Redundancy Pay Calculator
Use our redundancy pay calculator to estimate the statutory redundancy payment you may be entitled to receive.
If you are not certain of your exact employment dates, use your best estimate. Only complete years of continuous employment should be entered. For example, 5 years and 3 months should be entered as 5 years.
Enter your gross pay before deductions such as Income Tax, National Insurance, pension contributions or student loan deductions. You can enter your pay as an annual, monthly or weekly amount.
How is Statutory Redundancy Pay Calculated?
Statutory redundancy pay is calculated using your age, your number of complete years of continuous employment and your weekly pay.
You will normally need at least 2 years of continuous employment with your employer to qualify for statutory redundancy pay.
Weekly pay is capped at £751 for redundancies taking effect on or after 6 April 2026
Length of service used in the statutory calculation is capped at 20 years
The maximum statutory redundancy payment for redundancies taking effect on or after 6 April 2026 is £22,530
You will not normally qualify for statutory redundancy pay if you have less than 2 years of continuous employment
How Many Weeks' Pay Do You Receive?
The statutory calculation works backwards from the date your employment ends and applies a multiplier to each complete year of qualifying service.
week's pay for each full qualifying year
week's pay for each full qualifying year
weeks' pay for each full qualifying year
What Pay Figure Should You Enter?
If your pay does not vary, enter your normal gross annual, monthly or weekly pay.
If your earnings vary, the statutory calculation can require an average weekly figure based on the relevant 12-week period. Contractual overtime, bonuses or commission may also be relevant depending on your employment arrangements.
If you already know your correct average weekly pay, select Weekly in the calculator and enter that amount directly.
What is a More Generous Employer Redundancy Scheme?
Some employers provide an enhanced redundancy package that is more generous than the statutory minimum.
A common approach is to offer a specified number of weeks' gross pay for each complete year of service. If your employer operates this type of scheme, select More generous employer scheme and enter the number of weeks offered for each year.
The enhanced calculation shown by this tool is an estimate based on your actual gross weekly pay and the weeks-per-year figure you enter. Employer schemes can contain their own service caps, salary caps, minimum payments and other conditions, so you should check the terms of your employer's policy or contract.