Kuwait Indemnity Calculator
Work out your end-of-service indemnity under Kuwait's private-sector Labour Law, including what you get if you resign.
Your last wage: basic salary plus regular allowances, unless your contract says basic only.
Daily wage = monthly wage ÷ this number. 15 days' wage is 15 of these days.
Unpaid leave does not count as service. A month counts as 30 days.
Add what else you are owed or owe, to see the full amount you should be paid when you leave.
Leave days are paid at your full monthly wage ÷ the days in a month above. Notice is paid at the full monthly wage.
How much of that currency you get for 1 KWD. The dinar is not fixed to one currency, so use today's rate from your bank or exchange house.
Year-by-year indemnity (before any resignation cut)
| Year | Rate | Indemnity (KWD) | Running total |
|---|
How your indemnity is worked out
15 days' wage a year for the first five years, a full month a year after that, up to 18 months (12 if paid daily).
- 1
Length of service
8y 0m 0d
= 8 years - 2
First five years
5 × 15 × 23.077
= KWD 1,730.77 - 3
Years after five
3 × 600
= KWD 1,800.00 - 4
Cap and your award
3,530.77 × all
= KWD 3,530.77
Read more: the formula, resigning, the cap and your final settlement
Article 51 of Kuwait's private-sector Labour Law No. 6 of 2010 gives a worker an end-of-service indemnity when the contract ends, based on the last wage:
- Paid by the month: 15 days' wage for each of the first five years, then one month's wage for each year after.
- Paid by the day, week, hour or piece: 10 days' wage for each of the first five years, then 15 days' wage for each year after.
- Part years are paid in proportion to the time worked.
- The total can't be more than one and a half years' wage (18 months) if you are paid by the month, or one year's wage if you are paid by the day, week, hour or piece.
The formula
daily wage = monthly wage ÷ 26
indemnity = 15 × daily wage × first 5 years + monthly wage × years after
capped at 18 × monthly wage (12 × if paid by the day, week, hour or piece)
if you resign: indemnity × your share (table below)
Worked example
You worked from 1 January 2017 to 31 December 2024, which is 8 years, on a monthly wage of KWD 600. The daily wage is 600 ÷ 26 = KWD 23.077. The first five years give 5 × 15 × 600 ÷ 26 = 45,000 ÷ 26 = KWD 1,730.77, and the next three give 3 × 600 = KWD 1,800. The indemnity is KWD 3,530.77, or 5.88 months of wage, well under the cap of 18 × 600 = KWD 10,800. If you resigned, you would get two thirds of it, which is KWD 2,353.85.
If your employer divides by 30 instead, the first five years give 5 × 15 × 20 = KWD 1,500 and the total is KWD 3,300.
If you resign
Article 53 reduces the indemnity when the worker resigns:
| Service when you resign | You receive |
|---|---|
| Under 3 years | Nothing |
| 3 to 5 years | Half the indemnity |
| 5 to 10 years | Two thirds of the indemnity |
| 10 years or more | The full indemnity |
You keep the full indemnity if your employer ends the contract or a fixed-term contract simply finishes. A woman who leaves within one year of marriage also gets the full indemnity, and so does a worker who leaves because the employer broke the contract, or whose contract ends through illness, disability or death, or because the employer goes bankrupt or closes the business (Articles 48 to 50 and 52). Leaving after childbirth is not one of the full-indemnity cases in the law. A worker dismissed for serious misconduct under Article 41 gets no indemnity.
Your final settlement
- Unused annual leave is paid out when you leave. The law gives 30 days of paid leave a year.
- Notice pay. On a contract with no end date, notice is 3 months for monthly-paid workers. If you are not asked to work it, it is paid.
- Your employer may deduct loans or advances you still owe.
Good to know
- These rules are for the private sector. Domestic workers are covered by a separate law (Law No. 68 of 2015), and government staff by civil service rules.
- Kuwaiti nationals in the social security scheme (PIFSS) may have parts of their indemnity handled differently. Check with your employer.
- Days of unpaid leave are not counted as service. Part months are counted by days, using a 365-day year.
Rules from Kuwait Labour Law No. 6 of 2010 (Articles 41, 44, 51, 52 and 53), checked against the English text of the law on 11 October 2026. This is an estimate for general information, not legal advice. What counts as your wage, and whether your employer divides by 26 or 30, can depend on your contract. Check with your employer or the Public Authority for Manpower before relying on it.
Common questions
How is end-of-service indemnity calculated in Kuwait?
Under Article 51 of Kuwait's private-sector Labour Law No. 6 of 2010, a monthly-paid worker gets 15 days' wage for each of the first five years and one month's wage for each year after, with part years paid in proportion. The total can't be more than one and a half years' wage. Eight years on KWD 600 a month gives about KWD 3,530.77.
Do I get indemnity if I resign in Kuwait?
It depends on your service. Under Article 53, resigning with under 3 years gives nothing, 3 to 5 years gives half the indemnity, 5 to 10 years gives two thirds, and 10 years or more gives the full amount. Some cases, such as a woman leaving within a year of marriage, keep the full indemnity.
How is the daily wage worked out for Kuwait indemnity?
The common practice in Kuwait is to divide the monthly wage by 26 working days, so 15 days' wage is 15 ÷ 26 of a month. Some employers divide by 30, which gives a slightly smaller figure. The calculator uses 26 by default and lets you switch to 30 in Advanced mode.
What is the maximum indemnity in Kuwait?
Article 51 caps the indemnity at one and a half years' wage, which is 18 months of your last wage. On KWD 600 a month the cap is KWD 10,800. With the usual rates, a monthly-paid worker reaches the cap after about 20 years of service, so long service beyond that adds nothing more.
Do daily-paid workers get less indemnity in Kuwait?
Yes. Workers paid by the day, week, hour or piece get 10 days' wage for each of the first five years and 15 days' wage for each year after, instead of 15 days and a full month. The same resignation rules apply, but the total is capped at one year's wage instead of one and a half years (Article 51).
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