Calculate Your Redundancy Pay

Find out how much statutory redundancy pay you're entitled to based on your age, years of service, and weekly pay.

Perfect for UK employees facing redundancy. Get instant calculations based on 2026 statutory rates and understand your entitlement.

Your Age

Your age when your employment ends

Years of Service

How long you've worked for your employer (can include decimals, e.g. 8.5 years)

Gross Weekly Pay (before tax)

Your average weekly gross pay. The legal maximum is £700 per week.

Under 22 0.5 weeks' pay per year

22 to 40 1 week's pay per year

41 and over 1.5 weeks' pay per year

Statutory Redundancy Payment

£0.00

Calculation Breakdown

What This Site Does

Purpose: Redundancy Pay Calculator is a free online tool that helps UK employees and employers calculate statutory redundancy payments accurately based on current UK employment law.

Who It's For:

Employees facing redundancy who need to understand their entitlement
Employers calculating redundancy payments for staff
HR professionals managing redundancy processes
Anyone who wants to understand UK statutory redundancy pay rules

How It Works:

Enter your age, years of service, and weekly gross pay
Get instant calculation of your statutory redundancy entitlement
See detailed breakdown by age brackets (under 22, 22-40, 41+)
Understand statutory caps (£700 weekly pay, 20 years service)
View tax implications (£30,000 tax-free threshold)
Learn about your redundancy rights and processes

All calculations are performed in your browser. We do not collect, store, or transmit any of your employment data. Results are estimates based on statutory rates - always verify with your employer or HR department.

How is Statutory Redundancy Pay Calculated?

Statutory redundancy pay is calculated based on three factors: your age, length of service, and weekly pay. The formula uses different multipliers depending on your age:

Under 22 Half a week's pay for each full year of service

22 to 40 One week's pay for each full year of service

41 and over One and a half week's pay for each full year of service

Important Limits

Maximum weekly pay: £700 (as of April 2025)
Maximum years counted: 20 years of service
Maximum payment: £21,000 (20 years × £700 × 1.5)
Minimum service: You must have worked for your employer for at least 2 years

Example: If you're 45 years old, have worked for 10 years, and earn £600 per week:
• Years 35-41 (6 years): 6 × 1 week × £600 = £3,600
• Years 41-45 (4 years): 4 × 1.5 weeks × £600 = £3,600
• Total: £7,200

Who is Entitled to Redundancy Pay?

You're entitled to statutory redundancy pay if:

You're an employee (not self-employed or a contractor)
You've worked continuously for your employer for at least 2 years
You're being made redundant (your job is no longer needed)
Your employer hasn't offered you suitable alternative work

When Don't You Get Redundancy Pay?

You've been employed for less than 2 years
You're offered suitable alternative employment with your employer
You're dismissed for misconduct
You're self-employed or a contractor
You're a member of the police service or armed forces
You're a domestic servant working in a private household

Tax and National Insurance

Statutory redundancy pay up to £30,000 is tax-free. You don't pay National Insurance on redundancy payments.

If your total redundancy package (including notice pay and any enhanced redundancy pay from your employer) exceeds £30,000, you'll pay income tax on the amount over £30,000.

Notice Period

Your employer must give you notice, or pay in lieu of notice (PILON), which is separate from redundancy pay. Minimum notice periods are:

Less than 2 years: 1 week
2 to 12 years: 1 week per year of service
12+ years: 12 weeks

Enhanced Redundancy

Many employers offer enhanced redundancy packages that pay more than the statutory minimum. Check your employment contract or speak to HR about what your employer offers.

Your Rights During Redundancy

Consultation: Your employer must consult with you about the redundancy
Selection: The redundancy process must be fair and non-discriminatory
Alternative work: Your employer should offer suitable alternative roles if available
Time off: You can take reasonable time off to look for work or arrange training
Appeal: You can appeal against your redundancy if you believe it's unfair

Need help? If you think your redundancy is unfair or you haven't been given the correct payment, contact ACAS (Advisory, Conciliation and Arbitration Service) on 0300 123 1100 for free advice.