Kuwait Indemnity Calculator is the most wanted topic for workers in Kuwait. Indemnity is also known as End of Service Benefits. This Calculation is a critical step that must be completed according to Kuwaiti Labor laws when an employee leaves his job.

A huge number of foreign workers in Kuwait have no knowledge about Kuwait indemnity calculator or indemnity calculations. It is seen that sometimes workers leave the country without even getting their end of service benefits due to their poor knowledge on the subject.

According to Kuwait laws, indemnity is among the important rights that must be given to private sector employees.

The Law No. 6/2010 of the Kuwait Labour law states all the rules about indemnity. Every expatriate has the right to receive his indemnity. The indemnity always calculated according to terms listed in the Kuwait Labour law.

The staff of Kuwait Newz has made dedicated efforts on the subject of how to calculate indemnity in Kuwait. The following are the indemnity calculation rules all explained with suitable examples.

**Kuwait Indemnity Calculator Rules**

Indemnity is to be paid to an employee on completion of his mutual labor contract. This also applies to a case when he is terminated from the job.

For more than 3 years and up to 5 years of service, workers are entitled to a termination indemnity equivalent to 15 days Basic Salary for each complete year of service.

For more than 5 years of service, workers are entitled to a termination indemnity equivalent to 30 days Basic Salary for each complete year of service. **But the total indemnity must not exceed 18 months according to Article 51 of Kuwait Laws.**

**Rules for Resignation Cases **

**No indemnity before 3 Years**

An employee who resigns from his job before completing 3 years of service is not entitled to any indemnity once he decides to resign.

**50% indemnity**

Any employee who resigns after working for 3 years but less than 5 years in the company is eligible for a 50% indemnity. Here 50% indemnity means calculation of indemnity on the bases of 15 days Basic Salary for each complete year of service and total indemnity will be 50% of the calculated indemnity amount.

**Example of 50% indemnity**

An employee resigns after serving 4 years and his last basic salary was 600 KD. Then his indemnity calculator will calculate on the data as under:

Total Service: **4 years**

Last Received Basic Pay: **600 KD****For the 4 years**, (SuBbtract 4 weekends from 30 days)

15 days x 4 = 60 days = 60 / 26 = **2.31 months**

Indemnity amount = 2.31 x 600 = **1386 KD**

For less than 5 years of service indemnity is 50% so

Total receivable indemnity =50% of 1386 KD = **693 KD**

**Two-Third Indemnity**

Any employee who resigns after working for 5 years but less than 10 years in the company is eligible for a Two-Third indemnity. Here Two-Third indemnity means calculation of indemnity on the bases of 30 days Basic Salary for each complete year of service and total indemnity will be Two-Third of the calculated indemnity amount.

**Example of Two-Third Indemnity**

Here is an example of how to calculate indemnity in Kuwait for a worker with more than 5 years of service but less than years of service.

An employee resigns after serving 7 years and his last basic salary was 500 KD. Then his indemnity calculations will be as under:

Total Service: **7 years**

Last Received Basic Salary: **500 KD****For the first 5 years**, (Subtract 4 weekends from 30 days)

15 days x 5 = 75 days = 75 / 26 = **2.88 months****For the remaining 2 years**, (Do not subtract any weekend)

30 days x 2 = 60 days= 60 / 30 = **2 months****Total period = 4.88 months**

Indemnity amount = 4.88 x KD 500 = **2440 KD**

For more than 5 years but less than 10 years of service indemnity is Two-Third of total calculated indemnity amount so

Total receivable indemnity =Two-Third of 2595 KD = 2/3 * 2440 = **1626.66 KD**

**Full indemnity**

Any employee who resigns after working for 10 years in the company is eligible for a full indemnity.

A full indemnity is also given to women employees who render resignation within 6 months of marriage.

For employees who have reached their retirement age, which was disabled at work or died are given full indemnity.

Here full indemnity means calculation of indemnity on the bases of 30 days Basic Salary for each complete year of service and total indemnity will be equal to the full calculated indemnity amount. **But the total indemnity must not exceed 18 months according to Article 51 of Kuwait Laws.**

**Example of Full indemnity**

Here is an example of how to calculate indemnity in Kuwait for a worker with more than 10 years of service.

