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UK Redundancy Pay Calculator

Estimate your statutory redundancy entitlement, the tax split, and your take-home payment. Uses 2025/26 statutory rates.

How statutory redundancy pay works →

Your details

Statutory redundancy counts a maximum of 20 years.

£

Capped at £719 per week for statutory calculations (2025/26).

£

If your employer is offering more than the statutory amount, enter the total.

£

PILON is fully taxable and subject to NI.

£

Used to estimate income tax on the portion above the £30,000 tax-free limit and on PILON / holiday pay.

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Estimated take-home

£3,000

From a gross payout of £3,000

Statutory redundancy breakdown

Years of service used (capped at 20)5
Weekly pay used (capped at £719)£600
Years aged 22-40 (5 × 1 week) £3,000
Statutory total£3,000

Tax breakdown

Tax-free (up to £30,000)£3,000
Taxable redundancy (above £30,000)£0
Estimated income tax£0

How this works: Statutory redundancy uses 0.5 / 1 / 1.5 weeks of pay per year depending on the age you were during each year of service. Service is capped at 20 years and weekly pay is capped at £719 (2025/26).

The first £30,000 of any redundancy payment is tax-free under section 401 of ITEPA 2003. Anything above is taxed as income at your marginal rate (no NI). PILON and untaken holiday pay are taxed and NI'd in full as ordinary earnings.