Severance Pay Calculator
Base salary + fixed monthly allowances
Transfer Severance Pay Home
Use Wise for international transfers. Save up to 80% on fees vs banks!
Get Started FreeEnter Your Employment Details
Input your start/end dates and salary
to calculate
your expected severance pay.
Estimated Severance Pay (Pre-tax)
0 KRW
Daily Average Wage
0 KRW
30-Day Wage Basis
0 KRW
Severance Pay Eligibility
In Korea, employees who have worked for at least 1 year with a minimum of 15 hours per week are entitled to severance pay. Payment must be made within 14 days of resignation.
Understanding Korean Severance Pay
Severance pay calculation formula: (Daily Average Wage) × 30 × (Service Days ÷ 365)
The daily average wage is calculated from the total salary received in the last 3 months before resignation, divided by the number of days in that period.
Key Points:
- Minimum 1 year of continuous employment required
- Part-time workers are eligible if working 15+ hours/week
- Bonuses and unused leave pay are included in calculation
Need Deeper Guides?
Explore the 2026 Korea Life & Finance Roadmap on KR Insider . From visa updates to tax-saving strategies, we have you covered.
FAQ
Quick answers to common questions.
What is Korean severance pay (퇴직금)?
Severance pay in Korea is a mandatory payment by employers to employees who have worked for at least 1 year. It's calculated as approximately 1 month's salary per year of service.
How is severance pay calculated?
Formula: (Daily Average Wage) × 30 × (Service Days ÷ 365). Daily average wage is based on the last 3 months of salary including bonuses and allowances.
Am I eligible for severance pay?
You're eligible if you worked at least 1 year continuously with at least 15 hours per week. Both Korean and foreign workers are entitled to severance pay.
When should severance pay be paid?
By law, employers must pay severance within 14 days of the employee's resignation or termination date.