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Who Gets Severance Pay in Türkiye?

Region: TürkiyeHesaplayıcı3 min read

Short answer

Severance pay in Türkiye goes to an employee with at least one year of service at the same employer whose contract ends for a reason in Law 1475 art. 14: dismissal other than for misconduct, resignation for just cause, military service, retirement, a woman leaving within a year of marriage, or death. Resigning without just cause gives none.

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Formula

severance pay entitlement = at least 1 year of service + an ending listed in art. 14

  • at least 1 year of service: time at one or more workplaces of the same employer adds up, even if the contract was ended and made again (Law 1475 art. 14). The start day and the last working day both count; the Court of Cassation (Yargıtay) counts 20.06.2012–19.06.2013 as one year, and 11.09.2020–09.09.2021 as 364 days, which is not a full year.
  • an ending listed in art. 14: one of the cases in the table below. Without one, no severance pay is due however long the service.

Only art. 14 of Law 1475 is still in force (Labour Law no. 4857 art. 120). Its references to art. 16 and 17 are applied today as art. 24 and 25 of Law 4857.

Step-by-step example

An employee started on 1 March 2022, and the employer ended the contract on 1 September 2026 for economic reasons. The last gross wage is 40,000 TRY.

  1. Find the service: 4 years 6 months. The one-year condition is met.
  2. Check the reason: the employer ended the contract, and not for conduct against morality and good faith (not Law 4857 art. 25/II). The case falls under the first item of art. 14.
  3. Result: the employee is entitled. The amount is 180,000 TRY gross and 178,633.80 TRY net after stamp duty; the severance pay calculation guide shows how.
  4. Compare: had the same employee resigned without just cause, there would be no severance pay despite 4 years 6 months of service.

If the employer did not keep to the notice period, notice pay is due as well.

When severance pay is due

How the contract ends Severance pay Legal basis
Dismissal for economic reasons, performance, the employee’s illness or force majeure Yes Law 1475 art. 14/1-1
Dismissal for conduct against morality and good faith (theft, insults, absence and so on) No Law 4857 art. 25/II
Resignation for just cause: unpaid wages, mobbing, health, force majeure Yes Law 1475 art. 14/1-2; Law 4857 art. 24
Resignation without just cause No Law 1475 art. 14
Compulsory military service Yes Law 1475 art. 14/1-3
Leaving to receive an old-age, retirement or disability pension or a lump sum Yes Law 1475 art. 14/1-4
Leaving after meeting the pension conditions other than age (insurance years and premium days) Yes Law 1475 art. 14/1-5
A woman leaving of her own will within one year of her marriage Yes Law 1475 art. 14
The employee’s death (paid to the heirs) Yes Law 1475 art. 14
Less than one year of service No Law 1475 art. 14

Cases people mix up

  • Meeting the conditions other than age: for those insured before 8 September 1999, 15 years of insurance and 3,600 premium days are enough. Later entrants need more premium days. The “kıdem tazminatı alabilir” letter from SGK, issued on e-Devlet, shows that the condition is met.
  • Marriage: this applies only to women, and the year runs from the date of marriage. A man leaving because of marriage gets no severance pay.
  • Military service: the employee must leave to do compulsory military service, and the reason should be on record.
  • The calculator does not check these conditions: check your case against the table, then find the amount with the calculator.

Worked example: 1 March 2018 to 31 August 2026, 70,000 TRY gross and 5,000 TRY benefits

Total net pay

723,084.62 TRY

Net severance pay
621,947.22 TRY
Gross severance pay
626,703.90 TRY
Stamp exemption left for the severance pay
0.00 TRY
Stamp duty
4,756.68 TRY
Monthly wage used
73,729.87 TRY
Ceiling on the end date
73,729.87 TRY
Length of service
8.5 years
Full years
8
Months
6
Days
0
Net notice pay
101,137.40 TRY
Gross notice pay
140,000.00 TRY
Notice period
8 weeks
Income tax on the notice pay
37,800.00 TRY
Minimum wage exemption / AGİ left for the notice pay
0.00 TRY
Stamp exemption left for the notice pay
0.00 TRY
Stamp duty on the notice pay
1,062.60 TRY
Total gross pay
766,703.90 TRY

