Free tool
Full and final settlement calculator
A leaver's earnings and dues in, their recoveries in, and out comes the net settlement. Every component is a line you enter, in your own currency.
The link carries your figures in the address itself. Nothing is stored on our side.
The working
| Component | Amount | Side |
|---|---|---|
| The working appears here once your figures are in. | ||
How the answer is worked out
Every step, in the open, so you can rebuild it in a few spreadsheet cells and disagree with it if you want to. A calculator you cannot check is an ad.
Add the earnings and dues
The gross settlement is the sum of everything still owed to the person: salary for the final period, leave encashment, any bonus, commission or arrears, a gratuity or end-of-service amount where it applies, and anything else you add. Each is a figure you enter, because the amount depends on the person's pay, their balances and your own policy.
Add the recoveries
The total recovery is the sum of everything the person still owes you: a notice-period shortfall, outstanding loans or advances, and any other agreed deduction. The tool does not work these out for you, because a notice recovery and a loan balance come from your own records and contract, not from a formula a web page should assume.
Subtract to the net
The net settlement is the gross earnings less the total recoveries. It can come out negative, when what the person owes is more than what they are owed, and the tool shows that honestly rather than flooring it at zero. The net here is before tax: how the settlement is taxed is for your payroll partner, and the tool deliberately does not guess at it.
What this tool does not know
How any component is taxed. It computes no tax and asserts no statutory rate or threshold, because the treatment of a settlement and each of its parts differs by country and by the nature of the component, and it changes over time. The net is a pre-tax figure for your payroll partner to finish.
It does not work out the components themselves. It adds and subtracts the amounts you enter, so a wrong per-day rate or a mis-counted balance gives a wrong total. The payable days calculator sizes the final period, the leave accrual calculator gives the balance, and the full and final settlement guide explains who does which part.
Questions with complete answers
What is a full and final settlement?
It is the closing calculation when someone leaves: everything still owed to them, added up, less everything they still owe you, so the exit is settled in one figure. The earnings side usually includes pay for the days worked in the final period, any encashable leave, dues such as a bonus or arrears, and, where it applies, a gratuity or end-of-service amount. The recoveries side includes things like a notice-period shortfall, outstanding loans or advances, and any other deductions. This tool adds each side and subtracts to give the net.
What goes on the earnings side?
Whatever is still owed to the person on their last day. Commonly: salary for the payable days in the final period, the value of any leave they are entitled to encash, a pending bonus, commission or arrears, and a gratuity or end-of-service payment where one is due. Each is a figure you enter, because the amount depends on the person's pay, their balances and your own policy, none of which a web page should assume.
What goes on the recoveries side?
Whatever the person still owes you, which is subtracted from the earnings. Commonly: a recovery for notice they did not serve, the outstanding balance of a loan or salary advance, and any other agreed deduction such as an asset not returned. You enter each amount; the tool does not work out a notice recovery or a loan balance for you, because those come from your own records and contract.
Does this calculate tax on the settlement?
No. It computes no tax and asserts no statutory rate, because how a settlement and its parts are taxed differs by country and by the nature of each component, and it changes over time. The net figure here is before tax. Your payroll partner or adviser applies the correct treatment, and that is deliberately not something this tool guesses at.
Is anything I type saved or sent anywhere?
No. It computes in your browser and nothing is sent anywhere. There is no email wall, no account and no storage. The link button carries your figures in the address itself if you want to send the breakdown to someone.
A settlement is the last record you keep of someone. It is worth keeping cleanly.