Severance Calculator

Calculate your finiquito, liquidación, or severance pay for Mexico and Latin America. Includes ISR, SDI, vacation table, and indemnification by law.

Reference table

Gross Salary	Total Net Payment	Finiquito (Settlement)	Liquidación (Indemnification)
1,000	$947.27	$956.62	Not applicable (resignation)
2,000	$1,879.40	$1,913.24	Not applicable (resignation)
2,500	$2,345.46	$2,391.55	Not applicable (resignation)
5,000	$4,675.79	$4,783.11	Not applicable (resignation)
7,500	$7,006.01	$7,174.66	Not applicable (resignation)
10,000	$9,293.48	$9,566.21	Not applicable (resignation)
12,500	$11,580.95	$11,957.76	Not applicable (resignation)
15,000	$13,832.56	$14,349.32	Not applicable (resignation)
20,000	$18,253.09	$19,132.42	Not applicable (resignation)
25,000	$22,627.52	$23,915.53	Not applicable (resignation)
30,000	$27,001.96	$28,698.63	Not applicable (resignation)
40,000	$35,725.76	$38,264.84	Not applicable (resignation)
50,000	$44,391.98	$47,831.05	Not applicable (resignation)
75,000	$65,642.55	$71,746.58	Not applicable (resignation)
100,000	$86,688.22	$95,662.10	Not applicable (resignation)

Know Your Rights

Your employer must pay finiquito immediately or within 3 business days. Delays are illegal — contact PROFEDET (800-911-7877).
NEVER sign your finiquito if the amount looks wrong. Once signed, it's very hard to claim more. You have 1 year to file a claim.
If you were fired, you're entitled to finiquito PLUS liquidación. If you resigned, you only get finiquito. Don't let employers call a dismissal a 'resignation'.
Prima de antigüedad (12 days/year) is capped at 2× minimum wage ($630.08/day in 2026). For resignations, it only applies after 15+ years of service.

Finiquito vs Liquidación: What's the Difference?

In Mexico, there are two distinct payments when employment ends. The 'finiquito' (settlement) includes all earned but unpaid compensation: unpaid salary days, proportional aguinaldo (Christmas bonus), proportional vacation days, and vacation premium (prima vacacional). Every worker receives finiquito regardless of why they left — resignation, dismissal, or mutual agreement. The 'liquidación' (severance/indemnification) is ADDITIONAL compensation paid ONLY when the worker is fired without justified cause (despido injustificado). It includes: 3 months of integrated daily salary (indemnización constitucional, Art. 48 LFT), 20 days per year worked (Art. 50 LFT, in specific cases), and prima de antigüedad (12 days per year, Art. 162 LFT). The total for unjust dismissal can represent 6-15+ months of salary depending on seniority, making it crucial to calculate correctly.

How Is Each Concept Calculated?

All calculations start with the daily salary (monthly ÷ 30). For indemnification, the Salario Diario Integrado (SDI) is used — this includes the proportional value of aguinaldo and prima vacacional built into the daily rate. The SDI factor for minimum benefits (15 days aguinaldo, 25% prima vacacional on 12 vacation days) is approximately 1.0493. Unpaid days are simply the daily salary times days worked in the current period. Proportional aguinaldo is (15 ÷ 365) × days worked this year × daily salary. Vacation days are determined by seniority using the official LFT table (12 days for year 1, increasing to 20 by year 5, then +2 every 5 years). The vacation premium is 25% of vacation pay. For dismissals, the indemnification is 90 × SDI, and prima de antigüedad is 12 × years × MIN(daily salary, 2×minimum wage). ISR is calculated separately for finiquito (normal Art. 96) and indemnification (Art. 95, with 90 UMA exemption).

Key Considerations

The finiquito must be paid the same day or within 3 business days of termination. There is no legal excuse for delays — your employer cannot hold it pending 'paperwork'.
You have exactly 1 year from the date of termination to file a labor claim for unpaid amounts (Art. 516 LFT). Don't wait — evidence gets harder to gather over time.
Since the 2023 reform ('Vacaciones Dignas'), minimum vacation days start at 12 (not 6) per year. Make sure your employer uses the updated table.
Prima de antigüedad for voluntary resignation is ONLY mandatory if you worked 15+ years. For dismissals, it's always paid regardless of seniority.
The SDI (Integrated Daily Salary) is always higher than your regular daily salary because it includes proportional aguinaldo and prima vacacional. This is the base for indemnification calculations.
If you believe your dismissal was unjustified, PROFEDET offers FREE legal representation. Call 800-911-7877 or visit gob.mx/profedet.

