Final settlement (Finiquito) explained

Overview

Whenever employment ends in Spain — resignation, dismissal, or a fixed-term contract expiring — you're owed a finiquito, a final settlement covering everything your employer still owes you at that point.

Requirements

• Applies whenever an employment relationship ends, regardless of who initiated it
• Your employer must calculate and pay it, typically on or shortly after your last working day

Step-by-step process

• Check that your finiquito includes any outstanding salary for days worked but not yet paid
• Confirm it includes payment for any accrued but untaken holiday days
• If applicable, confirm it includes any proportional 'paga extra' (extra payment) accrued but not yet due
• If severance is owed (in dismissal cases), confirm it's included or paid separately, and matches the correct category

Required documents

• Written finiquito document, itemising each amount
• Your final payslip

Common mistakes

• Signing the finiquito without reviewing the calculation — signing generally confirms you accept the amount, so check it first
• Not realising untaken holiday days must be paid out at contract end, even though they generally can't be paid out mid-employment

Practical tips

• You're not legally obliged to sign a finiquito immediately on the spot — you can ask for time to review it, ideally with someone who can check the calculation
• Keep your finiquito and final payslip safely — you'll need them when applying for unemployment benefit

How Tuchati can help

If your finiquito doesn't look right, or you're unsure what should be included, Tuchati can help you check it before you sign.