Severance Pay Calculator Germany
Estimate your German severance pay (Abfindung) in 2 minutes, in English. The calculator applies the common 0.5 monthly salaries convention to your salary and years of service. Afterwards, specialised employment lawyers can review what is realistic in your case, with no obligation.
Step 1 of 3
How the calculation works
The calculator uses the formula most commonly applied in German severance practice:
0.5 x years of service x gross monthly salary
Example: with 5 years of service and a gross salary of 4.000 € per month, the convention gives a baseline of around 10.000 € (0.5 x 5 x 4.000 €). Important: this is a convention, not a legal entitlement. There is no general statutory right to severance pay in Germany; the amount is negotiated case by case. The 0.5 factor mirrors Section 1a of the Protection Against Dismissal Act (KSchG) and is the usual starting point; depending on the employer's litigation risk, negotiated outcomes are often higher.
What decides your real leverage is the law behind the number: whether dismissal protection applies to you, whether the dismissal is legally sound, and whether the 3-week deadline for an unfair dismissal claim (Kündigungsschutzklage) is still open. All of this is explained in our English guide Severance pay in Germany. Severance is also taxed differently from salary: income tax applies, social security contributions do not, and the one-fifth rule (Fünftelregelung) can reduce the burden.
The next step
Get your personal deadline, not just a number.
The full check also calculates your 3-week deadline and routes your case to specialised employment lawyers, in English. No obligation, no sign-up.
Start the free checkFrequently asked questions
How is severance pay calculated in Germany?
The common convention is: 0.5 x years of service x gross monthly salary. It mirrors the statutory formula of Section 1a of the Protection Against Dismissal Act (KSchG) and serves as the reference point in negotiations. The actual amount is negotiated case by case and is often higher.
Am I entitled to severance pay in Germany?
There is no general statutory entitlement. Severance is usually negotiated, typically backed by an unfair dismissal claim (Kündigungsschutzklage) or agreed in a termination agreement (Aufhebungsvertrag). Exceptions include offers under Section 1a KSchG and social plans. That is why a legal review of your case is worthwhile.
Is the calculator result a guaranteed amount?
No. The calculator applies the 0.5 monthly salaries convention to your inputs and shows an orientation range, not a legal entitlement and not a guarantee. Depending on the employer’s litigation risk and the negotiation, real outcomes can be higher or lower.
What does the review cost?
The initial assessment is free and without obligation. Team Abfindung is not a law firm but a litigation funder: specialised partner employment lawyers (MK Law) handle your case, we carry the costs and the risk. Purely success-based: if we succeed, we receive 29% of the severance payment (incl. VAT), capped at €6,000; if we do not succeed, you pay nothing. With legal expenses insurance, you pay €0 with us.
How fast do I need to act after a dismissal?
After receiving a written dismissal you have only 3 weeks to file an unfair dismissal claim (Section 4 KSchG). This statutory deadline generally cannot be extended, and it is what creates the negotiating leverage for a severance payment. Have your case checked early.
General information, not legal advice in an individual case. Team Abfindung is not a law firm but a litigation funder; legal representation is provided by a specialised partner law firm. This calculator is also available in German.