Kuwait indemnity calculator (2026)
End-of-service indemnity under Kuwait Labour Law No. 6 of 2010
Under Article 51 of Kuwait Labour Law No. 6 of 2010, a monthly-paid worker earns 15 days' wage for each of the first five years of service and one month's wage for each year beyond five, capped at one and a half years' total wage. If you resign from an indefinite contract (Article 53), the indemnity is scaled: nothing under 3 years, half for 3 to 5 years, two thirds for 5 to 10 years, and the full amount at 10 years or more.
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Frequently asked questions
How is end-of-service indemnity calculated in Kuwait?
For a monthly-paid worker: 15 days' wage for each of the first five years, then a full month's wage for each year beyond five. The daily wage is the monthly wage divided by 26. The total cannot exceed one and a half years' wage.
Does resignation reduce the indemnity?
On an indefinite contract, yes. Under Article 53 you receive nothing if you resign with under three years, half for three to five years, two thirds for five to ten years, and the full amount at ten years or more. Employer termination and fixed-term completion pay in full.
Why divide by 26 and not 30?
The 26-working-day month is the common private-sector convention used by the standard Kuwaiti calculators. It is convention rather than a fixed statutory divisor, so some employers use 30 or the contract's own basis; check your contract.
Is it on basic salary or total wage?
This is contested in practice. The wage definition in Article 55 points to the comprehensive last remuneration including regular allowances, but many employers compute on basic only. Enter the figure your contract uses.
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This tool estimates the Article 51 indemnity for a monthly-paid worker on an indefinite contract, using the common 26-day-month divisor. Day, week, piece and hourly-paid workers use lower rates. Final settlement may differ. This is not legal advice.