Redundancy & Settlement Calculator
Understand your statutory entitlement and what you'll actually keep
Calculate your statutory redundancy pay, the £30,000 tax-free allowance, income tax on the taxable portion, and how a pension contribution could reduce your bill.
Your statutory entitlement
Based on 8.0 weeks × £600/week
The minimum your employer must pay by law.
Tax-free vs taxable breakdown
| Total settlement | £25,000 |
| Tax-free (first £30,000) | £25,000 |
| Taxable amount | £0 — fully within tax-free threshold |
Your tax bill
| Income tax on settlement | £0 |
| National Insurance | £0 (exempt) |
| Total tax | £0 |
| Effective rate on total package | 0.0% |
What you'll actually receive
Net settlement after tax
£25,000
How long will it last?
Based on net settlement of £25,000.
| Monthly spend | Months | Years |
|---|---|---|
| £500/month | 50 | 4.2 |
| £1,000/month | 25 | 2.1 |
| £1,500/month | 17 | 1.4 |
| £2,000/month | 13 | 1.0 |
| £3,000/month | 8 | 0.7 |
Your redundancy details
Only complete years count for statutory redundancy
Your actual weekly pay — we'll apply the £643 statutory cap automatically
The full amount your employer has offered, including statutory pay
Your tax situation
Used to calculate which tax band your taxable settlement falls into
If your employer agrees, paying some of your settlement directly into your pension can reduce your tax bill
Scottish income tax rates
Applies to residents of Scotland only
Want a complete retirement projection?
For a complete retirement projection including tax, State Pension, and 10,000 Monte Carlo simulations — use our full retirement planner.
This calculator provides estimates for guidance only. Results are illustrative and do not constitute financial advice. Always verify figures with a qualified adviser.