Your temporary contract is ending and you wonder whether, besides the last payslip, the company owes you anything more. The answer is yes in many cases: a severance payment of 12 days of pay per year worked. But it is not for every temporary contract, and the company does not always include it on its own. This page tells you who is entitled, how it is calculated and how to check it on your settlement.
When there is severance and when there is not
The end-of-contract severance comes from article 49.1.c of the Estatuto de los Trabajadores (Workers’ Statute). In practice:
| Your contract | Severance at the end? |
|---|---|
| Temporary, for production circumstances | Yes, 12 days per year |
| Relief contract | Yes, 12 days per year |
| Temporary, to replace a worker | No |
| Training (alternating or professional practice) | No |
| Fijo discontinuo at the end of a call-up | No, unless the agreement says so |
| Contract that becomes permanent | No |
| You resign before the end | No |
If your contract is a replacement one, I cover it in the interim contract in Spain.
The severance is due when the contract ends because its term is up. It does not exist if the contract is broken for another cause, such as dismissal, for which there are other payments.
How it is calculated
The formula is simple:
- Daily pay. Your gross annual salary divided by 365. If you earn 14 payments of €1,500, that is €21,000 a year, and 21,000 / 365 = €57.53 a day.
- Time worked. Article 49.1.c of the Statute sets severance equal to the proportional part of twelve days’ salary per year of service. In practice each month is worth roughly one day, and incomplete periods are calculated proportionally.
- Multiplication. Days of severance × daily pay.
The reference salary is that of the month of termination. If you have variable supplements, the average of the last twelve months is used.
An example with numbers
Álvaro has a production-circumstances contract from 1 April to 30 September 2026, at €1,500 a month in 14 payments.
- Annual salary: €1,500 × 14 = €21,000.
- Daily pay: 21,000 / 365 = €57.53.
- Time worked: 6 months, which gives 6 days of severance.
- Severance: 6 × €57.53 = €345.21 gross.
On top of that figure comes the finiquito: the days worked in September, any holiday not taken and the pending share of extra pay, if it was not prorated.
Quick table with that salary
| Contract length | Days of severance | Approximate amount |
|---|---|---|
| 3 months | 3 | €172.60 |
| 6 months | 6 | €345.21 |
| 12 months | 12 | €690.41 |
| 18 months | 18 | €1,035.62 |
The number of days grows with the months, and the amount depends on your salary. For other amounts, multiply the days by your daily pay.
Finiquito and severance are not the same
This is the most confused point, and the company can pay one and not the other.
- Finiquito. It is the settlement of what you are owed: days worked in the last month, unused holiday and extra pay. It always exists. It is explained in how to calculate your finiquito.
- End-of-contract severance. An additional amount for the fact that the temporary contract has ended. Only in the contracts that provide for it.
If your settlement shows only the first, check that your contract is not entitled to the second.
How to check your settlement, line by line
When the company hands you the settlement, look for these lines in this order:
- Pay for the days worked in the last month. It must match your real days.
- Unused holiday. Compare with your accrued days minus those taken.
- Pending extra pay, if you did not receive it prorated.
- End-of-contract severance, with its calculation of days and daily pay.
- Deductions, such as income tax withholding and the worker’s Social Security contribution, applied on the items that do contribute.
If the fourth line is missing and your contract provides it, it is a non-payment. If the amount seems low, do the calculation yourself with your annual salary: if it does not match, ask for an explanation in writing.
Two calculation mistakes that repeat
- Using the contract salary without the extra payments. Daily pay is calculated with everything you earn in the year, not just the twelve monthly payments. With 14 payments, divide the total by 365.
- Ignoring incomplete periods. Severance is proportional to the time worked: if your contract ends a few days into the sixth month, those days also count in the proportional part, so do not round up or down by yourself.
What to do if it has not been paid
- Ask for the settlement in writing and see whether there is a severance line.
- Calculate your amount with the formula above.
- Claim from the company in writing with your calculation, and ask for a reply.
- If it does not answer, file the conciliation request. To claim amounts owed you have one year. It is explained in the conciliation request (SMAC).
- Do not sign a “balance and settlement” finiquito if severance is missing. If you sign, write “not in agreement”. See signing a finiquito when you do not agree.
When the temporary contract is too temporary
If you chain contracts without a real cause, or the contract does not meet the requirements, the temporary nature can be fraudulent. Then you are not only entitled to the severance: you can ask to be declared permanent. The deadline to challenge it is 20 working days from the end of the contract. Details are in from temporary to permanent contract.
Agreements that improve the minimum
The Statute sets 12 days per year as a minimum. Some collective agreements pay more: there are sectors with 16 or 20 days per year, or with a fixed amount at the end of the contract. Look at the chapter on termination of the contract or temporary hiring. If your agreement is more favourable, that is the one that applies, and the company cannot pay you less on the grounds that the legal minimum is enough.
Also pay attention to the date. If your contract ended a few days ago, you still have time to review the settlement calmly; after twelve months, the claim for amounts owed lapses.
And after the contract
When a temporary contract ends, the question of paro comes up: if you have 360 contribution days, there is a benefit. See the requirements and the deadline.
This page is informational and does not replace professional advice. Your collective agreement may improve the legal severance: check it.