Kuwait indemnity calculator
Your end-of-service indemnity under Article 51 — accrual, the resignation ladder, and the 18-month cap, line by line.
Kuwait gives monthly-paid workers half a month's wage for each of the first five years, then a full month for each year after. Resign, and how much you keep depends on how long you stayed.
How Kuwait indemnity works (Article 51)
For a monthly-paid worker, the indemnity is half a month's wage for each of the first five years and a full month's wage for each year beyond five, calculated on your last total remuneration and capped at 18 months. Employer termination pays this in full.
If you resign, a ladder applies: nothing under three years, half from three to five years, two thirds from five to ten, and the full indemnity at ten years or more. A fixed-term contract that runs to its natural end pays in full.
Worked example. Wage KWD 600, eight years, terminated: (½ × 5 + 3) × 600 = 5.5 × 600 = KWD 3,300. The same worker resigning falls in the two-thirds tier: 3,300 × ⅔ = KWD 2,200.
Based on Kuwait Labour Law (Law No. 6 of 2010), Article 51 — last verified 14 June 2026.
Questions people ask
How is end-of-service indemnity calculated in Kuwait?
For monthly-paid workers: half a month's wage for each of the first five years, then a full month's wage for each year after — capped at 18 months' wage (Article 51).
Does resignation reduce my Kuwait indemnity?
Yes, on a ladder: nothing under three years, half from three to five, two thirds from five to ten, and the full indemnity at ten years or more. Employer termination always pays the full amount.
Is the indemnity based on basic or total salary?
On your last total remuneration — basic pay plus regular allowances, not basic alone.
Is there a maximum?
Yes — total indemnity can't exceed 18 months (1.5 years) of wage, however long you served.