Taiwan 資遣費: new system half a month per year (max 6), old system one month, notice pay
Estimates only, not financial advice. What you type stays on your device. Checked against sources on 16 Oct 2026.A worker in Taiwan on the new pension system with an average wage of NT$30,000 and 3 years 6 months 15 days of service is owed NT$53,125 in severance (half a month per year, part years in proportion, Labor Pension Act article 12). Under the old system the same service gives NT$107,500.
2026 · Rates and rules read from the sources listed on this page (the earliest on 16 Oct 2026); they may have changed since.
Type your average monthly wage: the last six months’ wages divided by 6.
Enter the date you started and your last day of work.
Choose your pension system: new, old years kept plus new, or old only.
Switch on notice pay if the employer did not give notice, and read each part and the total.
When an employer in Taiwan lays a worker off under article 11 of the Labor Standards Act (closing, losses, downsizing, a change of business, or a worker unsuitable for the job), severance pay (資遣費) is due within 30 days. How much depends on the pension system your years of service fall under.
New system (勞工退休金條例 article 12). Half a month of average wage for each full year of service, a part year in proportion, never more than six months. The Ministry of Labor counts the part year as (months + days / 30) / 12. Everyone hired from 1 July 2005 is on this system.
Old system (勞動基準法 article 17). One month of average wage for each full year, the remaining months in proportion, and a part month counted as a whole month. There is no cap. Workers who kept their old-system years when the new scheme began in 2005 get both: the old part for service before 1 July 2005 and the new part after, worked out separately and added.
Average wage (article 2). The wages of the six months before the layoff, regular allowances included, divided by 6, as the Ministry of Labor instructs.
Notice pay (article 16). The employer must give 10 days' notice after 3 months of service, 20 days after one year and 30 days after three years. Without notice, it pays the wages for that period; switch it on to add it.
Worked example. NT$30,000 a month and 3 years 6 months 15 days: new system 30,000 x 1/2 x (3 + 6.5/12) = NT$53,125; old system 30,000 x (3 + 7/12) = NT$107,500.
Not included. Unused annual leave pay, unemployment benefit, and dismissal for misconduct or resignation, which carry no severance. An estimate from the law, not legal advice.
Under the new pension system, half a month of average wage per year of service, a part year in proportion, at most six months (Labor Pension Act article 12). Under the old system, one month per year with a part month counted in full and no cap (Labor Standards Act article 17).
On an average wage of NT$30,000 and 3 years 6 months 15 days, the Ministry of Labor's own example gives NT$53,125 under the new system and NT$107,500 under the old one.
Yes. Article 12 of the Labor Pension Act limits it to six months of average wage, reached after 12 years of new-system service. Old-system years kept from before July 2005 are paid on top without a cap.
Take the wages of the six months before the layoff, including regular allowances and bonuses paid as part of normal pay, and divide by 6. Days on half pay, sick leave or unpaid leave are left out of the period.
An employer laying you off must give 10 days' notice after 3 months of service, 20 days after a year and 30 days after three years (article 16). If it does not, it pays the wages for those days on top of the severance.
Not when you resign, and not when you are dismissed for serious misconduct under article 12 of the Labor Standards Act. It is paid on a layoff under article 11 and in a few other cases, such as an employer breaking the contract (article 14).
Rates and rules change; check the source before you rely on a figure.
Still stuck? Ask about Taiwan Severance Pay Calculator (資遣費試算) and anybody who knows can answer. No account needed.
Same job, other tools: Salary After Tax Calculator – Old regime or new regime, and what each leaves you every month · Notice Period Buyout Calculator – What an employer recovers for the notice days you do not serve.
On the related tools: PF Calculator – What your PF account will hold when you retire.