Terminal Dues Calculator Kenya
Leaving a job or being made redundant? Estimate the minimum your employer owes you under the Employment Act.
Employment law last verified: 6 October 2026Sources: Employment Act, 2007
| Item | Amount (KSh) |
|---|---|
| Severance pay15 days' pay × 4 completed years | 120,000 |
| Pay in lieu of notice | 60,000 |
| Unused leave | 20,000 |
| Salary for days worked | 0 |
| Total terminal dues | 200,000 |
These are statutory minimums. Your contract or CBA may give more. PAYE may apply to some items.
What terminal dues include
- Salary for days worked that haven't been paid yet.
- Unused annual leave — at least 21 working days a year are earned.
- Pay in lieu of notice, if your employer didn't let you work your notice.
- Severance pay on redundancy — 15 days' pay per completed year.
- Plus anything your contract or CBA adds, such as gratuity or pension.
Frequently asked questions
How is severance pay calculated in Kenya?
On redundancy, the Employment Act requires at least 15 days' pay for each completed year of service. With a daily rate of monthly basic ÷ 30, someone earning KSh 60,000 with 4 completed years gets KSh 120,000.
Do I get severance pay if I resign?
No. Statutory severance pay applies to redundancy. If you resign or are dismissed, you are still owed salary for days worked, unused leave, and notice pay if notice wasn't given — unless your contract says more.
How much notice must an employer give?
Redundancy needs at least one month's notice or one month's pay in lieu. For other terminations, the notice depends on how often you are paid (28 days for monthly-paid staff) or what your contract says, whichever is longer.
How is unused leave paid?
Every employee earns at least 21 working days of paid leave a year. Leave you haven't taken when you leave must be paid out at your daily rate.
Are terminal dues taxed?
Some parts can be taxed under PAYE — for example notice pay and leave pay are usually treated like salary. Ask your employer for the tax computation or speak to a tax expert.
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Think your dues are wrong?
A Kaziiko legal or HR expert can review your termination letter, compute your dues and draft a demand letter.
Find a legal expert →Sources & methodology
Calculation assumptions
- Daily rate = monthly basic salary ÷ 30. Some employers use working days; your contract may differ.
- Severance = 15 days' pay × completed years, and only on redundancy. Partial years are not counted.
- Pay in lieu of notice is a full month's basic salary per month of notice not given.
- Results are before tax and exclude pension, gratuity, bonuses, allowances and anything extra in your contract or CBA.
Employment Act, 2007 statutory minimums · last verified 6 October 2026.
This calculator provides an estimate for informational purposes and should not replace professional tax, legal or financial advice or official calculations.