Severance calculator
German law gives no general right to severance. The usual starting point in a layoff is half a monthly gross salary per year of service. That is the amount the law names for a dismissal with a severance offer. Strong cases settle higher, weak ones lower.
- Years of service count in full. A period of more than 6 months rounds up to a full year.
- A severance is taxed in full but carries no social security contributions.
- The tax estimate assumes a full year of your salary in the same year. Paid in a year with less income, the tax is lower.
Related terms
- Abfindung
- Fünftelregelung
- Zuflussprinzip
- Sperrzeit
- Notice period calculator
- Unemployment benefit calculator
Open the simulator Try in the simulator what a negotiation can really get you.
This page explains German employment law in general terms. It is not legal advice for your situation. If a layoff affects you, talk to an employment lawyer, your union or your Betriebsrat.