Latin America Severance Pay Estimator
Evaluate statutory severance packages for select Latin American countries. Enter the ISO country code, monthly salary, tenure, and optional unused vacation to see an estimated payout with assumptions noted for each jurisdiction.
Examples
- MX, $1,800 salary, 4.5 years, 10 vacation days ⇒ Mexico severance estimate: $12,390.41 (base severance $11,650.68, vacation payout $739.73). Includes 90-day constitutional severance, 20 days per year, and 25% vacation premium.
- CL, $2,100 salary, 6 years, vacation blank ⇒ Chile severance estimate: $12,600.00 (base severance $12,600.00, vacation payout $0.00). One monthly salary per year of service up to 11 years.
FAQ
Why is the country list limited?
This calculator focuses on countries with relatively standardised severance rules. Expanding coverage requires encoding local salary caps and sector-specific variations.
How are partial years handled?
Partial years are pro-rated for day-based formulas. For Argentina, tenure is rounded up to the next full year per legal precedent.
Can I include discretionary bonuses?
Add recurring bonuses into the monthly salary input if they form part of regular compensation that labour courts would include in the base.
Additional Information
- Calculations assume monthly salary includes fixed compensation and average allowances subject to severance.
- Vacation payout adds 25% to reflect statutory premiums common across the region for untaken days.
- Actual severance may vary with caps, collective agreements, tenure rounding, and salary ceilings set by each labour code.