How Microsoft’s buyout payments are calculated
Microsoft’s standard severance terms offer different payment formulas depending on an employee’s level.
US employees at level 64 and below are offered one week of base pay for every six months of service. Those at levels 65 to 67 are offered two weeks of base pay for every six months of service, according to offers reviewed by Business Insider.
Microsoft’s internal levels range from 59 for entry-level roles to 70 for vice presidents. The company individualizes buyout offers based on job level, location and tenure.
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Microsoft caps standard severance at 39 weeks of base pay for employees at level 67 and below. Employees at level 68 are offered 12 months of salary under the standard severance plan.
These figures are the company’s standard severance terms; an employee’s specific offer determines the package available to them. The payment formulas can help eligible workers estimate their potential severance, but the amount will depend on their base pay and applicable terms.
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