Redundancy Take Home
Got a redundancy offer? Find out what you'll actually receive.
Work out what your redundancy payment, PILON, holiday pay and other payments could leave you with after tax and National Insurance. If you receive Universal Credit, you can also explore how the payment could affect your benefits.
Free · No account needed · UK
An independent calculator — not GOV.UK, HMRC or DWP. Estimates only; check your employer's payslip and official guidance.
Calculations use 2026/27 UK ratesWhy these payments are treated differently
Redundancy / severance
Genuine redundancy compensation may qualify for the first £30,000 combined tax-free termination payment exemption.
PILON
Payment in lieu of notice is usually taxed as earnings — not lumped in with tax-free redundancy. £20,000 redundancy + £5,000 PILON is not one £25,000 tax-free payment.
Holiday & wages
Holiday pay, unpaid wages and bonuses are normally taxed like ordinary pay.
Universal Credit
If you receive UC, qualifying redundancy may count as capital when received; PILON and holiday may count as earnings in assessment periods after you claim.
Real examples
£20,000 redundancy + £6,000 PILON
See how notice pay affects tax differently from redundancy compensation.
£30,000 package, £8,000 is PILON
The headline figure isn't what hits your bank.
£18,000 redundancy on Universal Credit
Illustrative earnings vs capital split and savings thresholds.
Two different employer offers
Same £26k headline — see how a PILON-heavy split changes take-home.
Common questions
Is this the same as GOV.UK's statutory redundancy calculator?
No. We focus on your whole exit package — what you'll actually receive after tax, including PILON and holiday pay. Statutory entitlement is optional here, not the main event.
Is PILON tax-free like redundancy?
Usually not. PILON is generally treated as taxable earnings. GOV.UK guidance.
Does this calculate my Universal Credit award?
No. We show an illustrative model of capital and earnings treatment — not a DWP entitlement calculation.
Do I need to create an account?
No. The calculator runs in your browser. Optional paid report after results.
What's in the £9.99 Exit Transition Report?
A PDF of your calculator results — not a mystery add-on. Everyone gets take-home breakdown, tax detail, and employer questions. UC sections only appear if you selected Yes or Not sure for Universal Credit. See a sample before you pay.