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Employment

Severance Package Calculator

Severance packages can include weeks of pay, unused PTO, and other benefits. This estimator combines all the pieces so you can see the total value of what you are being offered.

Tell us about it

in $ USD
$1,800.00
$
3
1
8
$360.00
$0.00
$
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Estimated Buyout

$8,280.00

In plain English

After 3 years at $1,800.00 a week, with 1 severance weeks per year, 8 unused PTO days, and a $0.00 healthcare stipend, the estimated severance package is $8,280.00.

How we got there+
Daily pay rate$360.00
Base severance$5,400.00
PTO payout$2,880.00
Healthcare stipend$0.00
Total package$8,280.00

Estimates only, not legal or financial advice. Double-check figures with a qualified professional.

How we got there

— Severance Package Calculator

Methodology reviewed: August 17, 2026 · Source: IRS Publication 525 — Taxable and Nontaxable Income

Is severance pay taxable?

Yes, severance is taxed as regular income. The calculator shows the gross amount. Your actual take-home pay will be less after taxes.

Is PTO payout taxed differently than severance?

Both are taxed as regular income. The calculator shows gross amounts. Your actual payout will be less after taxes and deductions.

Frequently asked questions

Q.What is typically included in a severance package?
It usually includes a lump sum based on tenure, payout of unused vacation days, and sometimes health insurance coverage or a stipend.
Q.How many weeks of pay should I expect per year?
It varies. A common range is 1 to 3 weeks per year of service. Senior employees and executives often get more.
Q.Is severance pay taxable?
Yes, severance is taxed as regular income. The calculator shows the gross amount. Your actual take-home pay will be less after taxes.
Q.What about health insurance after I leave?
Some packages include a healthcare stipend or continued coverage for a period. Enter the stipend in the calculator to include it in the total.
Q.Can I get severance if I am fired for cause?
Usually not. Severance is typically offered for layoffs, restructuring, or voluntary departures, not for termination due to misconduct.

Related calculators

  1. 01Employee Buyout Calculator
  2. 02Voluntary Severance Calculator
  3. 03Redundancy Pay Calculator
  4. 04Early Retirement Buyout Calculator
  5. 05PTO Payout Calculator + Severance