Riga Startups

Calculators

Ending employment

What a lawful exit costs, what an overturned one would, and the bill for a contractor who turns out to have been an employee all along.

Cost of ending employment calculator

Rates, the severance scale and the audit window from the ledger of the cost of hiring guide.

Average earnings rather than contractual salary, so bonuses and overtime in the reference period raise every line below.

Choosing the ground chooses the notice, which is why the ground is worth settling before the conversation rather than after it.

Redundancy, liquidation, lack of skills, ill health, long absence and a predecessor's reinstatement do. Misconduct does not.

What a court would award if the dismissal were overturned. Priced separately below, because it is the cost of losing rather than of doing this properly.

Notice, worked or paid out
EUR 3,707.70
Severance
EUR 3,707.70
Untaken annual leave
EUR 1,765.57
An exit done properly
EUR 9,180.97

Every figure includes the employer’s 23.59% on top, because severance and notice both go through payroll like pay. Gross is EUR 7,428.57.

Forced absence, if a court overturns it
EUR 22,246.20

This is not added to the total above, because it is what the other outcome costs rather than an extra line of this one. It is not a fine but pay for the time the employee was kept out of work, so it grows with every month the case takes, and the court can order the job back as well.

At 2 years of service the scale gives 1 month of average earnings. It steps up at 5, 10 and 20 years, so someone close to a step costs materially more a month later.

Every rate above is read from the ledger in What a Hire Actually Costs You in Latvia, last checked 18 September 2026. That guide carries what a calculator cannot: who each rule does not apply to, what changes above a threshold, when a declaration is required, and what the figure is not.