Argentina severance pay calculator: dismissal, notice and aguinaldo
What an employer owes, or an employee collects, when a job ends in Argentina: seniority severance (Law 27,802), notice, holiday and aguinaldo.
Calculator inputs
Results
Enter your values and press “Calculate” to see the result.
See the working step by step
- Daily value = pay 1,000,000 ÷ 30 = $ 33,333.33
- Holiday: 21 days a year by seniority on 31/12, for the part of the year worked = 5.18 days × (pay ÷ 25) = $ 207,123
- Pro-rata aguinaldo: best pay of the half-year ÷ 2 × 90 days worked in the half-year = $ 248,619
- Days worked in the month = 33,333.33 × 30 days = $ 1,000,000
- Notice pay = pay × months due = $ 2,000,000
- Seniority severance = 1,000,000 × 6 years = $ 6,000,000
- Aguinaldo on holiday, notice and integration = one twelfth = $ 183,927
- Total = $ 9,639,669
Data updated 2026-10-06 · Indicative result: it does not replace professional advice
In short
- What it calculates
- What an employer owes, or an employee collects, when a job ends in Argentina: seniority severance (Law 27,802), notice, holiday and aguinaldo.
- Formula used
Daily value = monthly pay ÷ 30- Example
- Example 1. An employee dismissed without notice, two and a half years in.
Argentina severance calculator
Hiring, managing or leaving a job in Argentina? Ending a contract there works differently from at-will employment: a dismissal without cause triggers a statutory payment tied to years of service, plus notice and a pro-rata half-year bonus called the aguinaldo.
Enter the monthly pay, the dates and how the job ends. You get each payment itemised, with the arithmetic shown using your own figures and the article 245 rule as the March 2026 labour reform left it. Everything is worked out in Argentine pesos (ARS), in your browser, and nothing is sent anywhere.
How it works
There are two layers. The first applies whenever someone leaves, even by resigning: pay for the days worked in the month, holiday not yet taken, and the aguinaldo for the half-year in progress. Argentines call this the final settlement.
The second layer exists only if the employer dismisses without cause. Then you add notice pay (one month up to five years of service, two months beyond), the days left in the month, and seniority severance: one month of pay for each year of service, counting a fraction over three months as a full year, with a floor of one month. Under the 2026 reform that pay is capped at three times the average pay in the sector’s collective agreement, but never below 67% of the employee’s own pay.
Formula
Daily value = monthly pay ÷ 30
Untaken holiday (calendar days):
days = days a year by seniority on 31/12 × days worked in the year ÷ days in the year − days already taken
payment = pay ÷ 25 × days
Pro-rata aguinaldo (a 13th-month bonus paid in two halves):
payment = best pay of the half-year ÷ 2 × days worked in the half-year ÷ days in the half-year
Dismissal without cause:
notice pay = pay × 1 month (up to 5 years) or × 2 months (over 5 years), if notice was not given
month integration = daily value × days left in the month, if no notice was given
severance = base × years (or a fraction over 3 months), minimum 1 month’s pay
base = pay; with a collective agreement: at most 3 × its average, at least 67% of pay
Aguinaldo on holiday, notice and integration = (holiday + notice + integration) ÷ 12
Worked example
Example 1. An employee dismissed without notice, two and a half years in.
Pay of ARS 2,400,000. Started 18 March 2024, dismissed 6 October 2026: 2 years, 6 months and 18 days.
Seniority severance: the 6-month fraction is over three months, so 3 years count: 3 × 2,400,000 = 7,200,000.
Notice pay: under five years, so one month = 2,400,000. Month integration: 25 days left in October × 80,000 = 2,000,000.
Holiday: 14 days a year (2 years 9 months on 31/12) × 279 ÷ 365 = 10.70 days × 96,000 = 1,027,332.
Pro-rata aguinaldo: 2,400,000 ÷ 2 × 98 ÷ 184 days in the half-year = 639,130. On holiday, notice and integration: 452,278.
Days worked in October: 6 × 80,000 = 480,000.
Total: ARS 14,198,740.
Example 2. Resigning after eight months.
Pay of ARS 1,500,000. Started 15 January 2026, left 10 September 2026.
Resigning carries no notice pay and no severance.
Holiday: 14 days a year × 239 ÷ 365 = 9.17 days × 60,000 = 550,027. Pro-rata aguinaldo: 1,500,000 ÷ 2 × 72 ÷ 184 = 293,478; on holiday: 45,836.
Days worked in September: 10 × 50,000 = 500,000.
Total: ARS 1,389,341 (figures are rounded).
Explanation
Argentine terms in plain English
- Aguinaldo, or SAC (sueldo anual complementario): half a month’s pay in June and another half in December, in effect a 13th-month bonus paid in two instalments. When someone leaves, the part of the half-year worked is paid.
- Preaviso: notice. If the employer does not give written notice, it pays the notice period in cash.
- Integración del mes de despido: the days left to complete the month in which the dismissal happens.
