There is no standard to severance pay because it is not required by law. Generally, it is one weeks pay for each year the employee worked. This can be increased depending on the level of employment the individual held. The one requirement mandated by federal law comes from the Fair Labor Standards Act. With this, employers are required to pay all accumulated earnings to an employee after termination, and they are paid for all work leading up to termination. Aside from those standards, severance pay may be granted in various forms. It can be continued income, insurance, a bonus lump sum, electronics or stocks. This can be a predetermined factor, or discussed after termination.