About this result

  • No cumulative tax base was given. The tool estimated it at the same gross wage every month from January (or your start month this year) to the exit: 476,000 TRY. If the base on your last payslip is different, enter it; the tax on the notice pay changes.
  • Some calculators take an empty tax base as zero and find less tax. If you were paid a wage this year, your base is not zero; so the tax here can be higher.

Data period: the values in force from July 1, 2026.

Step by step
  1. Length of service

    service = years + months/12 + days/365

    service = 8 + 6/12 + 0/365 = 8.5 years

  2. Monthly wage used

    wage used = min(gross wage + benefits; ceiling)

    wage used = min(75,000.00; 73,729.87) = 73,729.87 TRY

  3. Gross severance pay

    gross severance pay = wage used × service

    gross severance pay = 73,729.87 × (8 + 6/12 + 0/365) = 626,703.90 TRY

  4. Stamp exemption left for the severance pay

    stamp exemption left = min(stamp duty of the minimum wage − what the exit month’s wage and the notice pay used; gross severance pay × 7.59 per mille)

    stamp exemption left = min(0.00; 4,756.68) = 0.00 TRY

  5. Stamp duty

    stamp duty = gross severance pay × 7.59 per mille − stamp exemption left

    stamp duty = 626,703.90 × 7.59 per mille − 0.00 = 4,756.68 TRY

  6. Net severance pay

    net severance pay = gross severance pay − stamp duty

    net severance pay = 626,703.90 − 4,756.68 = 621,947.22 TRY

  7. notice period (days) = weeks × 7

    notice period (days) = 8 × 7 = 56

  8. daily gross wage = (gross wage + benefits) / 30

    daily gross wage = 75,000.00 / 30 = 2,500.00 TRY

  9. Gross notice pay

    gross notice pay = (gross wage + benefits) / 30 × notice period (days)

    gross notice pay = 75,000.00 / 30 × 56 = 140,000.00 TRY

  10. estimated cumulative tax base = base of the months January to August at the same gross wage each month (gross − SGK − unemployment, the last month by the days worked)

    estimated cumulative tax base = 476,000.00 = 476,000.00 TRY

  11. Minimum wage exemption / AGİ left for the notice pay

    exemption left = min(minimum wage exemption of the month − tax on the exit month’s wage; tax(cumulative tax base + gross notice pay) − tax(cumulative tax base))

    exemption left = min(5,615.10 − 16,065.00; 37,800.00) = 0.00 TRY

  12. Income tax on the notice pay

    income tax = tax(cumulative tax base + gross notice pay) − tax(cumulative tax base) − exemption left

    income tax = tax(616,000.00) − tax(476,000.00) − 0.00 = 37,800.00 TRY

  13. Stamp exemption left for the notice pay

    stamp exemption left = min(stamp duty of the minimum wage − stamp duty of the exit month’s wage; gross notice pay × 7.59 per mille)

    stamp exemption left = min(250.70 − 531.30; 1,062.60) = 0.00 TRY

  14. Stamp duty on the notice pay

    stamp duty = gross notice pay × 7.59 per mille − stamp exemption left

    stamp duty = 140,000.00 × 7.59 per mille − 0.00 = 1,062.60 TRY

  15. Net notice pay

    net notice pay = gross notice pay − income tax − stamp duty

    net notice pay = 140,000.00 − 37,800.00 − 1,062.60 = 101,137.40 TRY

  16. Total gross pay

    total gross pay = gross severance pay + gross notice pay

    total gross pay = 626,703.90 + 140,000.00 = 766,703.90 TRY

  17. Total net pay

    total net pay = net severance pay + net notice pay

    total net pay = 621,947.22 + 101,137.40 = 723,084.62 TRY

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