Severance Pay Calculator

Estimate severance pay based on years of service, salary, and common severance formulas.

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How It Works

There is no federal law requiring severance pay, but it is commonly offered at 1-2 weeks of pay per year of service. Severance is taxed as supplemental income (22% federal flat rate for withholding). Benefits continuation (COBRA) costs are often covered for 1-6 months. Executives may negotiate higher multiples. Some states require payout of accrued PTO as part of final compensation.