Redundancy pay calculator
Work out your statutory redundancy pay, the tax-free lump sum the law guarantees after two years’ service, with a year-by-year breakdown of how it adds up.
Redundancy pay calculator
Figures from 6 April 2026: £751 weekly cap, £22,530 maximum · GOV.UK redundancy pay
How it works
You qualify for statutory redundancy pay once you have two complete years of continuous service. Below that the statutory figure is zero, though your contract or a company scheme may still pay something.
Each full year of service earns a slice of a week’s pay, banded by the age you reached during that year: half a week’s pay for each year you were under 22, a full week’s pay for each year aged 22 to 40, and a week and a half for each year aged 41 or over. Only the last 20 years of service count.
Your gross weekly pay, before tax, is capped at £751 for redundancies on or after 6 April 2026, and the total is capped at £22,530. If you earn more than the cap the calculator uses £751 and tells you it did so. Pay is usually your average weekly earnings; if your pay varies it is the average over the 12 weeks before your notice period started.
The breakdown table shows each year of service, newest first, so you can see exactly which years earned a half-week, a week or a week-and-a-half. Statutory redundancy pay is tax-free and is owed on top of your notice pay, not instead of it.
Read our guides to redundancy procedures and rights and redundancy payments, and check the rules on GOV.UK.