If you need to review a finiquito in Spain in 2026, you can write to Fernanda Vargas on WhatsApp or book an appointment on Calendly. A mistake when signing or letting deadlines pass can make a later claim much more difficult.
A finiquito is not the same thing as severance pay. Nor is it enough to look at the final figure and sign quickly. It is important to check what amounts it includes, how they have been calculated, and whether the termination of the contract does or does not involve additional compensation. In this guide you will find a clear explanation of what the settlement document must contain, how to make an approximate calculation using the 2026 Minimum Interprofessional Wage (SMI), and what deadlines apply for filing a claim if something is wrong.
What a finiquito is and how it differs from severance pay
A finiquito is, essentially, the settlement of the amounts the company owes you when the employment relationship ends. Its function is to settle outstanding accounts between the company and the employee: salary already earned, accrued but untaken vacation, outstanding extra payments, and other salary amounts that remain unpaid.
Severance pay, by contrast, is a different concept. It does not pay for work already performed or rights already accrued, but may arise because of the reason for termination of the contract. That is why there may be a finiquito without severance pay, and there may even be severance pay that must be calculated separately from the finiquito.
- Finiquito: pays what has already been accrued and has not yet been paid.
- Severance pay: depends on the reason why the contract ends and does not always apply.
This difference is key because many people believe that, if there is no severance pay, the company does not have to pay anything when the contract ends. That is incorrect. Even if there is no severance pay, there may still be a finiquito if there are outstanding amounts.
When the company must give you the finiquito proposal (art. 49.2 ET)
The Workers’ Statute (Estatuto de los Trabajadores) establishes that, when notifying termination or giving notice of termination of the contract, the company must provide a proposed settlement document for the amounts owed. In other words, it should not appear improvised only at the very last minute, but rather together with the termination notice or the notice period communication.
In addition, the employee has an important right at the time of signing: they may request the presence of a legal representative of the employees. The receipt itself must state whether the signing took place in that representative’s presence or whether that option was not used. And if the company prevents that assistance, the employee may state this in the same document.
- The company must provide a settlement proposal when notifying termination or its notice period.
- You may request the presence of a legal representative of the employees when signing.
- The receipt must indicate whether that representative was present or whether that option was not exercised.
- If the company prevents it, it is advisable to leave a written record on the receipt itself.
This point may seem formal, but it is not. If there are doubts about the settlement or about how the signing took place, that record may be very relevant later.
Items it must include: outstanding salary, vacation, extra payments, and other allowances
The specific content of the finiquito depends on what is outstanding in each case, but there are several items that usually need to be reviewed every time. The general idea is simple: everything already accrued and not paid must be settled.
Outstanding salary
If the contract ends before the end of the month and you have still not been paid for the days worked, those days must be included. For example, if termination occurs on the 15th and the payroll for that period has not yet been paid, the finiquito must include the salary corresponding to those days.
Untaken vacation
The Workers’ Statute establishes minimum annual paid vacation of 30 calendar days. As a general rule, vacation is not replaced with money. However, when the contract ends without all accrued vacation having been taken, that outstanding vacation is paid in the settlement.
As a simple guideline, 30 calendar days per year is equivalent to 2.5 days per month worked. This reference is very useful for a quick review of the finiquito.
Extra payments
If the extra payments are not prorated and by the termination date you have already accrued a portion that has not yet been paid, that portion must be included in the finiquito. The company cannot omit what has already been accrued simply because the full payment is made at another time of year.
Other allowances or accrued salary amounts
Other salary items that have already accrued and remain unpaid must also be reviewed. What matters here is distinguishing between amounts actually accrued and items that have not yet accrued. If they have already accrued and have not been paid, they must appear in the settlement.
How to calculate your finiquito step by step: practical example using the 2026 SMI
For 2026, the SMI is set at €1,221 per month in 14 payments, that is, €17,094 per year. For guidance purposes, if the monthly amount is taken over 30 days, the approximate daily wage is €40.70.
A basic finiquito calculation usually follows this order:
- Outstanding salary = daily wage × days worked and unpaid.
- Untaken vacation = accrued and outstanding vacation days × daily wage.
- Outstanding extra payments = proportional part already accrued and unpaid.
- Other salary items = accrued amounts that remain unpaid.
Let us look at an approximate example. Imagine an employee earning the 2026 SMI, in 14 payments, with no additional allowances, whose contract ends on June 15, 2026. Let us also assume that:
- They have been paid in full through May 31.
- They have not taken any vacation in 2026.
- The extra payments are not prorated.
| Item | Approximate calculation | Amount |
|---|---|---|
| Outstanding June salary | €40.70 × 15 days | €610.50 |
| Untaken vacation | 2.5 days × 5.5 months = 13.75 days 13.75 × €40.70 | €559.63 |
| Accrued extra payments | 2 payments of €1,221 = €2,442 per year €2,442 / 12 = €203.50 per month €203.50 × 5.5 months | €1,119.25 |
| Approximate total | Sum of the three items | €2,289.38 |
This example is useful for understanding the logic of the calculation, but the real amount may vary depending on the agreed salary, how the extra payments accrue, and the salary items applicable in each employment relationship. If the collective bargaining agreement or the pay slip contains particular features, it is advisable to review them before accepting the final figure.
One useful idea for detecting quick errors is this: if you have worked several months of the year and hardly any vacation or extra payments appear in the finiquito, the document needs to be reviewed carefully.
