JJurical
Employment law1 credit

Calculate severance — statutory allowance, notice period and the sub-district court formula side by side

From the start and end dates and the full pay definition, calculate three amounts that are often conflated: the statutory transition allowance, the compensation due where notice is not observed, and the non-statutory sub-district court formula still widely used as a settlement reference — each with the exact service period and the build-up behind it.

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ontslagvergoeding v1.0.0 · vintage 2026.1 · draft free
Example outcome
Transition allowance€ 15,116
Pay definition — € 4,000 plus 8% holiday allowance€ 4,320
Notice period — 10.5 years of service, 3 months€ 12,960
Sub-district court formula — A 20.4946 × B × C 1.0€ 88,537
sha256 a3f19c47e8b2d05f6c91a4e7d23b8f50…

Who it’s for

01HR advisers and employment lawyers preparing a settlement agreement who want the three amounts substantiated side by side.
02Employers ending an employment who want to know the cost of a termination before the conversation starts.
03Employees with an offer on the table who want to check how the amount offered relates to the statutory floor.

What the tool does

✓ Transition allowance under Art. 7:673 BW: one third of a month’s salary per year of service from day one, on exact service time to the day✓ A full pay definition: base salary, 8% holiday allowance, a thirteenth month restated per month and your average variable pay✓ A statutory cap as the higher of the recorded maximum amount and one annual salary, with a flag when the cap actually bites✓ Compensation for irregular termination: the statutory notice period based on service, or your own contractual term✓ The sub-district court formula A × B × C with the A factor built per half-year of service by age bracket, and a C factor you choose✓ Exact service time in years, months and days, plus the number of service months used in the calculation
01 — Form
Case and key figures — a handful of fields.
02 — Draft
Full outcome layout, free.
03 — Pay and receive
Via Mollie, VAT/VIES handled.
04 — Report
Certified PDF + public hash.

Three amounts, three different footings

The transition allowance is the only one of the three an employee is in principle entitled to when the employer initiates the termination. Compensation for irregular termination is added only where the employer fails to observe the notice period — if notice is respected, this amount is not due. And the sub-district court formula has not been a statutory measure since 2015; it lives on as a negotiating reference, largely because at long service and higher ages it lands well above the transition allowance.

That distinction is exactly what makes a calculation useful: it gives the floor, the conditional item and the reference that often serves as a ceiling. The tool computes service time to the day, builds the pay definition visibly from the components you enter, and shows the A factor per age bracket. The report records the maximum amounts used, the tool version and the dataset vintage, so the calculation can be repeated exactly later — in proceedings, for instance.

Frequently asked questions about this tool

Are all three amounts payable or receivable?
No. The transition allowance is the statutory entitlement. Compensation for irregular termination is conditional: it is due only where the employer terminates without observing the notice period. The sub-district court formula is non-statutory and creates no entitlement; it is a computational reference used in negotiations. The report marks those three statuses explicitly with each amount.
Which statutory maximum is used?
The maximum from the dataset vintage, which the source records for 2025. The source itself notes that the 2026 amount is not yet confirmed, and the cap is moreover applied regardless of the year of termination. The report shows the maximum used and the year it relates to, so you can see whether that matches your situation. The cap is always the higher of that amount and one annual salary.
What if my contractual notice period is shorter than the statutory one?
The tool computes with the period you enter, even below the statutory minimum, and flags it. In practice the longer term usually prevails where they differ. To see the effect, run both and compare the two reports — the statutory period per service bracket is stated in the report.
Why does the tool ask for a date of birth?
Only for the sub-district court formula: the A factor is weighted per half-year of service by the age you had at the start of that half-year, with weights that step up above 35, 45 and 55. Leave the date of birth blank and the tool still computes the transition allowance and the notice compensation, with the sub-district court formula left out of the report.
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Calculate severance — statutory allowance, notice period and the sub-district court formula side by side — Jurical