Redundancy pay calculator

Calculate statutory redundancy pay quickly and easily


How old was your employee when they were made redundant?

years old

How many years has your employee worked for you?

full years worked

Only count full years of service. For example, 5 years and 3 months count as 5 years.


What is your employee's weekly pay before tax and any other deductions?

per week

Examples of other deductions include student loans and child maintenance.

Based on your answers, your statutory redundancy payment is;

£0 (£0 in Northern Ireland)
How to calculate redundancy pay

Redundancy pay is worked out on the basis of age, weekly pay and length of service (employees must have worked for you continuously for 2 years or more to qualify). They will be entitled to:

  • 0.5 week’s pay for each full year of service under the age of 22
  • 1 week’s full pay for each full year of service over 22 and under 41
  • 1.5 week’s full pay aged 41 and over 

However, pay is capped at £525 (£500 in Northern Ireland) per week and length of service is capped at 20 years.

The maximum amount of statutory redundancy pay an employee can receive is £15,750 (£16,410 in Northern Ireland).

Years of service or earnings over these amounts should not be included in the calculation. 

Additional redundancy pay

As an employer, you can decide to offer redundancy pay over and above the statutory requirement. You can also choose to shorten the qualifying period to less than two years. This information should all be written into the employment contract. Redundancy pay up to £30,000 is tax-free.

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