2026 Rates

Mutual Termination Calculator

Calculate your negotiated departure compensation

Annual

Monthly

Average of the last 12 or 3 months (whichever is more favorable)

years
months

Amount negotiated with the employer (must be >= legal minimum)

Legal minimum compensation

mandatory floor

Final compensation

4,125 €

amount to receive

In months of salary

1.38 months

Unemployment eligibility

Yes

Total timeline

~45 days

Calculation breakdown

5.5 yrs x 1/4 month = 4,125 €
0 yrs x 1/3 month = 0 €
Total = 4,125 €

Why choose mutual termination?

Unlike resignation, mutual termination qualifies you for unemployment benefits and guarantees severance compensation.

Procedure timeline

1

Preliminary meeting(s)

Discussion between the employee and employer (one or more meetings)

2

Agreement signature

Agreement on the amount and departure date

3

Withdrawal period: 15 calendar days

Either party can change their mind without justification

4

DREETS approval request

Submission to the administration (formerly DIRECCTE)

5

Processing period: 15 business days

Silence = approval. The contract can then be terminated.

Negotiation tips

Aim for 1-2 extra months

In practice, employers often agree to more than the minimum

Negotiate the departure date

To optimize unemployment timing or a new position

Check your collective agreement

It may provide for higher compensation than the legal minimum

Request health insurance portability

Free continuation of health coverage for up to 12 months

Tax treatment

Mutual termination compensation benefits from the same exemptions as severance pay:

  • Tax exempt up to the legal compensation or 2 PASS (92,736 € in 2026)
  • Social contribution exempt within the same limits
  • 20% flat-rate social contribution paid by the employer on the exempt portion