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Statutory Redundancy Pay Calculator

Facing redundancy? Finds out exactly what you are legally owed by your employer.

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2025/26 Weekly Cap£719.00

Includes bonuses. Excludes overtime.

Statutory Redundancy Pay

£0

Calculation: 0 weeks × £0

How we worked this out:

Enter details to see breakdown.
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Check Your Contract

This figure is the statutory minimum. Your employer may have a more generous "contractual" redundancy policy. Check your employee handbook!

UK Redundancy Pay Calculator: What Are You Owed?

Being made redundant is stressful. Amidst the uncertainty, it is crucial to know your financial rights. This tool calculates your Statutory Redundancy Pay (the legal minimum your employer must pay you).

How is Redundancy Calculated? (The Formula)

The government uses a rigid formula based on your age and length of service. It works backwards from your redundancy date.

  • 0.5 weeks' pay for each full year you were under 22.
  • 1 week's pay for each full year you were 22 or older, but under 41.
  • 1.5 weeks' pay for each full year you were 41 or older.

The "Caps" (2025/26)

There are strict limits on statutory pay:

  • Weekly Pay Cap: Even if you earn £2,000 a week, the calculator uses the statutory cap of £719 (from April 2025).
  • Length of Service Cap: You can only claim for a maximum of 20 years of service.

Statutory vs. Contractual Pay

Important: The figure above is the legal minimum. Many employers offer "Enhanced" or "Contractual" Redundancy Pay as a gesture of goodwill or as part of your contract.
Always check your employment contract or employee handbook—you might be entitled to much more than the statutory amount.

Notice Pay Calculator

Redundancy pay is separate from Notice Pay. You are entitled to a paid notice period (usually 1 week for every year worked, up to 12 weeks).

Tax Warning

Redundancy Pay is tax-free up to £30,000. However, Notice Pay (even if paid as a lump sum "PILON") is taxed as normal income (Income Tax + National Insurance). Don't get caught out by expecting the full amount tax-free!

Is My Redundancy Pay Tax-Free?

Yes, the first £30,000 of redundancy pay is free from legislation tax and National Insurance. This applies to both statutory and enhanced payments. Any amount over £30,000 is taxed at your marginal rate.