Employment · 2025

Redundancy Pay Calculator

Calculate your statutory redundancy entitlement based on your age, service, and weekly pay.

Your Details
£
Statutory Redundancy Pay
£0
tax-free up to £30,000
Capped weekly pay£0
Years of service0
Multiplied weeks0
Tax on redundancy£0 (tax-free)

How Statutory Redundancy is Calculated

You get: 0.5 week's pay for each full year under 22, 1 week's pay for each full year aged 22-40, and 1.5 weeks' pay for each full year aged 41+. Weekly pay is capped at £700 and maximum service is 20 years.

Is Redundancy Pay Taxed?

The first £30,000 of redundancy pay is tax-free. Anything above £30,000 is taxed as income. Statutory redundancy rarely exceeds £30,000. Your notice pay and holiday pay are taxed normally.

What This Calculator Does

This calculator works out your statutory redundancy pay based on your age, length of service, and weekly pay, plus estimates of typical enhanced redundancy packages. It is designed for employees facing redundancy who want to understand their statutory and potential enhanced entitlement.

How the Calculation Works

Statutory redundancy pays 0.5–1.5 weeks' pay per year of service (capped at £700/week for 2025/26), depending on your age bracket. Service is capped at 20 years. The first £30,000 of redundancy is tax-free.

Common Scenarios

An employee aged 41 with 10 years' service earning £35,000+ would receive £7,350 statutory redundancy (tax-free). Enhanced packages in the public sector or large firms often pay 2-4 weeks per year of service, potentially reaching £30,000+.

Related Calculators

You might also find these useful: Emergency Tax, Tax Code Explainer, Pension. Or use our main salary calculator for a complete take-home pay breakdown.