# Final pay in Italy: what goes into the last payslip > What an Italian leaver payslip contains: accrued pay, unused leave, severance accrual (TFR), notice items and deductions. A guide for EOR and payroll teams. A leaver in Italy does not get a simple final salary. The last payslip closes several accruals at once. Each one follows the national collective agreement (CCNL) that applies to the employee, plus the individual contract. If your platform exports a single "final pay" line, local payroll will have to rebuild the detail. This article lists the components so partnership and operations teams can map them. ## Why the leaver payslip is different In most countries, final pay is the last salary plus unused holiday. In Italy there are more moving parts. Some are paid out. Some are settled through other channels. Some depend on the CCNL, the job level and how the employment ended. The payslip itself is only the output. The inputs sit in time records, leave balances, the contract and the CCNL tables. Missing data at any of these points delays the payment. ## The components ### 1. Salary for the period worked This is the pay from the start of the last payroll period up to the last working day. If the employee leaves mid-period, the salary is prorated. The proration method depends on how the CCNL defines the daily rate. Do not assume calendar days. Some agreements use a different divisor. Variable pay for the period belongs here too. That includes overtime, shift allowances and any commission already earned. ### 2. Unused leave and paid time off Accrued holiday that was not taken is normally settled in the final pay. The same applies to other paid time off banks where the CCNL or company policy provides for payment of the balance. Two points cause most errors. First, the balance must be reconciled against the leave actually taken, not against the figure in a foreign HR system. Second, leave accrued in a prior year may be treated differently from leave accrued in the current year. Ask local payroll for the split. ### 3. Additional monthly salary installments Many CCNLs provide extra salary installments paid on top of the regular monthly pay, often at set times of the year. When employment ends, the portion accrued since the last payment is paid out in the final payslip. The accrual is proportional to the time worked in the reference period. The number of installments and the payment calendar are set by the CCNL. Do not hard-code them in your platform. Read them from the agreement that applies. ### 4. Severance accrual (TFR) TFR (trattamento di fine rapporto) is the statutory severance accrual. It builds up during the whole employment. At termination it is paid to the employee as a lump sum. It is usually not paid as part of the regular salary line. It appears in the final payslip as its own item and is taxed under a separate regime. Teams that treat it as a bonus will get the tax treatment wrong. If the employee chose to move TFR to a supplementary pension fund, part or all of it may not sit with the employer. In that case the payslip shows less than the full historical accrual. The employee should be told this in advance. Otherwise they will ask why the figure is lower than expected. ### 5. Notice period items If the employer ends the contract and does not require the notice to be worked, an indemnity in lieu of notice may be due. If the employee resigns and leaves without serving notice, the employer may be entitled to withhold the equivalent amount. The notice length depends on the CCNL, the job level and seniority. Your platform should pass the termination type and the last working day. Payroll then applies the right rule. ### 6. Other indemnities and agreed payments This line is a catch-all, and it needs care. It may include: - an agreed exit payment - a pro-rata bonus under a company plan - expense reimbursements still outstanding - allowances tied to a role that ends with the contract Each item needs a legal basis and a tax treatment. A negotiated exit payment is not handled like salary. Flag it early so payroll can classify it. ### 7. Deductions and offsets The payslip also shows what is taken out. That covers social security contributions, income tax withholding and local surcharges. It can also cover the recovery of advances, unreturned equipment value where the contract allows it, and balances from salary loans. Recoveries are limited by law and by the agreement. Payroll cannot simply net everything against the final amount. Check what is permitted before you promise an employee a figure. ## What payroll needs from you To produce the final payslip on time, local payroll needs a short, structured set of inputs: - the termination type and who initiated it - the last working day - confirmation of whether notice is worked or paid - the leave balance, with accrual dates - any variable pay not yet processed - any agreed exit payment, with its description - the employee's TFR election - open advances or recoveries Send these as fields, not as an email thread. Late or unstructured data is the main reason leaver payslips are delayed or corrected after issue. ## Common mistakes - Treating TFR as ordinary salary. - Using the home-country holiday balance instead of the Italian one. - Ignoring the additional salary installments accrued since the last payment. - Applying a notice rule from the wrong CCNL level. - Netting recoveries that the law does not allow. Each of these creates a payslip that has to be reissued. That costs time on both sides and frustrates the employee at the worst moment. ## Summary The leaver payslip in Italy is a set of separate calculations: salary, leave, extra installments, TFR, notice items, other payments and deductions. Each has its own rule. Map them one by one in your integration, and pass the inputs as structured data. Partnership teams that want to align their offboarding flow with Italian payroll can request the data-exchange specification. {{< compare-table compact="true" >}} --- Source: https://italyincountry.com/articles/final-pay-italy-last-payslip-components.html ยท 2026-10-27