Being made redundant is stressful. This works out the minimum you’re owed under the National Employment Standards and how much you’ll keep after tax, so you can check your employer’s figures.
Rates checked against ATO and official sources on 26 September 2026. How we calculate
Results update as you type.
Estimated redundancy payout$26,557$27,760 before tax · $24,000 of it tax-free
Redundancy pay (11 weeks)
$17,600
Pay in lieu of notice (4 weeks)
$6,400
Unused annual leave
$3,760
Total before tax
$27,760
Tax-free limit (6 completed years)
$54,404
Tax on amount over the limit (32%)
−$0
Tax on unused leave (32% max)
−$1,203
Estimated in your bank
$26,557
Your award, enterprise agreement or contract may give you more than the NES minimum. The tax-free part only applies to a genuine redundancy.
Redundancy pay: 4 to 16 weeks of base pay, depending on years of service (it drops to 12 weeks at 10+ years, because long service leave takes over).
Notice: 1 to 4 weeks, plus a week if you’re over 45 with 2+ years of service. Often paid out instead of worked.
Unused annual leave, usually with 17.5% leave loading.
Any extra payment your employer offers.
Tax: for a genuine redundancy, redundancy pay and notice are tax-free up to $13,598 plus $6,801 for each completed year of service in 2026–27. Anything above that is taxed at 32% (17% if you’re 60 or over), up to the $270,000 ETP cap. Unused annual leave is taxed at a maximum of 32%.
Businesses with fewer than 15 employees don’t have to pay NES redundancy pay, and casual employees aren’t entitled to it.