Severance Pay (TFR) Net Calculator 2026
Find out how much you will receive from your severance pay after taxes. Quick estimate or precise calculation from your payslip.
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Calculation mode
⚠ Indicative result: the estimate assumes your salary has remained constant for all years indicated and does not include the annual ISTAT revaluation. For a precise calculation, use the "Precise calculation" mode entering the gross TFR from your CUD or payslip.
How net TFR is calculated
TFR builds up by setting aside roughly one month's pay each year, which is then revalued over time. The calculator starts from the gross TFR accrued and applies separate taxation: it works out an average rate based on your reference income of recent years, without adding the TFR to your other income for the year.
You just enter the gross TFR (found on your Certificazione Unica) and your years of service. The result is an estimate of the net you will receive at payout; the annual revaluation is taxed separately, with a 17% substitute tax.
Frequently asked questions
What is TFR (severance pay)?
TFR (Trattamento di Fine Rapporto), also known as severance pay or end-of-service allowance, is a sum that the employer sets aside each year for the employee. It is paid out at the end of the employment relationship for any reason (resignation, dismissal, retirement). The annual accrual equals the gross pay divided by 13.5 (approximately 7.41% of the gross annual salary).
How is TFR taxed?
TFR is subject to separate taxation, a more favourable regime than ordinary IRPEF. A 'reference income' is calculated (gross TFR divided by months of service, multiplied by 12) and the corresponding average IRPEF rate is applied. The Revenue Agency then recalculates the final tax using the average rate from the last 5 years of tax returns.
Where do I find my accrued gross TFR?
The gross TFR is reliably shown in the CUD (Certificazione Unica) you receive each year from your employer, in the TFR section. It may also appear on payslips under entries such as 'TFR maturato' or 'TFR spettante totale', but not all companies include it — do not rely on the payslip if you cannot find it there. For a precise calculation, use the CUD value in the 'Precise calculation' mode.
Why does the estimate differ from the real value?
The estimate mode assumes your salary has remained constant throughout all years worked and does not include the annual TFR fund revaluation (1.5% fixed + 75% of ISTAT inflation). In reality, salary changes over time and revaluation can significantly increase the TFR. For a reliable result, use the CUD value (or the payslip value, if present) in 'Precise calculation' mode.
What happens if TFR is in a pension fund?
If you have joined a supplementary pension fund, the TFR paid into the fund follows different taxation rules (rate from 15% to 9% based on years of membership). This calculator covers TFR held with the employer. For TFR in a pension fund, consult your fund of reference.
📖 Want to understand how Italian TFR works?
Full guide: accrual, separate taxation, ISTAT revaluation — with real examples.