Severance Pay in Virginia: Calculator & 2026 Guide
Calculate your estimated severance package in Virginia. Virginia state tax is 5.8%, for a combined 27.8% withholding rate.
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Estimate your severance package based on your salary, years of service, and industry
Virginia Severance Pay Laws
Federal WARN Act requires 60 days notice for layoffs of 50+ employees at companies with 100+ employees.
How Severance Is Taxed in Virginia
| Tax Type | Rate | On $50,000 Severance |
|---|---|---|
| Federal (Supplemental) | 22.0% | $11,000 |
| Virginia State Tax | 5.8% | $2,875 |
| Total Withholding | 27.8% | $13,875 |
| You Keep | 72.2% | $36,125 |
Virginia Severance by Industry
Example: 5 years of service, $75,000 salary, individual contributor in Virginia
| Industry | Weeks/Year | Gross Estimate | After Tax |
|---|---|---|---|
| Technology | 2-4 | $21,635 | $15,631 |
| Finance & Banking | 2-4 | $21,635 | $15,631 |
| Healthcare | 1-3 | $14,423 | $10,421 |
| Retail | 0.5-2 | $7,212 | $5,210 |
| Manufacturing | 1-3 | $14,423 | $10,421 |
| Consulting & Professional Services | 2-4 | $21,635 | $15,631 |
| Government | 1-2 | $7,212 | $5,210 |
| Nonprofit | 1-2 | $10,817 | $7,816 |
| Other Industry | 1-3 | $14,423 | $10,421 |
How to Negotiate Severance in Virginia
In Virginia, the standard federal WARN Act applies — 60 days notice for layoffs of 50+ employees at companies with 100+ workers.
- ✓ Ask for more weeks: Counter with 50% more than the initial offer
- ✓ Negotiate COBRA: Employer-paid health coverage for 6-12 months
- ✓ Get a written reference: Protect your future career prospects
- ✓ Review non-compete clauses: Negotiate restrictions before signing
- ✓ Consult a lawyer: Employment attorneys often negotiate 2-5x the original offer
Think Your Severance Is Too Low?
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Virginia Severance Pay FAQ
Is severance pay required in Virginia?▼
No, Virginia does not have a state law requiring employers to provide severance pay. However, the federal WARN Act may require 60 days notice or pay in lieu of notice for large layoffs.
How is severance taxed in Virginia?▼
Severance in Virginia is taxed at 27.8% combined — 22% federal supplemental rate plus 5.8% Virginia state income tax. On a $50,000 severance, you'd take home approximately $36,125.
What is the WARN Act in Virginia?▼
The federal WARN Act applies in Virginia, requiring employers with 100+ employees to give 60 days advance notice for mass layoffs of 50+ workers. Failure to provide proper notice can result in back pay for the notice period.
Can I collect unemployment and severance in Virginia?▼
This depends on how your severance is structured. Some Virginia workers can receive both simultaneously, while others may see a delay in unemployment benefits. If severance is paid as a lump sum, it's less likely to delay unemployment than if paid as continued salary. Contact Virginia's unemployment office for specific guidance.
Severance Pay in Nearby States
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The exact steps employment lawyers use to negotiate higher severance. Used by 10,000+ employees.