Each year sets aside €2,072.22, which is 6.91% of pay: the statute divides by 13.5 and then deducts the 0.50% contribution, rather than applying a flat 6.91%. At payout the separate-taxation rate is 23%, computed on the reference income and not on the 23% marginal rate of your payslip.
| Annual quota (pay ÷ 13.5) | €2,222.22 |
| Additional INPS contribution (0.50%) | −€150.00 |
| Annual amount set aside | €2,072.22 |
| Set aside over 10 years | €20,722.20 |
| Gross revaluation accrued | €2,267.99 |
| Substitute tax on the revaluation (17%) | −€385.56 |
| Gross TFR accrued | €22,604.63 |
| Reference income (base ÷ years × 12) | €24,866.64 |
| IRPEF under separate taxation (23%) | −€4,766.11 |
| Estimated net TFR | €17,838.52 |
With at least 8 years of service with the same employer you may request an advance of up to 70% of the accrued amount, here €15,823.24, for extraordinary medical expenses or to buy a first home, once only during the employment (article 2120, comma 6 of the civil code).
The revaluation is 1.5% fixed plus 75% of the rise in the ISTAT FOI index over December of the previous year, applied to the fund held at the preceding 31 December: the current year's quota is not revalued. At 31 December 2025 the rate was 2.31% (FOI from 120.2 to 121.5). Careful: from January 2026 ISTAT publishes the FOI on base 2025 = 100, so dividing a 2026 index by the December 2025 one gives a meaningless answer.
This covers the TFR left with the employer. Amounts routed to a complementary pension scheme follow legislative decree 252/2005 rather than the separate taxation on this page, and still count towards the reference income that sets the rate.
An educational estimate based on article 2120 of the civil code and article 19 of the TUIR: it is not tax, financial or employment advice. The final net figure depends on the reassessment the Agenzia delle Entrate, Italy's tax agency, carries out on the average rate of the five preceding years.
Italian Severance Pay (TFR) Calculator by Calculadora Capital