What is severance pay?

Severance pay is compensation paid by the employer when an employment contract is terminated under certain conditions after at least 1 year of service. It is calculated as 30 days gross salary per full year.

What is the severance pay ceiling?

The severance pay ceiling is an upper limit updated every 6 months. Even if your gross salary exceeds the ceiling, calculation is based on the ceiling amount.

What deductions apply to severance pay?

Only stamp tax (0.759%) is deducted from severance pay. No income tax or SSI premium applies.

When is severance pay applicable?

Severance pay applies in cases of dismissal without just cause, retirement, military service, marriage (for female employees within first year), health reasons and death.

Severance Pay Calculator 2026

Calculate your severance pay. Detailed calculation based on employment duration, gross salary and current ceiling.

How Severance Pay Is Calculated

Severance = Dressed Gross Wage × Years of Tenure. 30 days' wage per full year, with pro-rated addition for partial years. Severance is fully exempt from income tax — only stamp tax applies.

2026 Severance Ceiling

The 2026 severance ceiling is 44,764.27 TL. Salaries above this cap are calculated using the ceiling.

Eligibility

Minimum 1 year tenure with the same employer
Termination by employer without just cause
Retirement (3600 days + 15 years insurance)
Resignation due to military service
Female employee resigning within 1 year of marriage
Health reasons, death

How to Use This Tool

Enter employment start and end dates
Enter last dressed gross monthly wage
See both severance and notice pay instantly

Example: Severance for a Worker With 6 Years of Tenure

Consider a worker with a 40,000 TL monthly gross wage and 6 uninterrupted years of service. Severance is 30 days of the "dressed" gross wage per full year: 40,000 × 6 = 240,000 TL gross. Only stamp tax (0.759%) is deducted — about 1,822 TL — and no income tax applies, leaving roughly 238,178 TL net. If the wage exceeded the applicable severance ceiling, the calculation would use the ceiling.

Common Mistakes

Using the base wage only: Severance is based on the "dressed" gross wage (including regular benefits like meals, transport, bonuses), not just the base salary.
Ignoring the ceiling: For high wages, severance is capped at the ceiling (the civil-servant retirement bonus ceiling).
Not knowing eligibility: Severance requires at least 1 year of service and a qualifying reason for termination. Resignation (without just cause) usually does not qualify.
Expecting income tax: Severance pay is exempt from income tax; only stamp tax applies.

Severance Pay Calculator