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Annual-leave value calculator

Calculate the cash value of your unused annual-leave balance under Saudi labor law. Enter your monthly wage and leave days to know your allowance.

Entitlement: 21 days/year, rising to 30 after 5 years of service (Article 109).

Leave cash value

5,600 SAR

Daily wage266.67 SAR
Days21

Daily wage = monthly ÷ 30, times the number of leave days (Art. 109).

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Disclaimer: This calculator provides a guideline estimate based on common cases under the Saudi Labor Law and its Executive Regulations. It is not binding legal or financial advice. The final amount depends on each employee's contract and circumstances, and regulations may change. For an authoritative figure, refer to the Saudi Labor Law or a qualified specialist, or use the Barez system. Barez accepts no liability for decisions made based on this result.

How it's calculated

1

An employee is entitled to paid annual leave of no less than 21 days, rising to 30 days after five continuous years in the employer's service (Article 109).

2

On end of service, the employee is paid a cash allowance for accrued leave days not taken, based on the last wage.

3

The calculator derives the daily wage by dividing the monthly wage by 30, then multiplies it by the number of accrued leave days.

A guide to annual leave and its cash value under Saudi labor law

Last updated: 29 July 2026

How much annual leave an employee earns

Article 109 provides that an employee is entitled to paid annual leave of no less than twenty-one days, rising to no less than thirty days once the employee has completed five continuous years in the employer's service.

This is a floor, not a ceiling. An establishment may grant more in the contract or in its work regulations, and what it grants becomes binding on it.

The days are calendar days rather than working days, so weekly rest days and holidays falling inside the leave period count towards it unless otherwise agreed.

Moving from twenty-one days to thirty

The condition is five continuous years with the same employer. Continuity matters: a break in service followed by a return restarts the count unless the contract provides for prior service to be counted.

The correct practical application is that the higher entitlement applies to the year beginning after the fifth year is completed, rather than recomputing past years retroactively.

Pro-rata calculation for part of a year

An employee who leaves or starts mid-year earns a balance proportionate to the period served. The formula: entitled balance equals annual entitlement divided by twelve, multiplied by the number of months completed.

So an employee with a twenty-one day entitlement who has served seven months earns roughly twelve and a half days. Days actually taken during the period are then subtracted to show the remaining balance.

Who decides when leave is taken

The employer may set leave dates according to the requirements of the work, or grant leave in rotation to keep operations running, provided the employee is notified of the set date at least thirty days in advance, and leave pay is paid up front under Article 109.

The employer may also defer leave beyond the end of the year in which it accrued where the work requires it, subject to the employee's written consent and within the period prescribed by law. An employee may not, however, waive their leave for a cash payment while still in service.

Cash value on end of service

When the employment relationship ends, the employee is entitled to a cash allowance for accrued leave days not taken, computed on the last wage, under Article 111.

This allowance is also due for fractions of a year in proportion to the period served, even where a full year was not completed. It is an entitlement entirely separate from the end-of-service gratuity and is paid alongside it, not instead of it.

Common errors in computing the balance

The most frequent error establishments make is deducting sick leave or public holidays from the annual balance. These are separate entitlements with their own rules and are not deducted from it.

Next is skipping the pro-rata calculation for someone who left mid-year on the grounds that they did not complete a year, which is incorrect. Then there is writing off carried-over balances with the passage of time without the employee's written consent.

A fourth error surfaces at final settlement: computing the allowance on the basic wage alone when the employee was receiving fixed allowances, which understates the entitlement and turns it into a claim.

A worked example, step by step

Illustrative figures only. Enter your own numbers in the calculator above.

Monthly wage used
SAR 12,000
Annual entitlement
21 days
Months completed in the accrual year
8 months
Days actually taken
6 days
  1. 1Daily wage: 12,000 ÷ 30 = SAR 400.
  2. 2Entitled balance: (21 ÷ 12) × 8 = 14 days.
  3. 3Remaining balance: 14 − 6 = 8 days.

Leave allowance due: 8 × 400 = SAR 3,200.

Had the employee completed more than five continuous years, the annual entitlement would be thirty days rather than twenty-one, raising both the balance and the allowance.

Official sources

Article numbers above refer to the Saudi Labor Law and its Executive Regulations. Rates and rules are subject to change, so refer to the official source whenever in doubt.

Frequently asked questions

How many annual-leave days are there under Saudi labor law?

No less than 21 days per year, rising to 30 days after five continuous years in the employer's service (Article 109).

How is the annual-leave cash value computed?

Cash value = daily wage × number of accrued leave days, where the daily wage = monthly wage ÷ 30.

Is unused leave paid out on resignation?

Yes, the employee is entitled to a cash allowance for accrued leave days not taken up to the end date, based on the last wage.

Are allowances included in the leave value?

It is computed on the wage the employee receives when the leave accrues, usually including fixed allowances per the contract and work regulations.

Can a leave balance be carried over to the next year?

An employee may not waive their leave. It may be deferred, in whole or in part, to the following year with the employee's written consent and where it does not disrupt the work.

Do sick leave and public holidays come out of the annual balance?

No. Sick leave, public holidays, maternity, marriage, and bereavement leave are all separate entitlements with their own rules and are not deducted from the annual leave balance.

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Barez calculates end-of-service, overtime, and leave for every employee automatically per Saudi labor law, and links it to payroll, GOSI, and Mudad. Try it free for 14 days.

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