Severance pay in Hong Kong 2026: notice, severance and unemployment benefit
When a job ends in Hong Kong, the calculator above estimates the statutory severance pay, the notice period, the payment for unused leave and the unemployment benefit, with the tax on each part. Below you will find the rules in brief and examples for different lengths of service.
The rules in brief
- Severance and long service payments: Employees made redundant after at least 24 months of service get a severance payment; those dismissed for other reasons (not serious misconduct) after at least 5 years get a long service payment instead. Both are 2/3 of the last full month’s wages, with wages capped at $22,500, for each year of service, up to $390,000. They are not taxed. Notice is as agreed but at least 7 days, or 1 month if the contract says nothing.
Example: HK$25,000 gross a month
| Years of service | Severance, net (HK$) | Notice period |
|---|---|---|
| 1 | – | As agreed in the contract, at least 7 days (1 month if not stated) |
| 2 | 30,000 | As agreed in the contract, at least 7 days (1 month if not stated) |
| 3 | 45,000 | As agreed in the contract, at least 7 days (1 month if not stated) |
| 5 | 75,000 | As agreed in the contract, at least 7 days (1 month if not stated) |
| 10 | 150,000 | As agreed in the contract, at least 7 days (1 month if not stated) |
| 15 | 225,000 | As agreed in the contract, at least 7 days (1 month if not stated) |
| 20 | 300,000 | As agreed in the contract, at least 7 days (1 month if not stated) |
| 25 | 375,000 | As agreed in the contract, at least 7 days (1 month if not stated) |
Case: “Made redundant”, leaving on 31 December 2026, without unused leave. These are legal minimums; a contract or collective agreement may give more.
What you receive: an example
With 9.8 years of service and 10 days of unused leave, ending on 31 December 2026:
| Item | Gross (HK$) | Net (HK$) |
|---|---|---|
| Severance payment (2/3 of a month’s wages, capped at $22,500, per year of service; not taxed) | 147,534.25 | 147,534.25 |
| Unused leave (5 days) | 5,769.23 | 4,932.69 |
| Total | 153,303.48 | 152,466.94 |
Frequently asked questions
How much severance do I get after 10 years in Hong Kong?
About HK$150,000 net with HK$25,000 gross a month, for “Made redundant”. The notice period is As agreed in the contract, at least 7 days (1 month if not stated).
How long is the notice period?
In the example: As agreed in the contract, at least 7 days (1 month if not stated), whatever the length of service. A contract can require more.
Are these amounts exact?
They are estimates of the legal minimum under the 2026 rules. Your contract, a collective agreement or a court decision can give more.
Rules and official sources: see “Rules applied (2026)” above. Last checked: October 2026. The amounts are estimates for information, not financial or legal advice.
Related calculators
- Net salary calculator
- Pension calculator
- Overtime pay calculator
- Annual leave calculator
- Private pension calculator
- Financial planner
- Compare salaries by country
The same calculator for Singapore · Japan · South Korea