Statutory redundancy pay calculator
Enter your age, years of service and weekly gross pay. We apply the 6 April 2026 cap of £751 a week and return one £ figure with a line-by-line ladder. Under 15 seconds. No sign-up.
Statutory redundancy pay in the UK is calculated as: 1.5 weeks per year of service at age 41+, 1 week at 22-40, 0.5 week under 22. Weekly pay is capped at £751 from 6 April 2026 (was £719). Service is capped at 20 years. The maximum statutory payment is £22,530. Set out in ERA 1996 s.162 and ERA 1996 s.227.
How the formula works
Three age bands, capped weekly pay, capped at 20 years of service. That is the entire rule, end to end. The age you were during each year of service decides the multiplier. ERA 1996 s.162.
Who qualifies
You need to be an employee with 2 or more years of continuous service, dismissed by reason of redundancy. Workers, self-employed and most agency staff do not qualify. ERA 1996 s.155.
If you have been there less than 2 years, you get nothing. There is no discretion. If you are unsure, run the 8-question eligibility checker.
Tax in one paragraph
Statutory redundancy pay is income-tax-free and NIC-free. Any package over £30,000 (statutory plus enhanced plus ex-gratia, combined) is taxed as earnings above that point. Notice pay and PILON sit outside the £30k slice. ITEPA 2003 s.401. For a worked example, open the after-tax calculator.