SAR 4000 Salary Gratuity in Saudi Arabia (2026): Claim It Before Your Final Exit
Your SAR 4000 salary gratuity is SAR 10,000 after five years and SAR 30,000 after ten.
At this wage level, the problem is rarely the calculation. It’s the timing. Employees leave the Kingdom on a final exit visa with the settlement still “being processed,” and then discover that chasing it from Karachi or Manila is a different matter entirely.
The law gives your employer a deadline. This guide covers what you’re owed and how to make sure you have it before your exit is stamped.
Quick Answer
Half a month’s wage: SAR 4,000 ÷ 2 = SAR 2,000
| Years of service | Full award |
|---|---|
| 1 year | SAR 2,000 |
| 2 years | SAR 4,000 |
| 3 years | SAR 6,000 |
| 4 years | SAR 8,000 |
| 5 years | SAR 10,000 |
| 6 years | SAR 14,000 |
| 7 years | SAR 18,000 |
| 8 years | SAR 22,000 |
| 10 years | SAR 30,000 |
| 15 years | SAR 50,000 |
| 20 years | SAR 70,000 |
Each of your first five years earns half a month’s wage. From year six, each earns a full month.
There is no cap in Saudi Arabia.
When Payment Is Legally Due
Article 88 sets a hard deadline, and it depends on who ended the contract:
| Who ended it | Payment due within |
|---|---|
| Your employer | One week |
| You | Two weeks |
That’s from the end of the contractual relationship — not from when your exit visa is issued, and not from when HR gets around to it.
“We’ll transfer it after your exit” is not the law. If your employer is past the deadline without a lawful reason, you have grounds to raise it formally while you’re still in the country and while you still have leverage.
The Order That Protects You
This sequence matters more than any calculation on this page.
1. Get the itemised settlement in writing. It should show the wage used, your service start and end dates, the days applied, and every deduction. Ask for it before you agree to anything.
2. Check the wage figure. More on this below — it should be your full wage, not just basic.
3. Receive the payment. Actually in your account, confirmed.
4. Then sign the release and process the final exit.
Employees who reverse steps three and four are the ones who end up filing complaints from another country.
If your employer is pressing you to sign first, that’s the moment to slow down. A signed release is considerably harder to reopen.
Your Housing Allowance Belongs in the Calculation
At this wage level a housing allowance is common, and leaving it out is where most of the money is lost.
Saudi EOSB runs on your wage as defined in Article 2 — basic salary plus due increments, not basic alone.
On a package of SAR 4,000 basic plus SAR 1,000 housing, your wage is SAR 5,000:
| Basis used | 5 years | 10 years |
|---|---|---|
| Basic only (SAR 4,000) | SAR 10,000 | SAR 30,000 |
| Wage (SAR 5,000) | SAR 12,500 | SAR 37,500 |
SAR 7,500 of difference at ten years.
Article 86 permits an agreed written exclusion of variable pay such as commission. It doesn’t extend to a fixed housing allowance. Our SAR 5,000 breakdown explains the wage definition in full.
If You Resign, Contract Type Decides
On a fixed-term contract, Article 85 reduces the award: nothing under two years, one third between two and five, two thirds between five and ten, and the full award at ten or more.
Since 19 February 2025, that reduction applies to fixed-term contracts only. On an indefinite contract, an employee ending the relationship on notice receives the full award.
On SAR 4,000 with five years:
| Situation | Award |
|---|---|
| Terminated by employer | SAR 10,000 |
| Contract expired | SAR 10,000 |
| Resigned, indefinite contract | SAR 10,000 |
| Resigned, fixed-term contract | SAR 6,667 |
Check your Qiwa contract record. Our SAR 10,000 breakdown covers the amendment in detail.
Part Years Are Paid in Proportion
| Service | Full award |
|---|---|
| 1 year 6 months | SAR 3,000 |
| 2 years 3 months | SAR 4,500 |
| 3 years 6 months | SAR 7,000 |
| 4 years 8 months | SAR 9,333 |
| 5 years 6 months | SAR 12,000 |
| 7 years 4 months | SAR 19,333 |
Probation counts towards your service. Training and apprenticeship periods do not.
When the Reduction Never Applies
Article 87 overrides Article 85 entirely — force majeure, a female employee resigning within six months of marriage, or within three months of giving birth.
Article 81 allows you to leave immediately without notice and keep full rights, where the employer failed essential obligations towards you. Unpaid wages over a sustained period may fall into this category, which matters if that’s why you’re leaving.
If They Won’t Pay Before You Leave
Do not treat the exit visa as a deadline you have to meet. Your employer’s obligation under Article 88 exists independently of it.
File through the MHRSD friendly settlement process while you’re still in the Kingdom. It precedes the Labour Court and is designed to resolve exactly this. Bring your contract, Qiwa record, Iqama, payslips and any bank statements showing salary transfers.
Cross-check your figure against the official MHRSD calculator before you file. An official output attached to a written request carries more weight than an assertion.
SAR 10,000 is worth a week’s delay to your travel plans. It is roughly two and a half months of your salary.
Check Your Own Figure
Enter your full wage — basic plus fixed allowances — along with your dates in the Saudi Arabia Gratuity Calculator. Print the breakdown and take it to the settlement meeting.
FAQs
How much gratuity on SAR 4,000 after 5 years?
SAR 10,000 if SAR 4,000 is your full wage. On SAR 4,000 basic plus SAR 1,000 housing, it’s SAR 12,500.
After 2 years?
SAR 4,000.
After 10 years?
SAR 30,000.
When must my employer pay?
Within one week if they ended the contract, two weeks if you did — under Article 88.
Can they pay after my final exit?
The deadline is not tied to your exit visa. Settle before you leave, because recovering it afterwards is far harder.
Should I sign the release before I’m paid?
No. Get the itemised statement, confirm the payment, then sign.
Does my housing allowance count?
Yes. Saudi EOSB runs on your wage, which includes fixed allowances.
Does resigning reduce it?
On a fixed-term contract, yes. Since February 2025, not on an indefinite contract.
Where do I complain if they don’t pay?
The MHRSD friendly settlement process, which precedes the Labour Court.
Last updated: September 2026 · Based on: Saudi Labour Law (Royal Decree M/51), Articles 2, 81, 84, 85, 86, 87 and 88 · Royal Decree M/44 of 2024
Written by Farhan — About
Different wage? See SAR 3,000, SAR 5,000, SAR 8,000 and SAR 12,000.
One Comment