Compensation for the end of a temporary contract, dismissal, and cases with no severance pay
When a temporary contract ends, the Workers’ Statute generally recognizes compensation of 12 days’ wages per year of service, on the proportional basis that applies. But this rule has exceptions: it does not apply to training contracts or replacement contracts.
In addition, if the temporary contract lasts more than one year, the minimum notice period is 15 days. That notice does not replace the finiquito: they are different matters. Giving advance notice is one thing; correctly settling outstanding amounts is another.
In cases of dismissal, severance pay may apply, but entitlement to it and the amount depend on the specific grounds and must be analyzed separately. What matters here is not to mix different issues: severance pay does not replace the finiquito, and the finiquito by itself does not exhaust all the rights that may arise when the contract ends.
Therefore, there are three practical points worth keeping in mind:
- The finiquito is intended to pay amounts already accrued.
- Severance pay depends on the reason for termination.
- There may be a finiquito without severance pay, and there may also be severance pay that must be discussed separately.
Before signing: review, ask for a representative, and sign “not in agreement”
Before signing, it is advisable to read the document carefully and check whether it really reflects what you are owed. A poorly reviewed finiquito can lead to later disputes that could have been avoided by spotting the error in time.
- Check the termination date.
- Review whether the unpaid days worked appear.
- Calculate the untaken vacation.
- Verify the proportional part of the extra payments.
- Confirm whether any other accrued salary items are missing.
- If you need to, request the presence of a legal representative of the employees.
If you do not agree with the contents or have not been able to review them properly, a prudent practice is to sign while stating “not in agreement” or a similar reservation. The case law of the Supreme Court has generally held that a finiquito only has discharge effect when it reflects a clear and unequivocal intention to terminate and definitively settle accounts. If it is signed with reservations or disagreement, the possibility of claiming differences is preserved.
In other words: signing does not always mean waiving everything, but it is also not advisable to sign without checking. And if the company prevents you from signing in the presence of a representative, it is important to leave that circumstance in writing on the receipt itself.
What to do if the finiquito is incorrect or not paid: conciliation and deadlines
If the finiquito has been calculated incorrectly or is simply not paid to you, the first thing is to act quickly. Not all claims have the same deadline, and confusing them can be costly.
If you are claiming amounts
Claims arising from the employment contract become time-barred after one year, and in matters of monetary entitlements that year runs from the time the claim could be brought. If what you are disputing is, for example, missing vacation, salary, or extra payments in the finiquito, the general deadline to bear in mind is that one-year period.
In addition, the Workers’ Statute establishes a 10% late-payment interest on salary owed. If the company should have paid you salary and did not do so, that interest may come into play.
If you are disputing the dismissal or the end of the temporary contract
If what is being challenged is not only the amount, but the termination of the contract itself—for example, a dismissal or the termination of a temporary contract—the claim expires after 20 business days. That period is interrupted by filing the conciliation request.
The difference between the one-year limitation period and the 20-business-day expiry period is fundamental. If, in addition to claiming amounts, you want to dispute the termination, you should not rely on the longer one-year deadline.
That is why, when faced with a doubtful finiquito, the most prudent approach is not to wait: review the case as soon as possible, prepare the appropriate claim, and assess whether it is necessary to file a conciliation request within the applicable deadline.
Common mistakes
- Confusing the finiquito with severance pay and thinking they are the same.
- Signing without reviewing outstanding salary, vacation, and extra payments.
- Not asking for a representative when there are doubts at the time of signing.
- Not leaving a record of disagreement when the calculation appears to be incorrect.
- Waiting too long to file a claim and losing sight of whether the applicable deadline is 20 business days or one year.
- Forgetting the 10% late-payment interest when wages are owed.
Frequently Asked Questions
Is there always a finiquito when a contract ends?
Yes, in the sense that whatever is outstanding must be settled. Sometimes the amount may be very small or even zero if nothing remains to be paid, but the logic of the finiquito is to settle the amounts owed when the employment relationship ends.
Is there always severance pay?
No. Severance pay depends on the reason for termination. For example, at the end of a temporary contract there is generally entitlement to compensation of 12 days per year of service, except in training contracts and replacement contracts. In other cases, the specific grounds must be analyzed.
Do they have to pay me for untaken vacation?
Yes, if the contract ends without you having been able to take all the vacation you accrued. Although vacation is not generally replaced with money, when the employment relationship ends and vacation remains outstanding, it must be paid in the settlement.
Can I sign the finiquito “not in agreement”?
Yes. If you do not agree with the amount or need to review it more carefully, writing “not in agreement” or a similar reservation helps preserve your right to claim any differences.
What deadline do I have to file a claim?
It depends on what you are claiming. If you are claiming salary amounts, the general deadline is one year from the time the claim could be brought. If you are challenging a dismissal or the termination of a temporary contract, the deadline is 20 business days, and filing the conciliation request interrupts that period.
Does signing the finiquito prevent me from filing a claim later?
Not automatically. The discharge effect of the finiquito depends on whether it reflects a clear and unequivocal intention to settle accounts in full. If you sign with “not in agreement” or with reservations, you may still claim the differences that apply.
How we help
Fernanda Vargas advises on finiquito reviews, wage claims, contractual terminations, and the defense of labor rights in Madrid. If you have doubts about whether the document has been calculated correctly, whether it is advisable to sign, whether severance pay is missing, or whether you are close to running out of time, it is advisable to review your case as soon as possible.
This information is general and does not replace an individual review of your documents. If you want Fernanda to review your finiquito or assess a claim, you can contact her on WhatsApp or book a consultation on Calendly.