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Redundancy pay calculator
Estimate your statutory redundancy pay under UK law. Enter your age, full years of service and weekly pay to see your figure, worked out with the 2026/27 weekly cap of £719 and the £30,000 tax-free rule.
Your statutory redundancy pay
–
tax-free, up to £30,000
| Years counted | – |
|---|---|
| Weeks' pay due | – |
| Weekly pay (capped) | – |
| Statutory redundancy pay | – |
How statutory redundancy pay is worked out
If you are made redundant and have at least two years of continuous service, you are entitled to statutory redundancy pay. It is based on three things: your age, how long you have worked for the employer, and your weekly pay. The longer you have been there and the older you are, the more you get for each year, up to a legal maximum.
The pay per year of service
You get an amount for each full year worked, set by how old you were during that year:
| Your age during the year | Redundancy pay for that year |
|---|---|
| Under 22 | Half a week's pay |
| 22 to 40 | One week's pay |
| 41 and over | One and a half week's pay |
Only your most recent 20 years of service count, and a week's pay is capped at £719 for 2026/27 (from 6 April 2025). That means the most the statutory scheme can pay is 30 weeks at £719, which is £21,570.
Tax on redundancy pay
Statutory redundancy pay is tax-free. More broadly, genuine redundancy payments are tax-free up to £30,000. Anything above £30,000 can be taxed, and money that is really pay for work, such as unpaid wages, accrued holiday or pay in lieu of notice, is taxed as normal earnings and does not fall under the £30,000 exemption.
Frequently asked questions
How is statutory redundancy pay calculated?
You get an amount for each full year you have worked, based on your age during that year: half a week's pay for each year you were under 22, one week's pay for each year you were 22 to 40, and one and a half week's pay for each year you were 41 or older. Service is capped at 20 years and a week's pay is capped at £719 for 2026/27.
Do I qualify for statutory redundancy pay?
You normally need at least two full years of continuous service with your employer to qualify, and you must be an employee being made genuinely redundant. If you have under two years' service, the statutory figure is nil, though your contract or employer may still offer more.
Is redundancy pay taxed?
Statutory redundancy pay is tax-free, and genuine redundancy payments are tax-free up to £30,000 in total. Anything above £30,000, and payments that are really for work done such as unpaid wages, holiday pay or pay in lieu of notice, can be taxed in the normal way.
What is the maximum statutory redundancy pay for 2026/27?
The most you can get under the statutory scheme is 20 years of service at 1.5 weeks a year, which is 30 weeks, times the £719 weekly cap. That comes to £21,570. Your own figure will usually be lower unless you are older with long service and pay above the cap.
Does my actual salary matter if it is above the cap?
For the statutory calculation, a week's pay is capped at £719 for 2026/27, so earning more than that does not increase your statutory figure. Some employers pay enhanced redundancy using your real weekly pay, but that is on top of the legal minimum, not part of it.
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