have worked at the same workplace for at least 1 year
- 15 hours or more per week: Must have worked an average of 15 hours or more per week for 4 weeks
- Retirement: Paid regardless of reason (voluntary resignation, termination, retirement, etc.)
Severance Pay Calculation Method
Severance pay is calculated using the following formula:
Severance Pay = Average Daily Wage × 30 days × (Total Days of Service ÷ 365)Average Daily Wage Calculation
Average Daily Wage = Total Wages for 3 Months Before Retirement ÷ Total Days in 3 Months Before RetirementTotal wages include base salary, bonuses (3/12 of annual bonuses), and various allowances.
Payment Deadline
Employers must pay severance pay within 14 days from the date of retirement. The deadline can be extended by agreement between the parties if there are special circumstances. Late payment interest of 20% per annum applies if the payment deadline is missed.
