Online Severance Pay Calculator
※ This system provides calculation for reference only. For the detailed and accurate amount, please conduct the calculation according to the actual case.

Date of employment
(at the business entity currently in service)
Year  Month  Day
(Please enter the first date of employment at this business entity.)
End date of the labor contract
Year  Month  Day
(please enter the date you were severed by this business entity.)
The date on which the business entity becomes applicable to the Labor Standards Act
 
Average wage
 NT$ /Month     (Please input your average monthly wage)
Whether to switch to the new system between July 1, 2005 and June 30, 2010.
   (For all the seniority applies to the old system or all the seniority applies to the new system, please check "No".)
Has the seniority been converted to the new system?
Year  Month  Day
     
The severance pay agreed upon between the employer and the employee before the application of the Labor Standards Act
NT$      
(If this field is left blank, only the part that applies the Act will be calculated.)
 

 

 

Calculation results
◎The severance pay is about = NT$under the old system.
◎The severance pay is about = NT$under the new system.

◎Base:1.Base under the old system =
                2.Base under the new system =

◎Severance pay in total = NT$ 

Descriptions:
1. The estimated severance pay is calculated on the basis of the employment date, the end date of the labor contract, the date of application of the Labor Standards Act (hereinafter referred to as the Act), the date of conversion to the new system, the average wage, etc., that you fill in.
2. If the labor contract is terminated according to Article 11, proviso to Article 13, Article 14 and Article 20 of the Act, or Paragraph 1, Paragraph 3 of Article 23, or Paragraphs 2 to 4, Article 24 of the Protection of Laborers from Occupational Accidents Act, the employer shall provide the laborer with the severance pay in accordance with the law.
3. The principle of application at different stages for severance pay before and after the application of the Act:
(1) According to Article 84-2 of the Act, the seniority of the laborer shall be counted from the first date of employment.
(2) For the seniority before the application of the Act, the standards of severance pay shall be calculated in accordance with the then applicable laws and regulations; If there were no applicable laws and regulations, they shall be subject to the rules formulated by each respective business entity itself, or agreed upon by employers and employees (For the seniority before the application of the Act, due to the standards of each business entity varying, the calculation of the estimated severance pay before the application of the Act is not provided with this calculator. Please calculate it by yourself and fill in the field of “The severance pay agreed upon between the employer and employee”.)
(3) The standards of severance pay on the seniority pension system under the Act shall be calculated in accordance with the provisions of Article 17 of the said Act. If the laborer has already met the requirements for voluntary retirement when he or she is severed, the pension shall be paid for such a period of seniority in accordance with the provisions of Articles 55 and 84-2 of the said Act (Please refer to link 1).
(4) The standards of severance pay in the new seniority pension system after the implementation of the Labor Pension Act shall be calculated in accordance with Article 12 of the Labor Pension Act.
4. End date of the labor contract: It refers to the ending date of the term of the labor contract.
5. The date on which the business entity becomes applicable to the Labor Standards Act: It refers to the date designated by the Ministry to apply to the Labor Standards Act. If you have any questions about the application date of the Labor Standards Act, please refer to link (2), or call our toll-free number 0800-085-151 for consultation.
6. Average wage:
(1) According to the official letter No.: Tai-1994-Lao-Tung-2-Tzu 25564 issued by the Council of Labor Affairs on April 9, 1994, it interprets that "the average wage per month" shall be calculated by dividing the total wages of the six months before retirement or severance of the laborer by 6 directly. For example, if the end date of the labor contract of a severed laborer is March 16, 2012, the worker’s average wage is the total wages between September 16, 2011 and March 15, 2012 divided by 6.
(2) Paragraph 3, Article 2 of the Labor Standards Act stipulates: “Wages shall mean the remuneration which a worker receives for his/her services rendered, including wages, salaries and bonuses, allowances and any other regular payments regardless of the name which may be computed on an hourly, daily, monthly and piecework basis, whether payable in cash or in kind.”
7. Standards of severance pay:
(1) The seniority under the Labor Standards Act: Article 17 of the Labor Standards Act stipulates that the severance pay that is equal to the average wage of 1 month for each full year of service shall be paid; for the seniority of less than 1 year, it is to be paid proportionally; for the seniority of less than one month, it shall be calculated as 1 month.( Please refer to the Decree No. Lao-Tung-4-Tzu-1010132306 issued by the Council of Labor Affairs on September 12, 2012. )
(2) The seniority under the Labor Pension Act: According to Article 12 of the Labor Pension Act, the severance pay that is equal to the average wage of half a month for each full year of service shall be paid; for the seniority of less than 1 year, it is to be paid proportionally, which is limited to the average wage of up to 6 months.( Please refer to the Decree No. Lao-Tung-4-Tzu- 1010132304 issued by the Council of Labor Affairs on September 12, 2012 )

 Links to related websites:

(1) Online pension calculator for laborers on the seniority pension system under the Labor Standards Act
(2)