Worker Retirement Benefits Act §8

Severance Pay Calculator

Average daily wage × 30 × (service days ÷ 365). Higher of average or ordinary daily wage applies. Optional 3/12 portion of annual bonus and unused-leave pay.

Tenure

Wage

Result

Enter dates and wages.

Eligibility

1+ year continuous service AND average 15+ hours per week (4-week avg). Triggered regardless of voluntary or involuntary termination. Applies to workplaces under 5 too (since 2010-12-01).

Average wage

Last 3 months' total wage ÷ days in that period (typically 90). Regular bonus = 1/4 of annual; unused-leave pay = 1/4 of last year's, both added in.

DC vs DB

DC (defined contribution): 1/12 monthly wage accumulated each year. This calculator assumes DB (defined benefit). DC final amount depends on investment returns.

Korean Severance Pay Calculator (Avg vs Ordinary Wage)