Free tool
Severance Pay Calculator
Estimate a typical severance range from your salary and years of service. Keep in mind that severance is not legally required in California, so this is a starting point for a negotiation, not an entitlement.
Reviewed by Justin Silverman, California employment attorney (State Bar #292036). Current for 2026.
Optional. Accrued vacation is owed at termination regardless of severance.
Optional. Rough value at about $650/month for an individual.
Typical package range
$6,731 to $13,462
- Base severance (1–2 wks/yr)
- $6,731 – $13,462
- Weekly pay
- $1,346
The dollar figure is only half the story. Signing usually releases your legal claims, which can be worth far more than the severance. Have the agreement reviewed before you sign.
Severance is not required by California law; these are typical negotiated ranges, not an entitlement or a prediction of your offer. Unused vacation, however, is owed as wages regardless of severance. This is a general estimate, not legal, tax, or financial advice.
How severance works in California
California does not mandate severance. When it is offered, it is a negotiation, and the payment almost always comes with a release of your legal claims. That is the part worth focusing on. If you were pushed out for an unlawful reason, or you were owed unpaid wages, the value of the claims you would be releasing can be worth far more than the severance number itself. Read our guide to non-competes and severance agreements before you sign.
Frequently Asked Questions
How much severance is typical in California?
There is no legally required amount. Severance is a matter of negotiation and company policy, not law. A common range is one to two weeks of pay per year of service, but the real figure depends on your role, tenure, the circumstances of your departure, and whether you have potential legal claims.
Is my employer required to pay severance in California?
Generally no. California does not require severance pay unless a contract, offer letter, or company policy promises it. Because it is not mandated, a severance offer is a negotiation, and understanding your position is what shapes the outcome.
Should I sign my severance agreement?
A severance is a release of claims, so it is worth understanding what you are giving up before you sign. If you may have a claim, such as discrimination or unpaid wages, the value of what you are releasing should be weighed against the payment. It is usually worth having the agreement reviewed.
Does signing a severance waive my right to sue?
Usually yes. Most severance agreements include a broad release, often with language waiving even unknown claims, in exchange for the payment. That is the single biggest reason to have it reviewed: the claims you would give up can be worth far more than the severance.
Can a severance make me stay silent about harassment?
No. Under California's Silenced No More Act, a severance or settlement cannot stop you from disclosing unlawful acts you have reason to believe occurred, including harassment, discrimination, and retaliation. A confidentiality or non-disparagement clause that tries to is not enforceable to that extent.
Do I have to honor a non-compete in my severance?
Generally no. Non-compete agreements are void in California, and recent law makes even requiring or enforcing one unlawful. A severance that tries to restrict your next job usually cannot hold you to it, though the details matter, so it is worth a review.
Is severance pay taxable?
Yes. Severance is taxed as supplemental wages, so plan for federal and California withholding, often roughly 30 to 40 percent combined, when you compare offers. This is general information, not tax advice.
Think you're owed money? Get a free case review.
Before you sign a severance, have it reviewed. A consultation with our office is free, and we can tell you what your claims may be worth against what you are being asked to release.
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This page and calculator are general information, not legal advice, and do not create an attorney-client relationship.