Executive severance pay

Please input the date of hiring and the date it became necessary to calculate your serverance pay.

Company :
  Name :
Date of employment :
  Date of (expected) retirement :
Income Tax Act: Calculation and Imposition Criteria for Executive Severance Pay and Severance Income Tax
- For service periods up to December 31, 2011: The full amount of executive severance pay is taxed as severance income.
- For service periods from January 1, 2012, to December 31, 2019: severance income tax applies only up to three times the standard payment amount. Any excess is taxed as earned income.
- For service periods from January 1, 2020, onward: severance income tax applies only up to twice the standard payment amount. Any excess is taxed as earned income.
※ Severance income is subject to separate taxation and is not combined with other income. Earned income, however, is taxed as comprehensive income, combined with business income, interest income, pension income, etc.

This calculator is for personal and convenient use only, has no legal effect until verified by a labor attorney or tax accountant, and does not store any entered data. Entering names or business names is optional.