Australia Redundancy Pay Calculator

Estimate your statutory redundancy pay under the National Employment Standards (NES) scale.

Your details

years
$/wk
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Verified for 2026-27Methodology 2026-27.1 · reviewed 2026-08-08 · review by 2027-06-01

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Change completed years of service to see how estimated redundancy pay responds.

Understand your result

Clear context for the values above.

Estimated redundancy pay

Estimated redundancy pay is included so you can interpret this estimate and make a better-informed comparison.

NES weeks of pay

NES weeks of pay is included so you can interpret this estimate and make a better-informed comparison.

Tax-free amount (genuine redundancy)

Tax-free amount (genuine redundancy) is included so you can interpret this estimate and make a better-informed comparison.

Taxable amount (ETP, taxed at marginal/ETP rates)

Taxable amount (ETP, taxed at marginal/ETP rates) is included so you can interpret this estimate and make a better-informed comparison.

How to use this calculator

  1. 1Enter your current completed years of service, ordinary weekly pay, estimated etp tax rate on taxable portion.
  2. 2Review the headline estimated redundancy pay and the supporting figures beside it.
  3. 3Change one input at a time to see which assumption has the biggest effect.
  4. 4Confirm current Australian rates and thresholds with an official source before acting.

Explore this calculator

∑ What your result means

The National Employment Standards set a minimum scale of redundancy pay based on your continuous years of service, paid in addition to notice and any accrued leave entitlements, and a portion of a genuine redundancy payment is tax-free up to an ATO-set limit.

▦ How this calculator works

The calculator looks up the NES minimum weeks of pay for your completed years of service (rising from 4 weeks after 1 year to 16 weeks after 9 years, then reducing to 12 weeks at 10+ years due to long-service interactions) and multiplies it by your ordinary weekly pay. It then applies the ATO's genuine redundancy tax-free limit — a base amount of $13,598 plus $6,801 for each completed year of service for 2026–27 — splitting the result into a tax-free amount and a taxable employment termination payment (ETP) amount above that limit.

◇ Assumptions and what's not included

Small businesses (fewer than 15 employees) are generally exempt from NES redundancy pay, some awards or enterprise agreements provide more generous scales, and notice pay, unused leave, and the actual ETP tax rate applied to the taxable portion (which depends on your age and the ETP cap) are not included here.

▤ What to do next

Check your award, enterprise agreement or employment contract for any entitlement above the NES minimum, and confirm your employer's size, exact service dates and the current ATO tax-free limit before relying on this figure.

Australia-specific contextFigures use AUD and current published rates and thresholds.

Reviewed for clarityUpdated 3 August 2026.

ImportantFor planning and educational use — not tax, legal or financial advice.

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Frequently asked questions

Does every employer have to pay redundancy?+

Small businesses with fewer than 15 employees are generally exempt from the NES redundancy pay requirement, though some awards may still apply their own provisions.

Is redundancy pay the same as notice pay?+

No, they're separate entitlements — notice pay (or pay in lieu of notice) is calculated differently and should be added on top of any redundancy pay.

Why does the scale drop after 10 years of service?+

The NES scale reduces to 12 weeks at 10+ years because long-serving employees typically also have access to other entitlements like long service leave.

Is redundancy pay taxed?+

Genuine redundancy payments up to a tax-free limit (a base amount plus an amount per completed year of service, both indexed annually) are tax-free; amounts above that limit are taxed as an employment termination payment — this calculator splits your estimate into those two portions, but always check the current ATO tax-free limit.

Official references

Rules and thresholds used by this calculator are labelled for 2026–27 or formula-labelled period. Review the primary guidance before making a filing, borrowing, benefit or investment decision.

Last source review: 3 August 2026. Calculator results are estimates and may exclude circumstances described in the methodology.