Severance pay
Money an employer may pay when it ends your job, often in exchange for signing an agreement.
Federal law doesn't require severance, so the amount and the terms are up to the employer or your contract. It's often a number of weeks of pay, sometimes with help paying for health coverage.
Severance is taxed as wages. The agreement that comes with it usually has a signing deadline and asks you to give up the right to sue, so read it closely before you sign.