Complete guide: Termination settlement · Mexico
Updated:
Settlement is separate from dismissal indemnity. Unjustified dismissal: 3 integrated salary months plus seniority premium; 20 days/year only for confirmed arts.49–50 cases. Premium: 12 days/year, daily base capped at twice minimum wage; resignation requires 15 years. Back pay, litigation and fixed-term special compensation excluded.
Employment governed by the Federal Labor Law. ISR, subsidy and IMSS require separating taxable salary, integrated salary and contribution bases.
Estimates in local currency, without conversion. Document review: 2026-10-23; laws, tables and monetary units are not automatically synchronized. Default salaries are examples, not legal minimum wages. Check your contract, collective agreement and payslip before making decisions.
Sources and legal scope
Document review: 2026-10-23
How it works
- 1Settlement = applicable indemnity + notice + service benefits + accruals − received payments.
- 2Separate salary bases, accrued entitlements and payments already received.
- 3Compare the result with the sources and the stated employment scenario.
Frequently asked questions
Which Mexico rules apply?
Settlement is separate from dismissal indemnity. Unjustified dismissal: 3 integrated salary months plus seniority premium; 20 days/year only for confirmed arts.49–50 cases. Premium: 12 days/year, daily base capped at twice minimum wage; resignation requires 15 years. Back pay, litigation and fixed-term special compensation excluded.
Is this a final tax filing or employment claim calculation?
Employment governed by the Federal Labor Law. ISR, subsidy and IMSS require separating taxable salary, integrated salary and contribution bases.
Are inputs preserved when sharing?
Yes. The link retains entered amounts and options. Laws may change; check the date and sources.