UK Statutory Redundancy Pay Calculator

Last Updated:

Redundancy pay details
£
per year
£
extra

Estimated total redundancy pay

—

Enter your details to see an estimate.

Service Breakdown

Years under 22
—
Years aged 22 to 40
—
Years aged 41+
—
Service years counted
—

Statutory Limits

Estimated weekly pay
—
Weekly pay cap
£719
Weekly pay used
—
Maximum statutory pay
£21,570

Tax Treatment

Statutory redundancy pay
—
Contractual redundancy pay
—
Total redundancy pay
—
Tax-free portion (first £30,000)
—
Taxable portion
—

How Statutory Redundancy Pay Is Calculated (Age + Service)

Statutory redundancy pay is based on full years of service, capped at 20 years, and your age in each year of employment. The standard rules are half a week’s pay for each full year under 22, one week’s pay for each full year aged 22 to 40, and one and a half week’s pay for each full year aged 41 or older.

Weekly pay is your average earnings over the 12 weeks before your redundancy notice. This calculator estimates weekly pay from your annual salary divided by 52. The statutory weekly pay cap is £719 for redundancies on or after 6 April 2025.

You do not usually pay tax on the first combined £30,000 of statutory redundancy pay and any additional contractual redundancy pay. Amounts above that are taxable, and other termination payments like holiday pay or PILON are taxed separately.

Sources: GOV.UK statutory redundancy pay guidance , GOV.UK termination payments tax guidance .

Statutory Redundancy Pay Calculator Explanations

Each input affects the statutory weeks entitlement or the weekly pay used in the calculation.

Annual Salary
Used to estimate average weekly pay (salary divided by 52).
Weekly pay is capped at 719, so higher salaries are limited at that weekly figure before redundancy weeks are applied.
Full Years Of Service
Determines the number of redundancy weeks you qualify for.
Only full years count, the total is capped at 20 years, and statutory eligibility typically starts at 2 years of service.
Age At Redundancy
Determines the entitlement rate per service year.
The calculator applies 0.5 weeks (Under 22), 1 week (22 To 40), and 1.5 weeks (41+), which can change the statutory total significantly.
Contractual Redundancy Pay
Added on top of statutory pay.
The combined redundancy total is compared to the 30,000 tax-free threshold to estimate the taxable portion.

Sources And Methodology

Calculations use statutory redundancy rules, weekly pay caps, and tax treatment guidance for termination payments. Figures are estimates and may differ from employer calculations.