Free sample severance pay letters are available online from Upcounsel, the Society for Human Resource Management and the Securities and Exchange Commission. Employers should customize these basic templates with the specific terms of their agreement with the departing employee.
Each severance letter template includes areas to list the date of employment termination, the amount of severance pay and accrued benefits owed to the employee and the required payment dates. The templates also include language releasing the employer from any further liability to the employee. If the terminated employee is at least 40 years old, the letter should also include provisions for him to waive his rights under the Age Discrimination in Employment Act of 1967.