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Statutory redundancy tool

Redundancy Pay Calculator

What this tool does

Estimate the statutory redundancy minimum using the current age bands, service rules and weekly-pay caps, then use that floor to test whether a real employer offer is only the legal minimum or genuinely enhanced.

Enter the dismissal date so the right statutory cap is used. Then treat the result as the statutory floor and work through any employer offer in order: redundancy line first, then notice or PILON, holiday pay, wages, and only then any extra payment or ex gratia sum.

Important:

Statutory redundancy pay is often only one part of the picture. Notice pay, holiday owed, unpaid wages, bonuses, commission, benefits and enhanced contractual redundancy can all sit outside this estimate.

Use the result in this order before reacting to a package
  • Pin down the statutory redundancy floor first using this result.
  • Ask for the employer figure to be split into redundancy, notice or PILON, holiday, wages and any deductions.
  • Do not accept vague labels such as "ex gratia", "termination payment" or one headline total without a written breakdown.
  • Only call it enhanced redundancy if the redundancy line still sits above this statutory floor after the rest is removed.
  • Use final pay or compare next if the real issue is one mixed total, one payslip or unclear labels.
Best way to use the result

Treat the estimate as the statutory floor first, then test the labels in the employer offer around it. A higher total is only clearly enhanced redundancy once notice, holiday, wages and any extra payment have been separated out and the redundancy line still sits above this figure.

Checked against official sources

Last reviewed: 29 March 2026. Checked against GOV.UK and Acas guidance for statutory redundancy rules and current caps.

Checked on

29 March 2026

Official source links

GOV.UK redundancy pay and Acas redundancy guidance linked below

Recheck when

Weekly pay caps, dismissal dates, service dates or enhanced package wording changes

If you only have one number

Do not judge a headline total yet

A redundancy letter or settlement email may show one combined number. Treat that as a starting point only until you can see which part is redundancy, which part is notice or PILON, which part is holiday or wages, and which part is any extra payment.

What enhanced really means

Enhanced redundancy starts after the basics are stripped out

A package is only clearly enhanced redundancy once the redundancy line on its own still sits above the statutory floor after notice, holiday, wages and any extra compensation have been separated.

Best first document request

Ask for the breakdown in writing

Ask payroll or HR to show each line separately, the dismissal date used, the weekly pay figure used, and whether the redundancy line is statutory only or based on an enhanced policy.

What this estimate assumes

  • You normally need at least 2 years with the employer to qualify.
  • Service used for the statutory calculation is capped at 20 full years.
  • Average weekly pay is based on the 12 weeks before notice.
  • The page switches between the pre-6-April-2026 and from-6-April-2026 statutory caps.

What to check before relying on the figure

  • Your contract or staff handbook may offer enhanced redundancy.
  • Notice pay and holiday owed are separate checks.
  • Alternative-work offers, misconduct issues or exclusions can change entitlement.
  • You usually have 6 months from the job end date to claim unpaid statutory redundancy pay.
What the result means

Treat the figure as a statutory minimum check

This estimate shows the statutory redundancy minimum. Your final package may also include notice pay, holiday owed, unpaid wages, bonus, commission or enhanced contractual redundancy terms.

  • It is a minimum statutory redundancy estimate only.
  • It does not automatically include notice pay, holiday owed, unpaid wages, bonus or commission.
  • It can also be beaten by enhanced contractual redundancy terms.
What to ask next

Questions worth putting to HR or payroll before you compare the offer

  1. Please break the package down into redundancy pay, notice pay, holiday pay and anything else.
  2. Have you used the statutory minimum only, or an enhanced contractual redundancy policy?
  3. What dismissal date and weekly pay figure did you use?
  4. Which line, if any, is described as ex gratia or extra compensation?
  5. Is any notice being worked, paid in lieu, or offset against other sums?
If your employer gave one total

Split the offer into clear lines first

  • Statutory or enhanced redundancy.
  • Notice pay or pay in lieu of notice.
  • Holiday owed, wages, bonus or commission.
  • Any extra severance or settlement-style payment.
How to compare it properly

Use the statutory floor before judging the whole package

A higher headline total can still hide an underpaid redundancy element if notice, holiday or wages have been bundled in. Compare the redundancy line with this result first, then look at the rest.

Deadline awareness

Check an apparent shortfall while the dates are still usable

If the statutory minimum appears unpaid or understated, use the guide date shown by the tool and check the official claim route promptly. Deadlines matter more than perfect certainty about every component.

Step 1

Check the redundancy line on its own first

Use the calculator result to see whether the redundancy element alone appears to be below the legal minimum for the dates and figures entered.

Step 2

Separate notice, holiday and any other pay

A higher employer figure may simply mean notice pay, holiday owed, wages or another payment has been bundled in. That does not automatically mean the redundancy element itself is generous.

Step 3

Then decide whether the offer is truly enhanced

Only once the package is split out can you judge whether your employer is paying just the legal floor or offering enhanced redundancy terms above it.

Best linked follow-up

Open the right next page in the right order

Use the Notice Period Calculator if the employer figure also includes notice. Use Final Pay and Leaving a Job if the real issue is one payslip or a combined total. Use Redundancy vs settlement vs final pay if you still need a fast route check.

When a higher total is not generous

Headline numbers can be misleading

A bigger total often reflects pay that was already due, such as notice, holiday or wages. The redundancy part only becomes clearly enhanced when that line is separated and still sits above the statutory floor.

Questions worth asking

Get the payroll or HR wording pinned down

Ask which line is statutory redundancy, which line is notice or PILON, whether any holiday is included, and whether any extra amount comes from a contract, policy or discretionary offer.

Common questions

Questions people usually ask once they have the statutory floor

Should I compare this with the whole leaving-work offer?

Not directly. Split the offer into redundancy, notice, holiday, wages and any extra compensation first. Only then can you judge whether the redundancy line itself is above the statutory minimum.

Can my employer pay more than this?

Yes. Contracts, handbooks, collective agreements and employer policies can all provide enhanced redundancy terms above the statutory minimum. The key is to check whether the higher amount is truly redundancy pay or a mixed package.

Why does the dismissal date matter so much?

The statutory weekly cap changes on 6 April 2026, so the dismissal date can change both the weekly pay cap used and the maximum statutory total.

What should I do if the package still looks unclear?

Use the compare, notice and final-pay pages next, and ask for a written breakdown before accepting or rejecting the package at face value. One headline number is not enough on its own.

Can notice pay or holiday make the package look generous when the redundancy line is not?

Yes. A headline total can look generous simply because it includes notice pay, holiday owed or wages that were already due. Split those out before deciding whether the redundancy line itself is actually above the statutory minimum.

What if the letter only says ex gratia, leaving payment or one total?

Ask for a written line-by-line breakdown before judging the offer. Those labels can hide redundancy, notice, holiday, wages or a separate discretionary payment inside one combined figure.

Official sources used

Official sources checked for this page

GOV.UK: Calculate your statutory redundancy pay

Used for qualification, the 12-week average pay basis, and the 6-month claim deadline framing.

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GOV.UK: Redundancy pay

Used for the age bands, service cap, and statutory payment structure.

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Acas: Redundancy pay

Used to confirm the current weekly cap and maximum statutory redundancy payment from 6 April 2026.

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