calculator for redundancy

Redundancy Pay Calculator (UK)

Estimate your statutory redundancy, plus optional notice pay and unused holiday pay for a clearer total package estimate.

Your current age

Full years of continuous service

Only full years are counted. UK statutory redundancy caps this at 20 years.

Gross weekly pay (£)

Weekly statutory cap (£)

Apply statutory weekly pay cap

Employer enhancement multiplier (1 = statutory only)

Use 1.5 if your employer pays 50% above statutory, 2 for double, etc.

Notice period to be paid (weeks)

Unused holiday to be paid (days)

This tool is an estimate for planning. Your actual entitlement can vary based on contract terms, collective agreements, PILON clauses, tax treatment, and jurisdiction.

How this redundancy calculator helps

Losing a role can be stressful, and one of the first practical questions people ask is: “What am I likely to receive?” This calculator is designed to give you a fast, transparent estimate of your redundancy package so you can plan cash flow, job search runway, and next steps with more confidence.

The tool combines three common components:

Statutory redundancy pay based on age, service, and weekly pay rules.
Notice pay if you are being paid for notice rather than working it.
Unused holiday pay owed on termination.

How statutory redundancy is calculated (UK rules)

In the UK, statutory redundancy pay is generally based on:

Your age during each full year of service.
Your number of full years of continuous service (up to 20 years).
Your weekly pay (subject to the statutory cap where applicable).

Weekly entitlement by age band

Under age 22: 0.5 week’s pay per full year.
Age 22 to 40: 1 week’s pay per full year.
Age 41 and over: 1.5 weeks’ pay per full year.

Because people may move through age bands over long service, the calculator estimates each full year separately based on your current age and service length.

Input guide: what to enter

1) Age

Enter your current age. The calculator uses this to estimate which age band applied during each full year counted.

2) Full years of service

Only completed years are included for statutory redundancy. For example, 7 years and 10 months counts as 7 years.

3) Weekly pay

Use your gross weekly pay. If you are paid monthly, a quick estimate is monthly salary × 12 ÷ 52.

4) Weekly cap

Statutory calculations usually apply a legal cap on weekly pay. Keep the cap switched on for statutory estimates, or switch it off if you are modeling contractual terms that use actual weekly pay.

5) Enhancement multiplier

Some employers offer enhanced redundancy packages. If yours pays, for example, 1.5x statutory, enter 1.5.

6) Notice weeks and holiday days

These fields help you estimate other amounts commonly paid at termination.

Worked example

Suppose you are 45 years old, have 12 full years of service, and earn £900 per week with a statutory cap applied. You may receive:

Statutory redundancy based on capped weekly pay and age-band weighting.
Additional notice pay, depending on contract and whether you work notice.
Unused holiday pay owed at your daily rate.

This is exactly the kind of scenario the calculator handles quickly, so you can compare outcomes and prepare for discussions with HR.

Common mistakes to avoid

Counting partial years as full years: statutory rules usually do not.
Ignoring weekly pay cap: this can overstate statutory entitlement.
Forgetting enhanced terms: your contract may improve on statutory minimum.
Missing notice and holiday components: redundancy pay is only one part of final pay.
Not checking deductions: tax and NI treatment can differ by payment type.

Tax and payroll considerations

Tax treatment can be complex. In many cases, certain termination payments may receive different tax treatment from normal salary, while notice pay and holiday pay are often taxed as earnings. The exact treatment depends on payroll setup, legal classification of payments, and current tax law.

Always verify:

Your expected gross vs net payout.
Which elements are taxed through payroll.
Whether pension contributions or other deductions apply.

Checklist before signing any agreement

Request a written breakdown of all payment elements.
Confirm service length and age-band logic used.
Check notice type (worked, PILON, garden leave).
Confirm holiday balance and daily rate calculation.
Review restrictive covenants and benefits end dates.
Take independent legal advice where appropriate.

Final thoughts

A good redundancy calculator turns uncertainty into a practical starting point. Use this estimate to build your transition plan, understand your minimum rights, and enter conversations with your employer prepared. For legal accuracy, rely on official guidance and professional advice, especially if your package includes special terms, settlement agreements, or cross-border employment rules.