Final Settlement
المخالصة النهائية
📖 Definition
Final settlement is the total amount owed to an employee upon termination, including unpaid salary, EOSB, unused annual leave compensation, and any other contractual benefits. Must be paid within one week of termination.
In everyday Saudi accounting work, final settlement matters because it affects invoice accuracy, financial reporting, tax filing, or ZATCA compliance depending on the transaction.
📖 التعريف بالعربية
المخالصة النهائية هي المبلغ الإجمالي المستحق للموظف عند انتهاء الخدمة، ويشمل الراتب غير المدفوع ومكافأة نهاية الخدمة وتعويض الإجازات غير المستخدمة وأي مزايا تعاقدية أخرى. يجب سدادها خلال أسبوع من انتهاء الخدمة.
💡 Example
Final settlement = SAR 15,000 (last salary) + SAR 55,000 (EOSB) + SAR 9,000 (30 days leave) = SAR 79,000.
المخالصة النهائية = 15,000 ريال (آخر راتب) + 55,000 ريال (مكافأة نهاية خدمة) + 9,000 ريال (30 يوم إجازة) = 79,000 ريال.
When this term matters
Invoices
Use the correct term and value before issuing ZATCA-compliant invoices or credit notes.
Reports
Map it to the right account, tax field, or compliance report to avoid reconciliation gaps.
Compliance
Keep the Arabic and English meaning aligned when working with auditors, ZATCA, or customers.
Automate Final Settlement with Qeemah
Qeemah accounting software handles final settlement automatically, ensuring ZATCA compliance and reducing manual work.