What to Include in a Severance Package
What to Include in a Severance Package

Determine what to include in a severance package by establishing your budget and reviewing the paid benefits that the employee receives. Often a severance package will include full pay, paid insurance premiums, continued contribution to retirement, and outplacement services for the length of the severance agreement.

Create a policy that outlines the length of the package. For instance, employees receive X number of weeks for every X number of years employed.

The extent of the package offered often depends on the available budget, the position the employee holds, and the length of tenure.

As with anything that intersects with employees and employer relations, it is always wise to consult a labor law expert to help advise, create a severance agreement, and implement a severance package that is fair and within the mandates of state law.

—SmartChurchManagement.com, adapted

This content is designed to provide accurate and authoritative information in regard to the subject matter covered. It is published with the understanding that the publisher is not engaged in rendering legal, accounting, or other professional service. If legal advice or other expert assistance is required, the services of a competent professional person should be sought. "From a Declaration of Principles jointly adopted by a Committee of the American Bar Association and a Committee of Publishers and Associations."

Due to the nature of the U.S. legal system, laws and regulations constantly change. The editors encourage readers to carefully search the site for all content related to the topic of interest and consult qualified local counsel to verify the status of specific statutes, laws, regulations, and precedential court holdings.

Like This Article?

If you enjoyed reading this article, get more like it. Become a Church Law & Tax member today.

Learn more

Already a member? .

Recent Posts
Become a Church Law & Tax Member



Let ChurchSalary do the work. Get personalized compensation reports for staff and pastors.

Pastor, Church & Law, Fifth Edition

Pastor, Church & Law, Fifth Edition Member access only

Learn which local, state, and federal laws apply to religious organizations.
The 2019 State of Church Compensation Report

The 2019 State of Church Compensation Report Member access only

Data and statistics about the state of church compensation in the U.S. for 2019.