- Indemnización por antigüedad: the main severance payment, from article 245 of the Employment Contract Law (LCT). It exists only on dismissal without cause.
- Convenio colectivo: the sector-wide collective agreement. The law uses its average pay to cap the severance base.
Why a pre-2026 calculator gives a different number
Law 27,802 on Labour Modernisation was published in the Official Gazette on 6 March 2026 and has applied since that day. It rewrote article 245. The severance base is now the best normal, regular monthly pay of the last year, leaving out the aguinaldo, holiday pay and bonuses not paid monthly. The cap is three times the average pay under the collective agreement, but it can never take the base below 67% of the employee’s regular pay, and severance is never less than one month. Many online calculators still use the old text.
What foreign employers and remote hires often miss
- Holiday is paid at one twenty-fifth of monthly pay per day, not one thirtieth.
- Seniority is counted at 31 December of the year of departure to find the holiday entitlement, not at the exit date.
- Notice is one month up to five years of service and two months beyond: two steps, not a sliding scale.
- The aguinaldo is worked out on the best pay of the half-year, not the last one, and it also applies to holiday, notice and integration pay.
- A resignation or a dismissal for just cause pays none of the severance or notice items.
- Amounts are in pesos. Any conversion to dollars or euros is up to you.
Common mistakes
- Counting a fraction of exactly three months as a year: it has to be more than three.
- Paying one month’s notice after the fifth year of service.
- Basing severance on pay that includes the aguinaldo or annual bonuses.
- Forgetting the one-month minimum on short contracts dismissed without cause.
- Leaving out the days left in the month when no notice was given.
Limits of this calculator
- The reform also touches articles 156, 231, 232 and 233, but the text consulted does not substantially rewrite them: their classic rules are kept. Check if your case depends on them.
- It does not cover trial periods, unregistered work, discriminatory dismissal or penalty fines.
- Collective agreements can improve these minimums. This calculator applies the statute.
- Aguinaldo on holiday and notice is included as one twelfth; some cases are disputed.
- No interest, indexation, legal fees or tax. Provinces and special regimes (domestic work, construction, agriculture) have their own rules.
Notice
This is an estimate, not legal advice, and it does not replace an Argentine labour lawyer. Before signing a settlement or sending a telegram, check the figures.
Frequently asked questions
What does a final settlement include in Argentina?
Pay for the days worked in the month, untaken holiday and the pro-rata aguinaldo whenever someone leaves. On dismissal without cause, notice pay, month integration and seniority severance are added.
Is the aguinaldo the same as a 13th-month salary?
In practice yes: half a month’s pay in June and half in December. On exit, it is worked out on the best pay of the half-year and only for the part of the half-year worked.
How much severance is due for dismissal without cause?
One month of pay for each year of service or fraction over three months, with a one-month minimum. The base is the best normal, regular pay, capped at three times the collective-agreement average with a 67% floor.
How much notice must an employer give?
One month up to five years of service and two months beyond. If none is given, it is paid in cash, along with the days left in the month of dismissal.
Is anything owed if the employee resigns?
Yes, but only the final settlement: days worked, untaken holiday and the pro-rata aguinaldo. There is no notice pay or seniority severance.
How is untaken holiday paid?
Days depend on seniority on 31 December (14, 21, 28 or 35 calendar days), in proportion to the time worked in the year, at one twenty-fifth of monthly pay per day.
What changed under Law 27,802?
It rewrote article 245: it set the calculation base, kept the cap of three times the agreement average with a 67% floor and the one-month minimum, and made the payment the sole compensation. It has applied since 6 March 2026.
Does this calculator work in dollars?
No. Argentine labour-law payments are calculated in pesos, and the figures here are in ARS.
Sources and references
The formula behind this calculator is not ours. These are the sources it comes from, in APA 7 format, in case you want to go to the original or cite them in your own work.
- Honorable Congreso de la Nación Argentina. (2026). Ley 27.802: Modernización Laboral. Boletín Oficial de la República Argentina, 6 de marzo de 2026. https://www.argentina.gob.ar/normativa/nacional/ley-27802-423680 The law that rewrote article 245: calculation base, cap and the 67% floor. In force since publication.
- Honorable Congreso de la Nación Argentina. (2026). Ley 27.802: texto de la norma. Argentina.gob.ar. https://www.argentina.gob.ar/normativa/nacional/norma-423680/texto The full text of the reform, which is where this calculator’s rules come from.
- Poder Ejecutivo Nacional. (2026). Decreto 137/2026. Boletín Oficial de la República Argentina. https://www.argentina.gob.ar/normativa/nacional/decreto-137-2026-423686 The promulgation of Law 27,802.
- Congreso de la Nación Argentina. (1976). Ley 20.744: Ley de Contrato de Trabajo, artículos 150 a 156 (vacaciones), 231 a 233 (preaviso e integración del mes) y 245 (indemnización por antigüedad). The base text of Argentine labour law, predating the 2026 reform.
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