Kuwait End-of-Service Indemnity Calculator
Calculate your statutory Kuwait end of service indemnity payout in KWD under Labor Law No. 6 of 2010.
End-of-Service Indemnity Calculator — Kuwait
Private Sector Labour Law No. 6 of 2010Select & enter details
For private-sector, monthly-paid workers under Law 6/2010. Daily, weekly and piece-rated workers follow separate rates.
Estimated entitlement
EligibleKWD 306,697
- Salary used
- KWD 50,000
- Completed years
- 8 yrs
- Partial year
- 91 days
- Base entitlement
- KWD 306,697
- Resignation factor
- 100% — full amount
Year-by-year breakdown
| Period | Years | Rate | Amount |
|---|---|---|---|
| First 5 yrs | 5 yrs | 15 days' / yr | 144,231 |
| Beyond 5 yrs | 3 yrs | 1 month / yr | 150,000 |
| Beyond 5 yrs · part year | 3 mths | 1 month / yr | 12,466 |
| Total | 306,697 |
How Kuwait calculates it
How end-of-service indemnity is calculated in Kuwait
Last wage — basic pay plus regular allowances and bonuses (such as housing and transport). Social and children's allowances are excluded.
No minimum service on termination, non-renewal, death or incapacity. If you resign from an indefinite-term contract, at least 3 years is needed.
Under 3 years: nothing · 3–5 years: one half · 5–10 years: two thirds · 10+ years: full. Full indemnity on termination, non-renewal, a female worker resigning within a year of marriage, or leaving for employer breach.
Total capped at 1.5 years' remuneration (18 months of wage for monthly-paid workers).
Frequently asked · Kuwait
Which wage is used to calculate gratuity in Kuwait: basic or total salary?
The wage used is your last wage: basic pay plus allowances and bonuses paid regularly. Social and children's allowances are excluded.
Is gratuity payable on resignation in Kuwait?
Yes, if you resign from an open-ended contract, but reduced by length of service. You receive nothing under three years, one half from three to five years, two thirds from five to ten years, and the full amount from ten years. The full amount is paid if you leave because of the employer's breach, or if you are a female worker who resigns within a year of marriage.
Do Kuwaitis get end-of-service indemnity?
Yes, for private-sector workers. The indemnity applies to every worker under the Labour Law, whatever their nationality, and is paid without deducting what the employer paid to the Public Institution for Social Security. Government employees follow other rules.
Why do companies need an actuarial valuation of gratuity / End of Service Benefit?
Gratuity is a long-term obligation, and accounting standards such as IAS 19 (and Ind AS 19 or AS 15 in India) require employers to measure it with actuarial methods. A valuation uses assumptions about future salary growth, employee turnover, mortality and discount rates, and it applies the projected unit credit method. For this reason it differs from the statutory calculator above, which shows the amount due today. An actuarial valuation supports the company's financial statements, the audit and funding decisions.
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