Severance Pay in Minneapolis, Minnesota | 2026 Calculator & Guide

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Estimate your severance package based on your salary, years of service, and industry

Minnesota State Law Quick-Reference

No

Mandatory Severance

60 days

WARN Act Notice

28.2%

Est. Combined Withholding

Minnesota has up to 9.85% state income tax on high earners. The combined tax rate includes the 22% federal supplemental wage rate and 6.3% Minnesota state withholding (estimate).

Major Employers in Minneapolis

Target Corporation

Corporate: varies by level; HQ roles get better packages

UnitedHealth Group

2 weeks per year of service + transition benefits

Wells Fargo

Salary Continuation Pay Plan (employee-reported via fired.fyi + TheLayoff forum): 8 weeks minimum (under 3 years tenure), then 2 weeks per year of service, capped at 52 weeks. Includes a 60-day paid garden-leave period during which the employee is on payroll with active benefits and 401(k) match continues. Lump-sum or installments at employee election.

Deloitte

2 weeks per year of service (typical Big Four)

Amazon

Employee-reported (never company-confirmed): ~1 week per 6 months of service (≈2 wks/yr), reported floor ~4 weeks, cap ~20 weeks, paid after a ~90-day paid notice window; warehouse tiers reported lower

Top Industries in Minneapolis

Salary-Adjusted Severance Examples for Minneapolis

Based on the Minneapolis median salary of $62,000 ($1,192/week), with 28.2% combined tax withholding

Tenure	Low (1 wk/yr)	Typical (2 wk/yr)	High (3 wk/yr)
2 years	$2,385 $1,711 after tax	$4,769 $3,422 after tax	$7,154 $5,133 after tax
5 years	$5,962 $4,277 after tax	$11,923 $8,555 after tax	$17,885 $12,832 after tax
10 years	$11,923 $8,555 after tax	$23,846 $17,110 after tax	$35,769 $25,664 after tax

Cost of Living Context

105

Cost of Living Index
(National average = 100)

Your $11,923 typical severance (5 years tenure) goes 5% less in Minneapolis compared to the national average. The slightly higher cost of living means budgeting carefully during your transition is important.

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When a calculator estimate is not enough

Use your estimate as a starting point, not a final answer. Releases of claims, stock equity, short deadlines, and layoffs involving protected rights all need closer review.

Review Methodology Contact the Team

Minneapolis Severance Pay FAQ

How much severance pay is typical in Minneapolis?▼

In Minneapolis, Minnesota, typical severance ranges from 1-3 weeks of pay per year of service. Based on the local median salary of $62,000, a worker with 5 years of tenure can expect between $5,962 and $17,885 in gross severance. However, actual amounts vary significantly by employer, industry, and seniority level.

How is severance taxed in Minneapolis, Minnesota?▼

Severance pay in Minneapolis is taxed at a combined rate of 28.2%: the 22% federal supplemental wage rate plus 6.3% Minnesota state income tax. On a $50,000 severance package, you would take home approximately $35,875 after withholding.

Where can I find a severance lawyer in Minneapolis?▼

A local attorney familiar with Minnesota employment law can review your severance agreement, identify additional leverage, and negotiate better terms. Many employment attorneys in Minneapolis offer free initial consultations, so consider consulting a licensed employment attorney in your state.