What You Get by Exit Reason

Voluntary Resignation: Unpaid days + proportional aguinaldo + proportional vacation + prima vacacional. NO indemnification. Prima de antigüedad only if 15+ years.
Unjustified Dismissal: Everything from finiquito PLUS 90 days × SDI (constitutional indemnification) + 20 days × years × SDI + prima de antigüedad (12 days/year, always).
Mutual Agreement: Finiquito + negotiated indemnification (usually similar to dismissal). Everything must be documented in writing and signed by both parties.
Contract End: Same as resignation — finiquito only (unpaid days, proportional aguinaldo, vacation, prima vacacional). No indemnification.
Justified Dismissal (Art. 47): Only finiquito. The employer must prove the cause was justified (theft, violence, repeated absences, etc.).
Company Closure: Full liquidación applies — 3 months + 20 days/year + prima de antigüedad + all pending finiquito amounts.

Calculation Examples

Step-by-step real scenarios

Resignation after 3 years ($15,000/month)

Daily salary: $15,000 ÷ 30 = $500
Unpaid days (10): $500 × 10 = $5,000
Aguinaldo prop (6 months = 182 days): (15÷365) × 182 × $500 = $3,739.73
Vacation days (year 3 = 16 days): (16÷365) × 182 × $500 = $3,989.04
Prima vacacional: $3,989.04 × 25% = $997.26

Total finiquito: ~$13,726. No liquidación (voluntary resignation).

Unjust Dismissal after 5 years ($20,000/month)

Daily salary: $666.67 | SDI factor 1.0493 → SDI: $699.53
Finiquito: unpaid days + aguinaldo + vacation + prima ≈ $15,200
Indemnification (90 days): 90 × $699.53 = $62,957.70
20 days/year: 20 × 5 × $699.53 = $69,953.00
Prima antigüedad: 12 × 5 × MIN($666.67, $630.08) = $37,804.80

Total: ~$185,915. Approximately 9.3 months of salary.

Frequently Asked Questions

What is the difference between finiquito and liquidación?

Finiquito is the payment of pending compensation (unpaid salary, proportional aguinaldo, vacation, prima vacacional) and is paid in ALL terminations. Liquidación is ADDITIONAL indemnification (3 months salary + 20 days/year + prima de antigüedad) paid ONLY in unjustified dismissals. You always get finiquito; you only get liquidación if you were wrongfully fired.

How long does my employer have to pay me?

The finiquito must be paid immediately upon termination or within 3 business days at most. There is no legal provision allowing longer delays. If your employer doesn't pay, contact PROFEDET at 800-911-7877 for free legal assistance.

What is the SDI (Salario Diario Integrado)?

The SDI is your daily salary plus the proportional value of your benefits (aguinaldo and prima vacacional). For minimum legal benefits (15 days aguinaldo, 25% prima on vacation), the SDI factor is approximately 1.0493. Indemnification is always calculated on SDI, not your regular daily salary.

Do I get prima de antigüedad if I resign?

Only if you worked 15 or more years at the company (Art. 162 LFT). In unjustified dismissals, prima de antigüedad is ALWAYS paid regardless of seniority. It's calculated as 12 days per year of service, capped at 2× the daily minimum wage ($630.08/day in 2026).

How many vacation days do I get by law?

Since the 2023 'Vacaciones Dignas' reform: Year 1 = 12 days, Year 2 = 14, Year 3 = 16, Year 4 = 18, Year 5 = 20. After that, +2 days every 5 years (Years 6-10 = 22, Years 11-15 = 24, etc.). The old table with 6 days for year 1 is no longer valid.

Is the finiquito taxed?

Yes, partially. Unpaid days are taxed as regular income. Aguinaldo is exempt up to 30 UMA ($3,519.30). Prima vacacional is exempt up to 15 UMA ($1,759.65). Indemnification is exempt up to 90 UMA ($10,557.90). Prima de antigüedad is exempt up to 90 UMA. Only amounts exceeding these thresholds pay ISR.

What if I think my finiquito amount is wrong?

Do NOT sign the document. Once signed, it's very difficult to claim additional amounts. Use this calculator to verify the numbers, then contact PROFEDET (800-911-7877) for free legal review. You have 1 year from termination to file a claim (Art. 516 LFT).

Does mutual agreement get the same as dismissal?

Not automatically. In mutual agreements, the terms are negotiated. Most employers offer similar to unjustified dismissal (3 months + prima de antigüedad) to avoid legal disputes. Always negotiate in writing and don't accept less than what the law provides for a dismissal.