An employee resigns after serving 12 years and his last basic salary was 800 KD. Then his indemnity calculations will be as under:

Total Service: **12 years**

Last Received Basic Salary: **800 KD****For the first 5 years**, (Subtract 4 weekends from 30 days)

15 days x 5 = 75 days = 75 / 26 = **2.88 months****For the next 7 years**, (Do not subtract any weekend)

30 days x 7 = 210 days= 210 / 30 = **7 months****Total period = 9.88 months**

Indemnity amount = 9.88 x KD 800 = **7904 KD**

For more than 10 years of service indemnity is full or 100% of total calculated indemnity amount so

Total receivable indemnity = **7904 KD**

**Rules for Termination Cases **

If the employee is terminated by his company or employer than he is eligible to get full indemnity for each service whether more than 5 years or less than 5 years.

**Terminated before 5 Years**

If the employee is terminated by his company or employer before completing 5 years of service than he is eligible to get full indemnity on the bases of 15 days Basic Salary for each complete year of service and he will get the full calculated indemnity amount.

**Example Terminated before 5 Years**

Here is an example of how to calculate indemnity in Kuwait for a worker terminated before with more than 10 years of service.

An employee is terminated after serving 4 years and his last basic salary was 400 KD. Then his indemnity calculations will be as under:

Total Service: **4 years**

Last Received Basic Salary: **400 KD****For the 4 years**, (Subtract 4 weekends from 30 days)

15 days x 4 = 60 days = 60 / 26 = **2.31 months**

Indemnity amount = 2.31 x KD 400 = **924 KD**

For termination cases, there is a full indemnity

Hence, total receivable indemnity = **924 KD**

**Terminated after 5 Years**

If the employee is terminated by his company or employer after completing 5 years of service than he is eligible to get full indemnity on the bases of 30 days Basic Salary for each complete year of service and he will get the full calculated indemnity amount.

**Example of Terminated after 5 Years**

An employee resigns after serving 8 years and his last basic salary was 650 KD. Then his result of Kuwait indemnity calculator will be done as under:

Total Service: **8 years**

Last Received Basic Salary: **650 KD****For the first 5 years**, (Subtract 4 weekends from 30 days)

15 days x 5 = 75 days = 75 / 26 = **2.88 months****For the remaining 3 years**, (Do not subtract any weekend)

30 days x 3 = 90 days= 90 / 30 = **3 months****Total period = 5.88 months**

Indemnity amount = 5.88 x KD 650 = **3822 KD**

For termination cases, there is a full indemnity

Hence, total receivable indemnity = **3822 KD**

**Rules for Workers on Daily Wages**

Workers on daily wages will also get an indemnity. For those who leave the job after completing 3 years, the result of Kuwait indemnity calculator will show on the bases of 10 days wages per year while those who leave after 5 years get indemnity calculated at the rate of 15 days wages for each year of service.

**Example1:**The total duration of work: 4 years

Per day wage 20 KD

If he leaves before 5 years, he gets 10 days of the wage for each year

10 days wages = 200 KD

Total indemnity = 200 x 4 = 800 KD

**Example2:**The total duration of work: 6 years

Per day wage 20 KD

If he leaves after 5 years, he gets 15 days of the wage for each year

15 days wages = 300 KD

Total indemnity = 300 x 4 = 1200 KD

SalimPls help me to calculate my indemnity i worked for 5 years and 8 months my salary was 1700kd monthly and i resigned.

Nazarfor first 5 years, you will get 2451.938

Next 8 months

Salary 1700

No of working days 26

salary per day 65.38461538

Indemnity days 30

Indemnity amount for 1 year 1961.538462

Year Worked (8/12) 0.666666667

KD 1307.692308

2/3 OF Indemnity 871.7948718

S Gaber4,024.786 K.D.

SmitaRetiring after 13.6 years

salary KD 325.000 & HRA KD 100.00

Could you let me know how much the Indemnity officially comes to me

Past PapersDear Sir,

Good Afternoon

I appreciate your effort on the topic. You have written the excellent material on the indemnity calculations related to Kuwait. Especially your examples have solved all my issues.

So far I have considered all the top sites on the indemnity but the stuff on your site is excellent. Keep on doing well and never stop doing good work.

Best Regards

AbdulKadirThank you for your explanation.

bethany samuel joseph kumardear sir

please tell me my indemnity as complete 38 years of service in the ministry of health as a lab technician and my salary is of 707 kd total.i have not taken my indemnity yet.

Mamy thanks

bethany samuel joseph kumardear sir

please tell me my indemnity as complete 38 years of service in the ministry of health as a lab technician and my salary is of 707 kd total.i have not taken my indemnity yet.

Mamy thanks

mycivil id card is; 253100900335