Leaving a job in Bahrain? This free calculator estimates your end of service benefit and shows how much your employer pays and how much comes from the Social Insurance Organization (SIO).
Bahrain end of service calculator
For private-sector employees. Enter your last salary and your dates.
An estimate based on Article 116 of Bahrain Labour Law No. 36 of 2012 and the SIO end-of-service system. Your employer's final settlement may differ, for example if your contract gives more, if allowances are counted differently, or if you work in government or a free zone with its own rules.
How the end of service benefit is calculated
For non-Bahraini employees in the private sector, the benefit follows the rate in Article 116 of Labour Law No. 36 of 2012:
- Half a month’s wage for each of the first three years
- One month’s wage for each year after three years
- Part of a year counted pro rata
- Based on the last wage: basic wage plus social allowance, if you get one
What changed in March 2024
Since 1 March 2024, employers no longer pay the benefit for new service as a lump sum. Instead they pay a monthly contribution to the SIO: 4.2% of the wage for the first three years with that employer and 8.4% after that. When you leave, the SIO pays the benefit for service from March 2024. Your employer still pays the part for service before 1 March 2024 directly, under the Labour Law.
Worked example
Joseph earns BHD 600 a month and leaves after 5 years.
- First 3 years: 3 × half a month = 1.5 months = BHD 900
- Next 2 years: 2 × one month = BHD 1,200
- Total: BHD 2,100, split between his employer and the SIO depending on how much of that service came before March 2024
Frequently asked questions
How much end of service will I get after 3 years in Bahrain?
1.5 months’ wage: half a month for each of the first three years. On BHD 600 a month that is BHD 900.
Who pays my end of service benefit in Bahrain?
Since 1 March 2024 the SIO pays it for service from that date, funded by your employer’s monthly contributions. Your employer pays the part for any service before 1 March 2024.
Does resigning reduce my end of service in Bahrain?
No. The benefit is the same whether you resign or your employer ends your contract.
Do Bahraini nationals get this benefit?
No. Bahraini employees are covered by the SIO pension and social insurance system instead.
Is the benefit the same under the SIO system?
The SIO contributions are set to match the old rate: 4.2% of the wage a month is about half a month’s wage a year, and 8.4% is about a month a year. The SIO pays out what was contributed for your service.
End of service calculators for other Gulf countries
- UAE gratuity calculator
- Saudi Arabia end of service calculator
- Qatar end of service calculator
- Oman end of service calculator
- Kuwait indemnity calculator
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