Korea Severance Pay Calculator
Estimate statutory Korean severance pay using the Ministry of Employment and Labor formula.
How to use Korea Severance Pay Calculator
Adds three months of wages to 3/12 of annual bonuses and qualifying annual-leave pay, then divides by the average-wage period. If the daily ordinary wage entered is higher, that amount is used.
Actual entitlement can differ due to legal conditions, excluded periods and workplace rules.
Calculation references
This tool was implemented against these primary public sources.
고용노동부 퇴직금 계산기 →국가법령정보센터 근로자퇴직급여 보장법 →Korean severance depends on daily wage and service days
The statutory estimate is based on average daily wage before retirement, not simply the final monthly salary multiplied by years worked. Bonuses, qualifying leave pay, the actual average-wage period and the ordinary-wage comparison can all change the result.
The applicable daily wage is the higher of calculated average wage and the entered ordinary wage.
Recommended steps
- Enter the day after the final workday as the retirement date.
- Verify wages and actual days in the average-wage calculation period.
- Separate annual bonuses, qualifying leave pay and excluded service periods.
How to interpret the result
- The result is before Korean retirement-income tax.
- Continuous service under one year or average scheduled work under 15 hours a week is generally outside the statutory rule.
- Excluded average-wage periods and disputed wage items require the official MOEL calculator or professional advice.
Frequently asked questions
Is the retirement date my final workday?
No. Following the MOEL calculator, enter the day after your final workday.
Is the full annual bonus added?
No. Three months out of twelve, or one quarter of the annual total, is added.
Why can the actual payment differ?
Excluded periods, workplace rules, legal classification of pay and retirement-income tax can change the amount.
Check the rule before calculating
Korea severance pay in 2026: eligibility, average wage and formula
A sourced guide to Korea’s statutory severance-pay baseline and the Ministry of Employment and Labor calculation.
Read and calculate →Verified source guideHow to calculate continuous service for Korean severance pay
Understand hire date, final working day and continuous-service days for a Korean severance estimate.
Read and calculate →Verified source guideAverage wage vs ordinary wage in Korean severance calculations
Learn why Korean severance calculations compare average wage with ordinary wage.
Read and calculate →