Redundancy Pay Calculator
Statutory redundancy pay (£751 weekly cap)Runs in your browser
You get half a week's pay for each full year of service under 22, one week for each year aged 22 to 40, and one and a half weeks for each year aged 41 or over. The first £30,000 of redundancy pay is tax-free. Your contract may give you more than the statutory amount.
Rates for England, Scotland and Wales for redundancies on or after 6 April 2026 (maximum £22,530). Northern Ireland has a different weekly cap.
These are estimates based on 2026/27 rates and the inputs you give. Your actual position can differ (other income, benefits in kind, tax code changes, scheme rules). This is not financial or tax advice.
How it works
Worked example
Input: Age 45, 10 years' service, £800 a week.
- Years aged 41–44 (4 years) × 1.5 = 6 weeks.
- Years aged 35–40 (6 years) × 1 = 6 weeks.
- Weekly pay capped at £751.
Result: 12 weeks × £751 = £9,012.
Sources
How to use
- 1Enter your age at the redundancy date.
- 2Enter your full years of continuous service.
- 3Enter your gross weekly pay.
- 4See how many weeks' pay you get and the total.
FAQ
How is statutory redundancy pay calculated?
Half a week's pay for each full year of service under age 22, one week's pay for each year from 22 to 40, and one and a half weeks' pay for each year at 41 or older, counting back from the redundancy date. Up to 20 years count and weekly pay is capped at £751.
Is redundancy pay taxed?
The first £30,000 of a redundancy payment is tax-free. Pay in lieu of notice, holiday pay and wages owed are taxed as normal.