Ontario termination and severance pay calculator
Enter your start date, last day of work and weekly wage. You get the notice you are owed, the pay in lieu, and severance pay if your employer meets the test.
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These are the figures we verified on 2026-10-23. Change them to work with a historic period, or with a new rate that has been announced but which we have not published yet.
How much termination and severance pay am I owed in Ontario?
Notice of termination is one week for under a year of service, two weeks for one to under three years, then one week per year up to a maximum of eight weeks, or pay in lieu. Severance pay applies if you have five or more years of service and the employer has a global payroll of at least $2.5 million or severed 50 or more employees in six months. It is your regular weekly wage times your completed years plus months divided by 12, up to 26 weeks.
Why we built this calculator
When employment ends, two separate entitlements can apply and they are easily confused. Termination pay, or working notice, depends on how long you have been employed and is capped at eight weeks. Severance pay is a different payment that only applies to longer-serving employees of larger employers, is calculated differently, and is capped at 26 weeks.
Ontario's guide also says the notice weeks count toward your length of employment when severance is worked out, even if you are paid in lieu of working them. This calculator handles that by adding the notice period to your service. For related entitlements see the vacation pay calculator.
It runs in your browser. Nothing you enter is sent anywhere, and there is no sign-up.
When to use it
- Checking a termination letter against the statutory minimum
- Working out how much pay in lieu to expect
- Seeing whether you pass the five-year severance threshold
- Preparing questions before you speak to a lawyer or the Ministry of Labour
Mistakes it helps you avoid
- Treating termination pay and severance pay as the same thing. They are separate.
- Forgetting that severance needs an employer with a $2.5 million global payroll, or 50 or more severed in six months.
- Using your total pay, not your regular wages for a regular work week.
- Counting years instead of completed years and months, or leaving the notice weeks out of the length of employment.
How the notice and severance are worked out
Notice depends on completed years of service. Severance multiplies a weekly wage by the length of employment including the notice period.
notice of termination (employed at least three months):under 1 year 1 week 4 to under 5 years 4 weeks1 to under 3 2 weeks 5 to under 6 5 weeks3 to under 4 3 weeks 6 to under 7 6 weeks7 to under 8 7 weeks 8 years or more 8 weeks (maximum)pay in lieu of notice = regular weekly wage × weeks of noticeseverance = regular weekly wage × (completed years + completed months ÷ 12)eligible at five years of service with a qualifying employerthe notice weeks, worked or paid in lieu, count toward the length of employmentmaximum 26 weeks
The Ontario guide says termination notice weeks, whether worked or paid in lieu, are included in calculating completed years and months of employment. Its worked example counts eight weeks of notice as two months, so this calculator adds one month to your service for every four weeks of notice, whole months only. Pay in lieu is a lump sum of regular wages for a regular work week, and it earns vacation pay. Termination pay is due seven days after employment ends or on the next regular pay date, whichever is later.
Worked example: started January 15, 2020, last day May 15, 2026, $1,000 a week
You have worked since January 15, 2020, your last day is May 15, 2026, and your regular work week pays $1,000. Your employer's payroll is above $2.5 million.
- Completed years of service at the last day6 years
- Notice of termination6 weeks
- Pay in lieu of notice: 6 × $1,000$6,000.00
- End of the notice periodJune 26, 2026
- Service at the last day, plus 1 month for 6 weeks of notice6 years 5 months
- Severance: $1,000 × (6 + 5 ÷ 12)$6,416.67
You are owed $6,000.00 in lieu of notice and $6,416.67 in severance, $12,416.67 in all.
Six weeks of notice add one month to your service, which is why the severance counts 6 years and 5 months rather than 6 years and 4 months.
Who qualifies for severance pay
The employee must have worked for the employer for five or more years, counting all time with the employer, continuous or not. The employer must also meet one of two tests: a global payroll of at least $2.5 million, or the severing of 50 or more employees in a six-month period because all or part of the business permanently closed. The termination rules are entirely separate from severance entitlements.
Common law notice is separate
The figures here are the minimum the Employment Standards Act requires. A court can award reasonable notice under the common law, which for longer-serving employees can be considerably more. An employment contract can also change the position. Treat this as the floor, and see an employment lawyer before signing a release.
Terms on this page
- Termination pay
- Pay in lieu of the notice of termination an employer must give, a lump sum of regular wages for the notice period.
- Severance pay
- A separate payment for employees with five or more years at a qualifying employer, calculated from years and months of employment.
- Global payroll
- The employer's total payroll, used to decide whether the employer must pay severance.
What has changed, and when
Rates on this page have not always been what they are today. If you are working on an earlier period, use the figure that applied at the time rather than the current one.
- Current Notice of one to eight weeks and severance to a 26-week maximum, per the Ontario guide pages updated in 2026.
Common questions
How much notice of termination is required in Ontario?
One week if you have been employed less than a year, two weeks from one to under three years, then one more week for each additional year up to a maximum of eight weeks at eight years. It applies to employees employed for at least three months.
How is severance pay calculated in Ontario?
Multiply your regular wages for a regular work week by the number of completed years of employment plus the completed months of the part year divided by 12. The maximum is 26 weeks.
Who is entitled to severance pay in Ontario?
An employee with five or more years of employment whose employer has a global payroll of at least $2.5 million, or who severed 50 or more employees in a six-month period because the business permanently closed in whole or part.
Do notice weeks count toward severance?
Yes. The Ontario guide says termination notice weeks, whether worked or paid in lieu of working notice, are included in calculating completed years and months of employment for severance.
Is this the most I can get?
No. These are the ESA minimums. A court can award more notice under the common law, and a contract may give more. Speak to an employment lawyer about your own situation.
What to work out next
Where these numbers come from
- Government of Ontario — Your guide to the ESA: Termination of employment Notice of termination by length of service, and pay in lieu.
- Government of Ontario — Your guide to the ESA: Severance pay Eligibility, the formula and the 26-week maximum.
Last verified 2026-10-23 Rates on this page are checked against the sources above at least once a year, and whenever the governing authority announces a change. Spotted something out of date? Tell us and we will fix it.
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