Severance pay is money an employer gives you when they end your job. It's separate from your final paycheck and unemployment benefits. Not all employers offer it, and the amount varies widely depending on your company's policies, how long you worked there, and the circumstances of your departure. Understanding what severance is, how it's calculated, and what happens with taxes can help you know what to expect if you lose your job.
The articles here answer common questions about severance: what triggers a severance package, how long you might have to wait for payment, whether severance affects your unemployment benefits, what happens to your health insurance, and how severance is taxed. You'll also learn about severance agreements and what terms employers commonly include.