What am I owed when I leave my job in South Africa?

Your final pay can include notice pay (if paid in lieu of working it), a payout of all your unused annual leave at your daily rate, a pro-rata 13th cheque if it is guaranteed in your contract, and - only if you are retrenched - severance pay of at least one week for every completed year of service.

How is severance pay calculated in South Africa?

For a genuine retrenchment the BCEA minimum is one week's remuneration for every completed year of continuous service. It does not apply to resignation, dismissal for misconduct or the normal end of a fixed-term contract. Your contract or a collective agreement may provide more.

Is severance pay taxed in South Africa?

A severance benefit paid because of retrenchment is taxed on the retirement lump-sum table: the first R550,000 is tax-free over your lifetime, then 18%, 27% and 36% on higher amounts. Notice pay, leave payout and a pro-rata bonus are taxed as normal income at your marginal rate.

How is my leave paid out when I resign?

All unused annual leave must be paid out when you leave, whatever the reason. It is calculated at your daily rate, which is your monthly salary divided by 21.67, multiplied by the number of unused days.

What notice period must I give or get?

The BCEA minimum notice is one week if you have worked six months or less, two weeks if you have worked between six and twelve months, and four weeks if you have worked longer than a year. Notice is only paid as a lump sum if it is paid in lieu of being worked.

Final Pay Calculator (South Africa)

Leaving your job? Work out what you are owed on your last payslip – notice pay, severance, your unused leave payout and a pro-rata 13th cheque – plus an estimate of the tax and what lands in your pocket. Based on the BCEA and SARS 2026/2027 tables.

Reviewed: July 2026

Estimate only, not payroll or legal advice. Real figures depend on your contract, your total income for the year and any SARS tax directive. Severance pay is only a legal entitlement in a genuine retrenchment (operational requirements).

1. Why are you leaving?

2. Your details

Monthly salary (gross, R)

Unused leave days

Completed years of service

Extra months (beyond full years)

I get a guaranteed 13th cheque / annual bonus (one month’s salary) My notice will be paid out to me instead of worked (paid in lieu of notice)

Notice payR0

Severance payR0

Leave payoutR0

Pro-rata 13th chequeR0

Gross totalR0

Less: estimated tax-R0

Estimated take-homeR0

How each amount is worked out

Notice pay: BCEA minimum is 1 week (under 6 months’ service), 2 weeks (6-12 months) or 4 weeks (over a year). Only paid to you as a lump sum if it is paid in lieu of working it.
Severance pay: at least 1 week’s pay for every completed year of service – but only in a genuine retrenchment. Resignation, dismissal for misconduct and a normal contract end do not qualify.
Leave payout: all unused annual leave, paid at your daily rate (monthly salary / 21.67). Always due, whatever the reason for leaving.
13th cheque: only if it is guaranteed in your contract – paid pro-rata for the part of the cycle you worked.
Tax: a retrenchment severance benefit gets the first R550,000 tax-free (lifetime), then 18% / 27% / 36%. Notice, leave and bonus are taxed as normal income at your marginal rate.

Sources: Basic Conditions of Employment Act (notice, severance, leave) and SARS 2026/2027 tax tables and the severance/retirement lump-sum table. This tool is a guide only and not a substitute for advice from a labour professional, the CCMA or a tax practitioner. Reviewed July 2026.

Final Pay Calculator (South Africa)

You may be interested

CCMA Deadlines: How Long You Have to Refer a Dispute in South Africa

How Much Severance Pay You Are Owed and How It Is Taxed

What Notice You Are Owed When You Are Retrenched

Should You Resign or Wait to Be Retrenched?